E. Cobham Brewer 18101897. Dictionary of Phrase and Fable. 1898.
Bag o Nails.
Some hundreds of years ago there stood in the Tyburn Road, Oxford Street, a public-house called The Bacchanals: the sign was Pan and the Satyrs. The jolly god, with his cloven hoof and his horns, was called The devil; and the word Bacchanals soon got corrupted into Bag o Nails. The Devil and the Bag o Nails is a sign not uncommon even now in the midland counties.