The Happy Return is a traditional Cornish lugger with a present sail area comprising a four-lug sail of 720 sq ft, a large mizzen of 480 sq ft, and a small mizzen of 360 sq ft.

On 5 October 1904, the Cornish lugger Good Intent (FE21), owned by John Warman Saunders Sr. (1851–1928), was lost in a gale at Folkestone. The three crew members—John Warman Saunders Sr., aged 53, his two sons John Warman Saunders Jr. (1873–1951), aged 32, and his brother Edward Saunders, aged 26—were rescued. Both John Sr. and John Jr. were known by the nickname "Jack".

Following the incident, on 8 October 1904, the Mayor of Folkestone appealed for £200 to fund a new vessel for John Saunders. The new boat was commissioned and laid down at Kitto's yard in Porthleven.

On 7 March 1905, the new vessel arrived at Folkestone from Porthleven. The Mayor's appeal had raised £121 9s towards the £180 cost of the boat, which was named Happy Return to commemorate the safe return of the crew. The vessel was registered on 4 April 1905 with a gross tonnage of 18.19 and dimensions of 37 feet 3 inches in length, 13 feet in breadth, and 7 feet in depth. John Saunders owned five or six other boats, all distinguished by a fish-shaped weathervane.

• 1916: On 18 February, a Kelvin 8 hp auxiliary engine was installed.
• 1929: On 22 February, ownership transferred to John Thomas Warman Saunders Jr., nicknamed "Spratter" Saunders by the Folkestone fishing community.
• 1940: From 9 to 14 June, the vessel was requisitioned for Operation Cycle, the evacuation of Allied troops from Le Havre during the latter stages of the Battle of France.
• 1941: On 18 July, ownership passed to John Fagg of Folkestone. Crew members at this time are believed to have included Bob and Harry Featherbe. John Fagg also owned FE 89 and the second FE 21, the Dorothy Margaret, built in Ostend. Earlier references mention fishermen William Henry (Blacken) Fagg, George (Darky) Fagg, and Stephen (Red'un) Fagg.
• 1948: On 25 August, W. M. Grayling of Folkestone became the new owner. Fred Featherbe, who died in 1953, is believed to have been a crew member during this period, with his grandson recalling sailing with him in the early 1950s.
• 1963: On 5 September, William Gale of Folkestone acquired the vessel and undertook an extensive refit. A 46 hp Ailsa Craig 4-cylinder diesel engine was installed with the propeller shaft passing through the deadwood. The sheerline was raised by adding new top strakes and covering boards. The masts were mounted on a tabernacle on deck rather than a scottle, shortened, and the mizzen mast was moved aft. A wheelhouse was added, and the tiller was shortened.
• 1969: On 17 February, Alan Rake of Kings Lynn became the owner, renaming the vessel Britannia and registering it as LN 224. The Folkestone registration was cancelled on this date, and the FE5 registration was reassigned to another vessel in 1982.
• 1971: On 16 January, Peter Barrett of North Cheam, Surrey (later of Swanage) purchased the vessel for £1,250. A new oak keel and oak transom were fitted, along with renewal of some deck beams and planks. The Ailsa Craig engine was reconditioned in June 1971.
• 1972: On 19 April, a Decca Navigator Mark V was installed. Between May and June, a Parsons "Barracuda" Mk II 105 hp marine diesel engine, based on a Ford "Sabre" 2704E with Borg Warner reverse gear, was fitted along with new electrics, controls, propeller shaft, and a 27-inch propeller by Reeves Marine Services in Poole, Dorset. The vessel was registered to Peter Barrett on 20 June.
• 1974: Eight planks averaging 8 feet in length were replaced on the port side forward after damage caused by a speedboat while moored.
• 1987: The vessel went ashore during a storm and was declared an insurance write-off. Peter Barrett repurchased and restored the vessel.
• 1988: The engine underwent an overhaul by James & Harmer.
• 1997: James & Harmer performed further engine work, including removal of the cylinder head.
• 1998: On 15 January, the vessel's last day of fishing was recorded, and the registration was closed. On 27 February, Britannia was decommissioned and ownership was transferred by the Ministry of Agriculture, Fisheries and Food (MAFF) to North East Lincolnshire Borough Council for the National Fishing Heritage Centre in Grimsby. The vessel was recognized as the oldest registered fishing vessel in the United Kingdom still in operation and was to be preserved by an interested organization. Subsequently, the National Fishing Heritage Centre entrusted the Mounts Bay Lugger Association (MBLA) with responsibility for the vessel.
• 1998: On 4 May, Britannia was delivered to Penzance harbour by Peter Barrett and returned to Mounts Bay after 93 years in the fishing industry for restoration to her original condition by the MBLA.
• 2000: In November, restoration commenced and the vessel was transferred to KAB Metal Work at Rospeath Industrial Estate, Crowlas.
• 2002: On 25 March, formal ownership was transferred to the Mounts Bay Lugger Association. On 11 September, the sails were received and the new rudder was unveiled by the Mayor of Penzance.
• 2003: On 10 March, after 27 months at Crowlas, the vessel was transported by police-escorted low-loader and re-launched by heavy crane into Penzance harbour alongside Albert Pier at 3:30 pm. Peter Barrett, the previous owner, attended the event. On 11 March, the vessel was inspected for leaks, found to be dry, and conducted a brief sea trial under her own power before being moored in Penzance wet dock for fitting out. By 21 May, 4.5 tons of lead ballast had been cast into 28 lb ingots and taken aboard. Nine spars had been made by association members. Douglas fir timber for the two masts was received and laminated under the direction of Keith Billington, an expert in wood lamination. Approximately 80 metal clamps were fabricated for the mast construction, which involved box section lamination. Between June and July, all cordage was donated by Martin Heard of Gaffers and Luggers in Coverack Bridge. The main and mizzen masts were completed and metalwork and blocks were under construction. On 4 August, the masts were stepped on Albert Pier. On 16 August, the vessel undertook her first sea trials after the sails were bent on.
• 2004: On 16 May, the vessel was re-dedicated at Albert Pier, Penzance.

Happy Return continues to be sailed by members of the Mounts Bay Lugger Association, with a full sailing program each year.