A compromise was the answer and it led to the creation of the first Union Flag.
On 12 April 1606, the National Flags of Scotland and England were united for use at sea, thus making the first Union 'Jack'. Ashore however, the old flags of England and Scotland continued to be used by their respective countries.
A royal decree declared that the ships of the Kingdom of Great Britain "shall bear on their maintops the red cross, commonly called St. George's cross, and the white cross, commonly called St. Andrew's cross.