How can I make sure my iPhone uses UK spelling and keyboard?

I use an iPhone 4s, with iOS 7.1.2

I have two keyboards installed. The first is British and the second is Emoji.

When I tap the globe button it switches to emoji. When I tap it again it switches back to qwerty but the space bar will flash the text "English (US)" which then fades to the word "space". Tapping the 123 button in qwerty mode shows a £ sign; I have to tap the #+= button to show the € and $ signs.

The phone highlights colour as wrong, but not color. I want to force British English spelling.

How can force the phone to use a UK keyboard? How can I force the phone to only use British English spellings?