Little Bear's first swear word

Honestly, the landmark moments that they have nowadays...

Little bear has become addicted to Doctor Who. All last week he was watching DVDs of the first series with Amy as a companion. In the second episode of that series there is a character called Liz Ten - Queen Elizabeth Xth. At one point she states clearly, 'I'm the bloody Queen.'

All things considered, there are worse swear words. And little bear was playing nicely with his toy Tardis and said that he was off to see the Bloody Queen. He wasn't saying it as a swear word or to be shocking (I think). It was just the name of a character.

My inclination was just to ignore it. However OH collapsed into laughter. 'You shouldn't say that,' he said between laughs, 'It's a bad word.'
'No it isn't,' little bear said solemnly, 'It's brilliant.' OH was nearly crying by this time.

I have nothing against an appropriate cuss. Everyone needs to have words to say when you drop a tin of beans on a bare foot. I try not to swear, though, as it means that when I do need to be rude it still has some impact. So little bear has reached the grand age of four and one half before his first bad word. But I will mention it to nursery, so they can enjoy the joke as well.