The Queen last night lit the first of 1,000 beacons across the country to mark the 200th anniversary of Nelson's death and historic naval triumph at the Battle of Trafalgar.
Hundreds gathered to watch as the national beacon at Nelson's flagship HMS Victory, in Portsmouth, was set ablaze, sending flames 30ft into the air.
In the Scottish village of Ballater, near Balmoral, the Prince of Wales set the next fire alight, accompanied by a lone piper playing the First Lament.
At Portsmouth's naval base, the Royal Marine Band performed a Beat Retreat and a spectacular 52-gun broadside was fired from the ship before the Queen met three of Nelson's descendants.
Brothers Royal Marine Commander Craig Nelson, Corporal Arron Nelson, an investigator with the RAF Police, and Lance Corporal Brett Nelson, of the Royal Engineers, are all sixth great nephews of the naval hero.
Corporal Nelson, 33, from Northumberland, said: "I think it was obviously a major turning point for us (victory at Trafalgar).
''Traditions like this are important. It sets us apart from the other forces. When the chips are down, the British troops always shine through because they have this loyalty and determination.''
The mast of the beacon was mounted on a base featuring the prayer Nelson wrote before the battle.
In Royal Deeside, Charles, who was wearing full naval dress, was met by Assistant Equerry Captain Henry Willcocks of the Welsh Guards.
The Prince took the Royal Salute and inspected a group of local sea cadets before chatting to members of the 400-strong crowd.
More than 6,000 events are taking place across the UK this weekend to mark the victory which defined Britain's role as a naval superpower.
The celebrations began with the traditional hoisting onboard HMS Victory of Nelson's "England Expects" signal to his men on the day of the battle.
This was followed by a service on board with wreaths laid by the Second Sea Lord Sir James Burnell-Nugent at the points where Nelson was shot and where he died.
The First Sea Lord, Sir Alan West, took part in another wreath-laying ceremony at Nelson's tomb at St Paul's Cathedral, London.
The service at Portsmouth was held amid driving rain and strong winds.
The chaplain of the naval fleet, the Venerable Barry Hammett, led the service, which included a prayer written the day after Nelson's death, as well as the Lord's Prayer and the Naval Prayer. The service was concluded with a rendition of The Last Post.
In Cadiz, Spain, crew members from frigate HMS Chatham represented the Royal Navy in commemorative religious services and a military parade.
The ship then sailed in company with the Spanish aircraft carrier Principe De Asturias and the French frigate Montcalm towards Cape Trafalgar where a wreath-laying service will be held.
Naval historian and deputy director of the Royal Navy Museum Dr Colin White said: "This whole year of Trafalgar celebrations has taken off in a way we hadn't even dared to hope it would.
''What has really moved me is the way the whole country has got behind it to celebrate the sea and its importance to us as an island nation.''
Nelson lost his life in the ferocious battle, which is deemed one of the most decisive naval actions in British history.
The battle at Cape Trafalgar, near Cadiz in southern Spain, pitched the Royal Navy against the combined fleets of France and Spain.
Nelson died after he was shot by a French marksman on the Redoubtable as he stood on the quarterdeck of HMS Victory.
* Beacons were lit across the North-East and North Yorkshire last night.
In Bedale, the town's mayor, Ellen Dunning, ignited the flames at the beacon, in Bedale Park, in an event organised by the town council.
It will be followed today by a bazaar in the town's Chantry Hall, from 10am to 2pm, while tomorrow there will be a service in St Gregory's Church, at 11am.
In Richmond, Mayor Stuart Parsons lit the town's beacon after guests enjoyed hot punch in the town hall.
The party then headed up the old Marske road to light the beacon, which at 1,061ft, was on the highest point in Richmondshire where it could be seen from beacons on Penhill, in Wensleydale, and Roseberry Topping, near Great Ayton, North Yorkshire.
That was followed by a show, called Trafalgar: A Celebration of the Sea, at the town's Georgian Theatre Royal, which is also being staged tonight, at 7.30pm.
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