The world's oldest clipper has been renamed City of Adelaide at a ceremony in London overseen by the Duke of Edinburgh.

The City of Adelaide was built in 1864 and carried migrants to South Australia in the late 19th century.

City of Adelaide clipper being moved on a barge

In the 1920s she was renamed HMS Carrick and used as a navy training ship in Scotland, and was left there to rot until a restoration project began.

During the ceremony, Prince Philip bestowed the sailing ship's original name back on her.

After a long battle the clipper is now returning to Adelaide via London.

The City of Adelaide now will be towed to the Dutch port of Dordrecht where it will be shrink-wrapped and fumigated in preparation for the longer voyage to South Australia.

Federal funding support had been held up since the change of government in Canberra, but now has been finalised.