House of Commons
Wednesday, March 17, 1909
Private Business
Leyland and Farington Gas Bill (Considered).
Wandsworth Borough Council (Superannuation) Bill (Considered).
Prices of Exported Coal
Return ordered giving the quantities of coal exported from each of the ports of the United Kingdom by quarterly periods in 1908, at prices not exceeding 5s., above 5s. but not exceeding 6s., above 6s. but not exceeding 7s., and so on (in continuation of Parliamentary Paper, No. 97, of Session 1908).—[ Mr. D. A. Thomas. ]
Coal Exports
Return ordered giving for the year 1908 the export of coal from each port in the United Kingdom to each country abroad, together with summary statements showing the export of coal in every period of three months from the principal districts of the United Kingdom to the principal groups of foreign countries, and also showing the quantity of coal shipped at each port in the United Kingdom for ships' use on foreign voyages during like periods (in Continuation of Parliamentary Paper, No. 100, of Session 1908).—[ Mr. D. A. Thomas. ]
Oral Answers to Questions
Questions
Orange River Colony (Petition)
asked the Under-Secretary for the Colonies whether a petition, dated 14th September, 1908, from the natives of the Orange River Colony, was received by the Governor for presentation to the King; and, if so, whether it has been presented?
No such petition has as yet been received in the Colonial Office, but inquiry shall be made.
Have not six months elapsed since the presentation of the petition to the Governor, and will he grant an inquiry into the matter?
Although the Governor is bound to transmit the petition to the King, he is also bound to take the advice of his Ministers. It may be a convenience to ascertain their views fully before transmitting the petition. If the hon. Gentleman thinks it is very important I shall consider whether we shall telegraph.
Crown Agents' Office
asked the Under-Secretary for the Colonies what steps are being taken to carry out the recommendations of the committee of inquiry into the organisation of the Crown Agents' Office, over which he presided, and more particularly those relating to the status of the office as a Government Department, the adoption of the principle of open competitive examinations for appointments to its staff, the provision of opportunities for tendering in the case of Colonial firms, and the annual review by Parliament of the operations of the office?
I can only say at present that the Secretary of State has approved the recommendations of the Committee, and that consideration is being given to the best method of giving effect to them. There shall be no undue delay.
May I ask will there be any review this year of the operations of the office?
I should think an opportunity shall arise. Without doubt that was the wish of the Committee over which I presided that such should be the case. I think it is a desirable state of things.
Uganda (Fraudulent Foreign Trading)
asked the Under-Secretary for the Colonies if his attention has been drawn to the statement contained in the Colonial Office Report, No. 57, on Uganda to the effect that goods imported into Uganda from Foreign countries are made up to give the impression that they are of British manufacture; that Americani from the United States is frequently adorned with the imperial crown and is described as royal or imperial; that looking-glasses made in Germany bear portraits of the British Royal Family; that cigarette-papers made in France have directions printed in Eng- lish; and that brass buttons made in Austria have the British crown and anchor; and what steps, if any, are being taken to put an end to this fraudulent trading, seeing that, according to the same Report, nearly 85 per cent. of the stock of the principal bazaars in the Protectorate consist of German, American, and other foreign goods?
In Paragraph 27 of the Colonial Report referred to the Governor intimates his intention of addressing the Secretary of State specially on this subject. My Noble Friend will press for this communication and give it attention as soon as it arrives.
China and Japan (Imperial Chinese Railway)
asked the Secretary of State for Foreign Affairs if His Majesty's Government has any information as to the result of recent negotiations between China and Japan regarding the extension of the Imperial Chinese Railway from Hsinmintun to Fakumen; whether his attention has been called to the report by His Majesty's commercial attaché at Pekin which shows that the proposed line would not compete injuriously with the South Manchurian Railway, as alleged; whether representations have been made by the China Association that the impediment offered by Japan to the proposed extension is injuriously affecting British interests; and will His Majesty's Government cause friendly representations to be made to Japan to induce her to withdraw from a position incompatible with the avowed policy of free intercourse and equal opportunity in Manchuria?
As stated in the answer returned to the hon. Member for Kincardineshire on March 9th, we have not yet heard of any agreement having been arrived at on the subject between China and Japan. The answers to the second and third paragraphs of the question are in the affirmative. The Japanese Government are aware that the matter is being followed with interest by His Majesty's Government, but have hitherto held to the opinion that the line as proposed would compete injuriously with their railway.
May I ask whether it is the case that China was assured that a supplementary clause in the Pekin Agreement of 1905, which deals with this question would be interpreted in the light of the treaty which guaranteed to China unrestricted development of her Manchurian territory?
I do not think it is for us to go into the question, which is one between China and Japan. It is primarily a question between China and Japan. This railway is not being promoted by British subjects or financed by British capital, though it is true the contract is let to a British firm. It is thus primarily a question between China and Japan.
Would not the appointment of a Consul at Harbin improve the position very much?
That is not relevant to the question.
Irish Produce and Manufactures (Classified. Directory)
asked the Vice-President of the Department of Agriculture (Ireland) whether he is now in a position to state what steps have been taken to secure the publication of a classified directory of Irish exporters of Irish produce and Irish manufactures, which has been under consideration for some time past; and whether it is proposed, as already promised, to have the necessary information published in English, French, German, and Spanish, with a view to making the directory of real value to importers in those foreign countries with whom Ireland has trade relations.
This matter has not been lost sight of by the Department, and arrangements are at present proceeding in connection with the issue and distribution of the proposed list of manufacturing exporters. The list is intended for circulation in foreign countries and in the Colonies, and will be in English, French, German, and Spanish.
Admiralty Yacht Cruises (Total Cost)
asked the First Lord of the Admiralty what was the total cost, in coal supplies, pay, etc., of the recent cruises of the Admiralty yacht to Scotland and to Malta; and for what purpose these cruises were undertaken?
The cost of coal and oil expended on the three cruises made by the First Lord in the Admiralty yacht on the east coast of England and Scotland, the west coast of England and Scotland, and in the Mediterranean was £278, £564, and £1,788 respectively. No charge for pay arises, as the crew is part of the active personnel of the Royal Navy. The cruises were undertaken in accordance with the long-established usage that the First Lord shall from time to time undertake personal inspection of the naval ports, establishments, and squadrons, both in harbour and at sea.
Foreign Granite Contracts (Fair Wages Clause)
asked the First Lord of the Admiralty whether in the case of a tender for a Government contract including granite or cement it is stipulated that the fair wages clause shall apply if the materials are produced in this country; and whether such clause is stipulated for when the granite or cement is produced in a foreign country; and, if so, will he state how the conditions of the clause are enforced in the latter case?
The answer to the first part of the question is in the affirmative. No such clause is stipulated for when the granite or cement is produced in a foreign country.
May I ask if in future contracts he will take means to place the British manufacturers and producers on fairer terms than they enjoy at present in competition with their foreign rivals?
I could not admit the underlying assumption of the hon. Gentleman's question that the British producer is not on fair terms. I have never admitted the fair wages clause does in fact raise the price of the article.
"Dreadnought" Class (Available Slips)
asked the First Lord of the Admiralty if he will state the number of slips capable of being used for vessels of the "Dreadnought" class in England and Germany respectively?
In the United Kingdom the number of such slips at the present time is 17, including two belonging to firms who have not yet undertaken the construction of large warships. With alterations, which would take some months to carry out, two more slips could be made available in Government yards, and several more in private yards, if due notice were given to the firms concerned. In Germany, according to my information, there are at present 14 such slips available. Two more are under construc- tion and will shortly be ready. There is one other only sufficiently broad to construct an "Invincible," and there is yet one more in a private yard which has never undertaken the construction of large warships.
Can the right hon. Gentleman say how long it takes to construct a slip in these countries?
I could not say without notice how long it takes from beginning to end.
Will the right hon. Gentleman state whether the number 17 includes private slips?
Oh, yes.
May I ask whether the slip-way at Chatham is included?
Yes, I think the building slip at Chatham is included.
Have any of those firms agreed to give special facilities at the request of the Admiralty?
I cannot answer that question also without notice. I believe not.
May I ask do the figures which the right hon. Gentleman gives express the capacity of the two countries to turn out a similar class of vessels in the same time?
No, Sir. The building of a hull is only one item. You also have to take the capacity of a country to turn out guns, gun mountings, armour, and the necessary equipments.
Is there any reason to suppose that in these respects Germany is at all behind this country?
Can the right hon. Gentleman say whether the firms possessing the 17 slips possess the adequate docking facilities which the Admiralty stipulate for in contracts?
I am dealing with slips now. The 17 slips include those belonging to the private dockyards or firms who have already built for the Government, and I have added, I think, two belonging to firms who have not yet undertaken such work.
Has the right hon. Gentleman included Chatham?
I think Chatham is included, but I am not sure.
Coastguards (Fife Coast)
asked what changes, if any, were to be made this year with regard to coastguards on the Fife coast?
No coastguard stations on the Fife coast will be closed this year.
Will there be any change as to the personnel?
I could not say without notice.
Navy Estimate, 1909–10 (Special Parliamentary Powers)
asked the First Lord of the Admiralty whether, among the special Parliamentary powers to order, collect, and supply various shipbuilding materials during the year 1909–10, for which His Majesty's Government now asked the power to pay for such materials was included; and, if so, could he say out of what moneys and in virtue of what Parliamentary authority the payments in question would be made?
No, sir; special powers are not necessarily required for such a purpose, the Admiralty having power to apply any money available under the relative heads of the Estimates as they think fit— or, with Treasury sanction, within the aggregate of Navy Votes.
In that case, if the Admiralty decide to use these powers, is it proposed to present a supplementary Estimate to Parliament in regard to them?
As the hon. Member, being familiar with the details of this subject, is aware, the giving of orders would not necessarily include any liability on the Government this year. After the placing of the orders some considerable time must elapse before any charge becomes payable.
May we take it that no materials ordered in virtue of these powers will be paid for until next year's Estimates?
Unless they were paid for out of the aggregate Vote of this year's Estimates.
Naval Expenditure (Repayment of Loans)
asked the First Lord of the Admiralty whether he would explain why, in the statement of gross naval expenditure on page 1 of the Navy Estimates, he has deducted from that gross expenditure in each year the amount of the annuity paid by the Admiralty in repayment of loans previously expended on naval works; was the amount so repaid, in each year not in fact a part of the naval expenditure of the year, or did the Admiralty hold that repayments of money borrowed and spent in previous years are not expenditure?
It being considered desirable to show the actual outlay on works scheduled in the Naval Works Acts as part of the gross naval expenditure for the year, it was necessary to abate the annuity in repayment of loans under those Acts, otherwise the loan expenditure would have been counted twice. It may be added that the gross expenditure from Navy Votes in 1909–10 includes a sum of £641,700 which would have been otherwise provided had the Loan Acts continued.
Cunard Agreement (Money) Act
asked the First Lord of the Admiralty whether he could explain the fact that whereas, according to the Finance Accounts, page 11, there was issued from the Exchequer to the Admiralty during the year 1906–7 the sum of £4,081,749 16s. 3d. to be applied to naval works and to the Cunard agreement, it was stated on page 1 of the Naval Esti mates that the expenditure from loans during that year was only £2,431,201; could he say what had become of the remaining £1,650,548 16s. 3d. issued to the Admiralty in that year; would he explain the similar discrepancies for the years 1905–6, 1907–8, and 1908–9; and was the House to understand from the statement, on page 1 of the Naval Estimates that no expenditure whatever from loans would be made by the Admiralty during the year 1909–10?
The explanation of the apparent discrepancy to which the hon. Member calls attention is that the advances under the Cunard Agreement (Money) Act do not form a charge to naval funds, and do not, therefore, appear in Navy Estimates and Accounts. No expenditure from loans will be incurred by the Admiralty in 1909–10.
Woolwich Arsenal (Gun-Mountings)
asked the First Lord of the Admiralty whether he would arrange to place the orders at an early date for the gun-mountings which would be needed for the equipment of the new "Dreadnoughts," having regard to the fact that they had efficient men and space for the work in the Royal Arsenal, Woolwich?
In the allocation of orders for the programme for next year, due regard will be paid to the maintenance of work at Woolwich; but it is not proposed to commence the manufacture of hydraulic gun-mountings at the Royal Arsenal.
May I ask whether, supposing these orders are placed at an early date, similar consideration will be granted to private firms?
It is only private firms who make gun-mountings of this magnitude.
Will the right hon. Gentleman remember the promise given in this House that the Government Departments should have first consideration?
My hon. Friend overlooks the fact that there is at present no plant at the Arsenal adequate for making gun-mountings of this size; and it would greatly postpone the equipment of a battleship if we were to wait for the output of gun-mountings until we had put down plant at Woolwich.
I will ask another question on the point later.
May I ask the right hon. Gentleman to have regard to national interests in this matter, rather than the local interests of Woolwich or Sheffield?
I can assure my hon. Friend that I am having regard only to national interests.
Admiralty Contractors (Rate of Wages)
asked the First Lord of the Admiralty how many labourers there were now employed by the contractors, Messrs. Morrison and Mason, at 5d. per hour, or 1d. per hour below the recognised standard rate for this class of work; whether he had yet decided to recommend the contractors to pay the 6d, per hour; and whether he intended taking any action in the matter?
Seventeen men are employed on the new lock at Portsmouth at 5d. per hour. As regards further action, my hon. Friend the Parliamentary Secretary is to visit Portsmouth shortly, accompanied by my hon. Friend the Member for Stoke, and will make personal inquiry into the matter.
Catholic Secondary Schools
asked the President of the Board of Education whether, in view of the fact that the prefatory memorandum to the secondary schools regulations for 1908 was dated 10th April, he could state when the next regulations would be issued, and whether it was proposed to enable new Catholic secondary schools to be opened in future?
The Regulations were published last year on 27th April. I hope this year the issue will take place about the same date. I regret I cannot forecast what changes may be made.
Education Grants (London)
asked how much the Exchequer grants per child in London were below the average grants for the rest of England and Wales, and why a lower grant was earned in London, where the cost of education was greatest?
Excluding grants for special purposes, the average grant for England and Wales in respect of the year 1907–8 was 40s. 10d. The average grant for London was 37s. 11d. The difference is mainly due to the operation of Section 10 of the Education Act, 1902, under which London receives a smaller grant owing to the produce of a 1d. rate per child being considerably higher than the average of the country.
Is it possible for London, in the present condition of the Aid Grant, under any circumstances to earn an education grant equal to that earned in the rest of England and Wales?
I do not think it is.
Scottish Training Colleges and English Students
asked the Lord-Advocate whether he was aware that in some of the training colleges in Scotland for elementary school teachers there were vacancies for which English students were eligible, but that such students were debarred from the privileges of bursarship or remission of fees and other privileges enjoyed by Scottish students, while the imperial grants were payable equally for English and Scottish students; and whether arrangements could be made whereby English and Scottish students could be placed on terms of equality, financially and otherwise?
The accommodation in Scotch Training Colleges being limited, is naturally made use of, in the first place, for the training of students from Scotland, but candidates from England have been admitted to some of the centres at which there was room. It is not the case, as seems to be assumed in the question, that there is a uniform rate of allowance to students from Scotland from which students from England are debarred. Allowances and remission of fees are made by the training college authorities with reference to the circumstances of the students individually, and there is no allowance which could be claimed as a matter of right by any student, whether Scottish or English.
Why is there this differentiation between English and Scottish students in the case mentioned in the question?
was understood to ask for notice.
Island of Lewis (Sanitation)
asked the Lord Advocate, having regard to the fact that the recommendations of Dr. Dittmar, the Local Government Board inspector, for improving the sanitary condition of the townships in the island of Lewis, supported by suggestions of the medical officer of health for Boss and Cromarty, had been under the consideration of the Secretary for Scotland ever since he came into office three years ago, he would state when he expected to arrive at a decision on the subject?
I can only refer my hon. Friend to my answer of yesterday to a similar question. The sanitary deficiencies of the Lews cannot be remedied by any short and summary methods, but progress has been made since the Report in question was presented, and the matter continues to receive the attention of the Government.
Seeing that the matter has been under the consideration of the Secretary for Scotland for the last three years, may I ask whether a decision is likely to be arrived at during the life of the present Parliament?
Drunkenness in Scotland
asked the Lord Advocate whether he could state the number of persons proceeded against for drunkenness in Scotland for 1907 and 1908, the number of persons convicted, the number of licence-holders proceeded against for permitting drunkenness, and the number of convictions?
The number of persons proceeded against for drunkenness in Scot- land during 1907 was 58,930, of whom 42,280 were convicted. (This figure does not include 15,907 pledges, etc., forfeited.) The number of licence-holders proceeded against for permitting drunkenness and the number of convictions cannot be given as the different natures of the "Breaches of Certificates" are not specified, but the total number of such proceedings was 113 and there were 51 convictions. The figures for 1908 will not be available for some months.
Is it not the fact that Sunday closing obtains in Scotland?
Crofters in Barra (Settlement on Tenanted Land)
asked the Lord Advocate whether he had received any report as to the alleged settlement of crofters on tenanted land in Barra, or elsewhere in the Hebrides; and, if so, what steps he intended to take in the matter?
The Secretary for Scotland has received reports of the nature referred to, but on making inquiry and intimating strong disapproval of such action, I am glad to say he has learned in each case that it has been desisted from.
Sale of Blue Books
asked the Secretary to the Treasury whether the copyright of Reports of Royal Commissions belongs to His Majesty's Government; whether the produce of sales of Blue Books goes towards defraying the expense of publishing such books; and by whose permission and for what reason a private publisher was allowed to issue in volume form a reprint of the Minority Report of the Poor Law Commission simultaneously with the official issue?
The copyright in Government publications is vested by Letters Patent under the Great Seal in the Controller of His Majesty's Stationery Office. The produce of sales of Blue Books goes towards defraying the expense of publishing such books, inasmuch as it is appropriated in aid of the Stationery Office Vote. As explained in my answer to the question of the hon. Member for Glasgow and Aberdeen Universities on the 24th ult., the Treasury did not feel able to take any action in the case referred to in the last part of the question, having regard to the terms of the Treasury Minute of 31st August, 1887, laid before Parliament (House of Commons Paper, 335, of 1887).
May I ask whether it is the fact that the Treasury regulations state what was the policy and practice in regard to this matter when they were made, and whether it is not necessary to revise them now?
The hon. Member is quite correct. The Treasury Minute lays down what was then the practice and policy of the Treasury, but I see no reason to depart from that.
May I ask the hon. Member whether the Government propose to take any action to prevent similar occurrences?
If the hon. Member will refer to the Treasury Minute of 31st August, 1887, he will see that it was the policy of the Treasury that Parliamentary publications of a particular class should be made as easily available as is possible. My hon. Friend knows that the Treasury have undertaken to issue a cheap edition of this particular publication.
May I ask if it is the fact that any signatory of the Report of a Royal Commission is at liberty to publish that Report?
May I ask whether the Minute of 1887 did not state what parts of publications by the Stationery Office might be availed of here and there without the full authority of the Stationery Office having been obtained? Is it not necessary for the Treasury to review the practice now that serious charges—
The hon. Member cannot make a speech now. He must give notice of the question.
Lough Erne and Lough Sara (Elevations above Sea Level)
asked the Secretary to the Treasury if he will state what is the elevation above sea level of Lough Erne, which receives the drainage of districts served by the Loughs Oughter, Gowna, and River Erne drainage system and the Lough Oughter and River Erne drainage system; what is the elevation of Lough Sara above sea level; and what is the average elevation above sea level of the districts served by the afore-mentioned drainage systems?
The elevation of Upper Lough Erne, into which these drainage systems discharge, is 156 feet above sea level. The elevation of Lough Sara above sea level is 225 feet. The elevation of the water-shed surrounding the River Erne drainage system varies from 2,188 feet to 480 feet above sea level. Further information can be obtained by inspection of the various maps published by the Ordnance Survey.
Amalgamation of Customs and Excise Departments (Allowance to Testing Officers)
asked the Secretary to the Treasury, in view of the amalgamation of the Customs and Excise Departments on 1st April, whether the allowance of £20 per annum paid to Customs testing officers at the outports will also be paid to the chemical officers of Inland Revenue, seeing that no reply has yet been given to the petition of the last-mentioned officers forwarded to the Board of Inland Revenue in July, 1907?
Independently of questions arising out of the amalgamation of the Customs and Excise Departments, general questions concerning the organisation of the Government Laboratory and the status of the chemical staff are under consideration, and I am not yet in a position to make any statement as regards the allowances to which I understand the hon. Member to refer.
Can the hon. Gentleman state why there has been a delay of two years in replying to the petition?
I do not think there has been such a delay. I understand that the memorial was received in September last.
In July, 1907.
The matter is under the consideration of a Committee.
Life Line Apparatus on British Ships
asked the President of the Board of Trade what action he proposes to take upon the report of the advisory committee with reference to the question of British ships carrying some form of life-line throwing apparatus?
The Report of the Committee to which the hon. Member refers, which will be published very shortly, is being considered by the Board of Trade, but it is not yet possible to say what action will be taken with regard to it. To compel ships to carry some form of line-throwing; apparatus would require legislation.
Commercial Treaty with France
asked whether, before any arrangement in the nature of .a commercial treaty is made with France, the terms will be laid before Parliament, and the House of Commons be afforded an opportunity of expressing an opinion upon the general character of such an agreement.
I must refer the hon. Member to the answers returned to the hon. Member for Wycombe on the 6th February last year, to the hon. Member for Brighton on 3rd June last, and to the hon. Member for Ashton-under-Lyne on 1st July. We could not give such a general assurance as the hon. Member desires in the case of any foreign treaty without departing from the constitutional practice of this country.
Anglo-Japanese Exhibition
asked the President of the Board of Trade whether an Anglo-Japanese Exhibition has been arranged, with the approval of the British Government, to be held in London next year; and, if so, whether the Government intends to make any grant for the purpose, or has offered any particular facilities to the promoters of the exhibition?
His Majesty's Government have been informed that it is proposed to hold an exhibition of the nature referred to, which cannot fail to evoke the sympathetic interest of this country. The answer to the last part of the question is in the negative.
Lancashire and Yorkshire Railway (Engine-Driver W. Stockdale)
asked the President of the Board of Trade if he or his immediate predecessor in office has received a complaint from ex-engine-driver William Stockdale, of the Lancashire and Yorkshire Railway, Accrington, complaining of the treatment he received from the officials of the company; is he aware that, shortly after this complaint was sent to the Board of Trade, Stockdale was dismissed for refusing to take out a fireman without the needful equipment, when to have done so would have endangered life and property; and, if the facts are as stated, does the Board of Trade intend to take any action in the matter?
William Stock-dale's original complaint to the Board of Trade was not communicated to the railway company, and my information as to the reason for his dismissal is not in accordance with that contained in the question. William Stockdale, in reply to his subsequent complaints, has been informed that the matter is not one with which the Department can deal.
Cargoes of Explosives
asked the President of the Board of Trade if there are any regulations or restrictions in force to govern the carriage by coasting vessels of dynamite, gunpowder, or other explosives between one pore in the United Kingdom and another; and if such vessels exhibit any notice or signal to warn other ships of the dangerous nature of their cargo?
Bye-laws made by local authorities under the Explosives Acts regulate the loading and unloading of explosives in ports and harbours, and the Board of Trade surveyors also supervise the loading of explosives on outgoing vessels. Coasting vessels carrying explosives exhibit special signals when nearing certain harbours, but are not required to exhibit any such signal when at sea.
Applicants for Small Holdings (Hampshire)
asked the hon. Member for South Somerset, as representing the President of the Board of Agriculture, whether he can state the number of applicants for small holdings in Hampshire, the number of applications approved, the acreage applied for, the amount of land already allocated, the number of schemes under consideration, and the acreage involved in them, and the localities in which land has been allotted or will soon be allotted; and how many of the applicants approved have actually entered into possession of the land allotted to them, and the extent of such holdings?
Out of 529 applicants 222 have been approved. They have applied for 2,712 acres, of which 244 acres have been already allocated. Six schemes, comprising 271 acres, are under consideration. Land has, or will be shortly allotted in Thruxton, Sherfield-on-Loddon, North Stoneham, Chandlers Ford, Selborne, Idsworth, and Whitchurch. Nine applicants are already in possession of 214 acres.
Breeding of Horses
asked the hon. Member for South Somerset, as representing the President of the Board of Agriculture, whether he can hold out any hope of a Government scheme to encourage the breeding of horses, in view of the increase of motor traffic and the consequent discouragement of horse-breeding in the United Kingdom?
We hope that it may be found possible to bring into operation a scheme for the encouragement of horse-breeding. There are, however, various questions—financial and otherwise —to be settled before any decision in the matter can be reached.
Can the hon. Baronet inform the House whether he has received any substantial offers of help from outside sources?
I would like notice of that question.
Thorney Estate
asked the hon. Member for South Somerset, as representing the President of the Board of Agriculture, if he can say what is the annual rental, and what is the rateable value, of the Thorney estate; and what is the sum asked for it by the Duke of Bedford as the purchase price of the estate?
The information supplied to the Crown by the Duke of Bedford is of a confidential character, and I am unable at present to give the particulars for which my hon. Friend asks.
Is the hon. Baronet aware that the Duke of Bedford admits that the total income from the estate is £5,450 a year?
I am not aware of that.
asked the hon. Member for South Somerset, as representing the President of the Board of Agriculture, whether the Board have made any offer to purchase the Thorney estate from the Duke of Bedford; if so, whether the Board's offer was £650,000 or any similar sum; and on what basis the offer of such a sum was made?
No offer has been made by the Crown for the property to which my hon. Friend refers. The Office of Woods and Forests, and not the Board of Agriculture, are dealing with the matter.
Light Dues
asked the President of the Board of Trade if the whole of the lighting dues paid in the United Kingdom by shipping are received by the Board of Trade; if so, under what account do they appear; and what was the amount of the dues for the past three years and the amount of the expenses and payments made in respect of the lighting of the coast in the same period?
The whole of the light dues collected in the United Kingdom under the authority of the Merchant Shipping (Mercantile Marine Fund) Act, 1898, are received by the Board of Trade, and are shown in the Accounts of the General Lighthouse Fund, presented annually to Parliament, which also include the expenditure incurred for the maintenance of the lighthouses, etc., under the control of the General Lighthouse Authorities. The Accounts, however, do not include the local light dues levied under the Merchant Shipping Act, 1894, by local lighthouse authorities for the construction and maintenance of local lights, which are not received by the Board of Trade.
The following is a statement of the light dues collected and the expenditure of the general lighthouse authorities for the last three financial years:—
Influenza among Members
asked the First Commissioner of Works if he is aware that upwards of 40 members of this House are at present laid up with influenza, and that the majority of them attribute their illness to the bad ventilation of this House; and if he would, therefore, consider the desirability of adopting a more natural system of ventilation than exists at present?
I much regret the melancholy state of affairs con- veyed in the hon. Member's question, but I am sorry to find that the proportion of 6 per cent. of influenza is not uncommon in other buildings and professions which are subject to the most natural systems of ventilation.
May I ask the right hon. Gentleman whether a paternal feeling cannot move him from his position in this matter, especially as he considers himself the author of the present system?
I do not consider myself the author of this or any other system.
Did not a Commission sit on the subject of ventilation in 1903 and considered the present system very objectionable? Did they not press for an immediate inquiry?
The inquiry has been held. A large number of recommendations were made, all of which I have carried out.
Dairies, Cowsheds, and Milkshops Order
asked the President of the Local Government Board whether he can state how many of the councils of boroughs and urban and rural districts, respectively, have neglected to make any regulations under the Dairies, Cowsheds, and Milkshops Order of 1885?
The number of the boroughs and other districts in which regulations are not in force is as follows:—
Lake Windermere
asked the President of the Local Government Board if his attention has been called to a proposal by the Windermere Urban District Council to establish a sewage farm on the shores of Lake Windermere, between Bowness and the Ferry; and will he make inquiry as to whether it is possible to satisfy the hygienic requirements of the Windermere urban district by some means which will not injuriously affect the amenities of this national recreation ground?
I have received an application for sanction to a loan in respect of this matter, and have directed that a local inquiry be held by one of the inspectors of my Department with regard to it, at which all persons interested will have an opportunity of being heard. My hon. Friend may be assured that I shall not lose sight of the aspect of the case to which he draws attention.
Lead Poisoning
asked the Secretary of State for the Home Department if he can state the total number of eases of lead poisoning from all sources during the last four years; how many of these cases were fatal; how many cases exhibited symptoms of paralysis; how many cases had symptoms of brain trouble (encephalopathy); how many persons were disabled; and have experiments on animals, justifying the conclusion that the lead in this disease is more often inhaled than swallowed, contributed to the decision of the Home Office to alter their special rules under the Factory and Workshops Act for various branches of the lead industry in order to guard against this channel of infection?
The total number of eases of lead poisoning reported during the four years ended 31st December last under the Factory and Workshop Act was 2,448, of which 114 were fatal. The number of these cases showing symptoms of paralysis was 548; of encephalopathy, 84. The number of persons disabled cannot be stated. There are other sources of lead poisoning outside the scope of the Factory Act, of which the most important is house painting and plumbing. Five hundred and fifty-seven cases (including 147 deaths) were reported as occurring in these two industries during the same period, but these reports were made voluntarily, and the figures cannot be taken as complete. As regards the last part of the question, the only experiments of the kind of which I am aware are some that are now being carried out for the Lead Committee in connection with the pottery industry. These have special reference to the question of the channel of absorption, but are not yet completed. They have not, of course, had anything to do with the revision during the last two or three years of various codes of special rules for different industries in which lead is used; but these rules contain precautions which are effective against both channels of infection. There has been no single "decision" to revise these codes. It has been the general policy of the Department to bring the older rules, as occasion arises, up to a modern standard.
White Slave Traffic
asked the Home Secretary whether he will introduce legislation this Session to grant new powers to strengthen the hands of the authorities engaged in the suppression of the white slave traffic between this country and the Continent?
I cannot at present add anything to the answer I gave the hon. Member on 1st March, except that I am about to receive a deputation on the subject of this traffic.
Nottingham County Police Court (Imprisonment of a Boy)
asked the Home Secretary whether his attention has been drawn to the case of John Armson, a boy of 15, recently sentenced, at the Nottingham County Police Court, to two months' imprisonment without the option of a fine, merely for scratching the glass in a number of shop windows; and if he can see his way to release this lad at once?
I have made inquiry, and am informed that the damage done by the defendant was extensive and deliberate. He had been convicted and fined three times recently, and only last month he had been allowed the benefit of the Probation of Offenders Act after stealing property to the value of £2. In the circumstances I regret that I cannot interfere.
Could not the boy have been sent to a reformatory?
That is a matter for the justices to consider. I quite agree with my hon. Friend that might have been possible.
Chestergate Branch Post Office (Macclesfield)
asked the Postmaster-General whether it has been de tended to replace the branch office in Chestergate, Macclesfield; is it intended to build a new central post office; if so, has the site been decided upon; and is it intended to replace the branch office in Chestergate by a sub-office?
The lease of the Chester-gate Branch Post Office expires on the 25th proximo, and it has been arranged to give up possession then. The maintenance of a branch office in a town of the S1ze of Macclesfield is altogether excep- tional, and the circumstances do not warrant the continuance of the arrangement. A sub-office will be opened in place of the branch office, and this will, I believe, provide sufficient accommodation for the Post Office business of the district. The head post office is now at Park Green, but the question of providing a new head post office near the present site is being considered.
Ministry of Agriculture
asked the Prime Minister whether the Household office, at present held by the representative of the Ministry of Agriculture in the House of Commons is be detached from political duties; and whether, on the Motion for the second reading of the Secretary of the Board of Agriculture Bill, a statement can be made as to the result of the recent enquiry into the allocation of work between the various departments.
:I shall be glad to reply to the points raised by my hon. Friend when either the Board of Agriculture Bill or the Board of Trade Bill comes on for discussion.
Chester Assizes (Conviction of a Temporary Postman)
asked the Postmaster-General if he is aware that at the Chester-assizes, on the 17th ultimo, a temporary postman was sentenced to 18 month's hard labour for stealing postal orders; and if he will say whether his wages were 12s. 9d. a week, he being a married man with a child?
The man in question was employed as temporary assistant-postman at a sub-office. He was earning not 12s. 9d., but 17s. 9d. a week from the Post Office; and when he was not working for the Post Office he had employment at the docks. The man pleaded guilty, and admitted that he had been spending money on football coupons.
Post Office (Contract for Clothing)
asked the Postmaster General whether he is aware that the Post Office have lately placed a contract for clothing with an East End firm who have been struck off the contractors' list both of the Army and of the Metropolitan Asylums Board; and whether he can give the House an assurance that this will be discontinued in future?
The circumstances, so far as the War Office was concerned, were before me when I made the contract, and I was in communication with the War Office on the subject. No question of wages or conditions of labour was involved. The work done by the firm for the Post Office has been satisfactory, and in the circumstances there appeared to be no reason why I should not continue to employ them. I have no information in regard to the action of the Metropolitan Asylums Board.
Can the right hon. Gentleman give the reasons why the firm was struck off the list? Will he ask the Metropolitan Asylums Board?
I have no objection.
Will the right hon. Gentleman tell us why the firm was struck off?
I think that it was on account of some delay in the delivery.
Spikes and Fish Bolts
asked the Under-Secretary of State for India whether he will state the number of tons and the value of spikes and fish-bolts purchased through the India Office, respectively, from manufacturers in the United Kingdom and abroad during the year 1908?
No purchase of either spikes or fish-bolts from manufacturers abroad were made by the India Office during the year 1908; 2,590 tons of spikes and 960 tons of fish-bolts, to the value of £26,404 and £14,138 respectively, were purchased during that year from manufacturers in the United Kingdom.
asked the Under-Secretary for India whether, when considering the tenders recently received for steel coach-screws, fish-bolts, rail-screws, dog-spikes, and rolled-steel chairs, he will safeguard British manufacturers from being penalised by having to observe the fair wages clause from which foreigners are exempt?
British manufacturers are not penalised by the obligation to observe the fair wages clause. Contracts are given to foreign firms only when there is a clear saving of money or some advantage in expeditious delivery to the Indian taxpayer for an article equally good in quality.
Mr. H. W. Macdonald
asked the Under-Secretary for India whether he has received any report of the death of Mr. Henry William Macdonald, who was in charge of a survey party; and under what circumstances, and, if so, where, was he killed?
The Government of India report that Mr. Macdonald, while surveying in the Sheranni country on 11th March, entrusted himself temporarily to the guidance of three Sherannis, leaving his police guard and tribal escort out of reach. The Sherannis proved to be fanatics, who shot him and fled. The chief murderer has been arrested, and measures are being taken to secure the arrest of the remainder of the party. The motive was pure fanaticism, and the rest of the Sheranni country is quiet.
Estates Commissioners (Return)
asked the Chief Secretary for Ireland whether he can state when the next Return will be issued by the Estates Commissioners giving the names of those to whom holdings have been allotted as evicted tenants?
The Estates Commissioners inform me that the Return for the quarter, ended 31st December last, is in the printers' hands, and will be presented this week.
Cordner Estate (Drumconnolly, County Monaghan)
asked the Chief Secretary for Ireland whether he can state if the Estates Commissioners have allotted a holding to Mr. Daniel O'Callaghan, of Drumconnolly, county Monaghan, as an evicted tenant; and on what date, and who recommended the application?
The Estates Commissioners inform me that they have not allotted a holding to Mr. O'Callaghan as an evicted tenant. At the request of the Land Judge, by whom the Cordner estate was sold to them under the Act of 1903, the Commissioners in June last allotted Mr. O'Callaghan, who had been the gamekeeper on that estate, a parcel of the untenanted land on the estate, including the house in which he was living.
Thurles District Council
asked the Chief Secretary for Ireland if he can say whether he is aware that the Thurles Rural District Council decided not to erect a cottage granted on appeal by County Court Judge Moore to Mrs. Maher, of Borrisoleigh, who is a farm labourer with a young family; and, if so, whether he will, as President of the Local Government Board in Ireland, insist on this cottage being built and given to this woman?
The Local Government Board have received a communication from the clerk of the rural district council from which it would appear that the facts are as stated in the first part of the question. The original applicant for the cottage was the late husband of Mrs. Maher. The Labourers Act contemplate that the District Council shall carry into execution as soon as practicable any improvement scheme finally authorised, and the Board will point out to the council their duty in this respeet as regards this case.
Sligo Assizes (Special Jury Panel)
asked the Chief Secretary for Ireland whether it has been found necessary to adjourn certain cases at the Sligo assizes because the special jury panel had been privately printed and circulated and an active canvass made of the jurors in the interests of the accused persons; whether the persons concerned in this attempt to interfere with the administration of justice are known; and, if so, what action is to be taken with reference to them?
The answer to the first part of the question is in the affirmative. Information was received that the common jury panel had been privately printed and circulated, but there was no direct evidence available of the canvassing of the jurors, though it is believed that the printing of the jury panel was with that object. The persons concerned in this proceeding are not known.
Belfast Workhouse Accommodation (Religious Facilities)
asked the Chief Secretary for Ireland if he is aware that the Irish Local Government Board have proposed to the Belfast Board of Guardians that they should provide and endow for the Roman Catholic inmates out of the rates special religious accommodation not demanded by any other communion; what the cost of such proposal, if carried out, would be; what is the estimated increase of the poor rate in the coming year without such expenditure; if the proposals have been rejected by 29 votes to 9; and if he intends to force the decision of the Irish Local Government Board upon the guardians against the wishes of the elected representatives of the people in a matter within their own jurisdiction?
The Local Government Board have not made the proposal set out in the question. They understand that the religious authorities of all denominations in Belfast consider the accommodation for worship in the workhouse quite inadequate. The Board concur in this view, and have asked the guardians to reconsider the matter. The approximate cost of the suggested improvements cannot be stated, as no plans, specifications, or estimates have yet been prepared. The increase of the poor rate in the coming year is estimated at less than fourpence in the pound. When the matter first came before the guardians, they decided, by the majority mentioned in the question, not to take action, chiefly on the ground that it would be well to postpone taking any steps pending legislation for the reform of the poor laws. It was, however, pointed out to them that a large institution for the purposes of indoor relief must always be maintained in Belfast, and they are to reconsider the matter on 23rd instant. The Local Government Board will await their decision before taking any further action.
Is the right hon. Gentleman aware that the accommodation for all classes and all denominations is exactly the same in Belfast Union?
I am sure nobody in this House has any wish to deprive the paupers of the consolation of religion, and it is eminently desirable that proper accommodation should be provided for all religious bodies in the Belfast workhouse.
Evicted Tenants (Ireland)
asked the Chief Secretary what lands have been acquired under the Evicted Tenants Act, 1907, in county Cavan; what lands are at present under process of acquisition, stating the area in both cases; and how many evicted tenants, noted as suitable to work land, are still unprovided for?
The Estates Commissioners inform me that no lands in the county Cavan have yet been vested in them under the Evicted Tenants Act, but 500 acres of land in the county are in process of acquisition under the Act. Sixty-six tenants evicted from holdings in the county have been reinstated or provided with holdings, and 48 others have been provisionally noted as suitable to be provided with holdings.
asked the Chief Secretary whether he is aware that for every one tenant restored by the Estates Commissioners landlords in Ireland have voluntarily reinstated three evicted tenants; and, whether, under these circumstances, the Estates Commissioners intend to acquire land compulsorily for the purpose?
The Estates Commissioners inform me that 2,085 evicted tenants have been reinstated or provided with new holdings, 1,432 by landlords with the assistance, when required, of grants from the Commissioners, and 653 by the Commissioners on lands acquired by them; 359 of the tenants, reinstated by landlords, were restored to their holdings through the intervention of the Commissioners, and at prices suggested by them. As the estates on which the holdings were situated were being sold direct to the tenants by the owners, the latter entered into agreements with the evicted tenants at prices estimated by the Commissioners. The Commissioners intend to acquire compulsorily untenanted land, where necessary, to provide holdings for evicted tenants noted as suitable, but not yet reinstated.
May I ask whether the Commissioners find any difficulty in planting these evicted tenants in other districts than that to which they belong?
Difficulties undoubtedly sometimes arise.
asked the Chief Secretary whether he is aware that under the Act of 1907, Section 1 (2a), the maximum number of evicted tenants to be reinstated is only 2,000; and can he state under what Act those over 2,000 are provided with farms as evicted tenants?
The majority of the evicted tenants who have been reinstated have been dealt with under the provisions of the Irish Land Act, 1903. The section of the Evicted Tenants Act to which the hon. Member refers relates only to those who may be reinstated on lands acquired under that Act.
When the Evicted Tenants Act was before the House was it not arranged that only 2,000 evicted tenants should be reinstated, and how is it that more than that number are now reinstated?
No; the 2,000 had only reference to the compulsory clauses of the Act.
Are evicted tenants manufactured to suit the Act?
No, Sir.
Irish Land Purchase (Enniskillen Estate)
asked the Chief Secretary if he would state whether purchase agreements under the Irish Land Purchase Act, 1903, have been filed by the Earl of Enniskillen in respect of the portions of his estate near the town of Enniskillen and the townland of Knockninny; is the tenure of these tenants similar to that of his remaining tenants in the district of Blacklion; and will he say whether it is proposed to exclude the latter from the sale, and on what grounds?
Purchase agreements have been lodged in respect of parts of the Earl of Enniskillen's property, but not in respect of the Florencecourt Estate, which includes the Blacklion district. The Estates Commissioners have not, therefore, any information as to the tenure of the tenants on this portion of the property.
Petrol in Time of War
asked the Secretary of State for War whether he will consider the necessity of securing an adequate stock of petrol for military purposes in case of war, when the ordinary supplies would not be forthcoming?
It is anticipated that the stocks of petrol ordinarily maintained in this country would be ample for meeting the Army requirements of that article for war purposes. It is not, therefore, considered necessary or advisable to maintain any special Army reserve of petrol.
What would be an adequate supply?
As much as you need.
Horse Breeding for Army Purposes
asked the Secretary for War whether his notice has been called to the fact that there has been a decrease of some 20,000 horses in London during the last year; and whether, in face of this continuous diminution, he will take any steps to encourage horse-breeding for Army purposes in the United Kingdom?
The War Office has received no information of the decrease of 20,000 horses in London during the last year. As regards the last part of the question, I fully explained to the House what action was being taken in regard to the provision of horses for Army purposes on the introduction of Army Estimates.
Is the House to understand there is no prospect of a horse-breeding scheme being endorsed by the War Office?
I did not say that, and it must not be understood.
Has the right hon. Gentleman taken into consideration that other nations with greater supplies of horses than ours have given very large sums towards horse breeding?
No doubt they do, but they have a very much larger number of horses to supply under their system.
Army and Navy Pension Papers
asked the Secretary for War whether he could say why the signature of a medical man is no longer accepted to Army and Navy pension papers, while the signatures of clergymen and police officers are still recognised?
So far as Army pensioners are concerned my hon. Friend would appear to be under some misapprehension. There has been no change in the system under which the signature of the medical attendant is accepted on Army pensioners' life certificates.
St. George's and St. Andrew's Days
asked the Secretary for War whether St. George's Day, 23rd April, 1908, was celebrated at Windsor by the firing of a royal salute and the lining of the streets by forces; and, if so, will he say on what grounds no similar official recognition was accorded to St. Andrew's Day, 30th November, 1908?
The question deals with matters of ceremonial within the precincts of Windsor Castle, of which I have no cognisance. The troops did not take part in the celebration of St. George's Day at Windsor last year.
Woolwich Arsenal
asked the Secretary for War, having regard to the surplus space and efficient men who are not now fully employed at the Royal Arsenal, Woolwich, why he has not ordered the laying down of gun-mounting plant which will be needed for the equipment of the new "Dreadnoughts"?
The question whether orders for naval gun mountings should be given to Woolwich Arsenal rests entirely with the Admiralty.
Is the right hon. Gentleman aware that a few minutes ago the First Lord of the Admiralty declared the reason he could not place them there was because he had no plant ready, which presupposes he will place the order there when he has the plant?
If the First Lord of the Admiralty asks us we will take the matter into our favourable consideration.
Naval Estimates (Discussion of Vote A and 1)
May I ask the Prime Minister a question about business? I understand his hope is that Mr. Speaker may be got out of the Chair on the Navy Estimates to-day, and the-first question I wish to ask is whether, if that is so, the usual course will be followed, and the Committee will be allowed: a general discussion on Vote A. I think it is necessary to have a promise of that kind before we go into Committee. The second question is in reference to Vote 10 of the Navy. It did not appear on the Paper among the Notes which the Government issued yesterday, but it has now been inserted. Would the right hon. Gentleman tell us whether there is any urgent reason for taking Vote 10 at the present time; whether there are any urgent new works for which they require immediate sanction in order that the efficiency of the public service may be maintained? I think I may say for my Friends on this side of the House that we are not likely to stand in the way of the Government getting the Vote if it is urgently required. Otherwise, we should like to discuss the important questions raised on the Vote.
It is our hope and intention to get the Speaker out of the Chair during the present sitting. As-regards the discussion on Vote A and Vote 1, as far as the Government are concerned, they are perfectly willing that it should range over the whole question, as usual. In regard to Vote 10, although the new works are not extensive or expensive in character or amount, still, in the opinion of the Admiralty, they are urgent. They are for machinery fitting-shops and boiler sheds at Portsmouth, Devonport, Chatham, and Haulbowline. In the opinion of the Admiralty, it is desirable we should have the opportunity of commencing these works at the earliest possible moment.
As I understand the right hon. Gentleman, it is very necessary to get the Committee stage of the Vote at a very early period?
By Monday.
Then possibly it may be left open for consideration, and, if opportunity serves, we may be able to discuss it at greater length on Report. I understand that as soon as the Committee is through the operations will begin. Is that so?
I will consider the point.
Peers' Gallery (House of Commons)
I desire to raise a point connected with the procedure of this House, namely, whether your attention has been called to the fact that at the sitting of the House yesterday there was present in the Gallery set aside for Peers a person who is not a Peer, namely Admiral Stephenson, Gentleman Usher of the Black Rod, and whether you can inform the House by what right, or under whose authority, this person was admitted though not a Peer into this Gallery, the while the Members of this House are precluded from introducing strangers to listen to their debates. I raise the question in this form because I understand it is the only form in which I can do so, and I raise it for the specific reason, that the official referred to has treated several Members of this House including myself with gross discourtesy?
I think it is hardly right to take advantage of the opportunity of addressing a question to me to cast reflections upon an official of the other House. I understand that the Clerk of Parliaments and the Gentleman Usher of the Black Rod have for a great number of years had the privilege of a seat in the Peers' Gallery in this House if they choose to avail themselves of it, and that by reciprocal courtesy the Clerk of this House and the Serjeant-at-Arms of this House have the same privilege in another place. It is simply a matter of reciprocal compliment.
May I ask you, Sir, whether, in view of that statement as to the usual courtesy, extended to the offi- cials of this House, if it is not the fact that for many years it has been the custom of the other place to extend to Members of this House, the courtesy of giving orders for admission to the Strangers' Gallery if there is room, and has it not been brought to your knowledge that within a recent period that courtesy has been withdrawn in regard to several Members of this House, without any reason given or without sufficient notice. Under these circumstances, I would ask: Will this House continue to extend courtesy to officials of the other House, when courtesy has been withdrawn from us?
The question which the hon. Member puts to me is new to me, and is of an argumentative character. I cannot undertake to deal with it at all. It is quite out of my province.
I beg to give notice—
It is not the time for debating a question of this kind.
I give notice that I will put a Motion on the Paper dealing with; the relations between the two Houses in regard to the courtesies in this matter.
Notices of Motion
This day fortnight to call attention to the administration of British railways, and move a Resolution.
This day fortnight to-call attention to the payment of Members, of this House, and move a Resolution.
Presentation of Bills
The following Bills were presented and5 read a first time:—
Mr. WEIR—Trawlers' Certificates Suspension.—Bill to enable Courts to suspend the certificates of trawlers convicted of illegal trawling. (To be read a second time 19th March.)
The LORD ADVOCATE—Trawling in Prohibited Areas (Prevention).—Bill to prohibit the landing and selling in the United Kingdom of fish caught in prohibited areas of the sea adjoining Scotland. (To be read a second time to-morrow.)
Captain KINCAID-SMITH—National Military Training.—Bill to amend the Territorial and Reserve Forces Act, 1907, and to establish national military training in the Territorial Force. (To be read a. second time 26th March.)
Supply
Navy Estimates, 1909–10
Order read for resuming Adjourned Debate on Question [16th March], "That Mr. Speaker do now leave the Chair."— [ Mr. McKenna. ]
Question again proposed. Debate resumed:—
The First Lord of the Admiralty, the Leader of the Opposition, and the Prime Minister in their speeches yesterday emphasised the special sense of responsibility which they felt in dealing with the alarming facts which they felt it their duty to lay before the House of Commons and the country. I cannot claim to have any comparable feeling of responsibility in this matter, but I yield to no man in the sense of oppression and anxiety under which I labour in attempting to deal with the grave crisis with which this nation is confronted—that crisis before which our small party controversies pale into insignificance. I think that perhaps the most impressive thing about yesterday's debate was the way in which it obliterated all party and even sectional differences, and united Members of this House into one body of British citizens, confronted for the first time with an issue of unparalleled magnitude and possessed with a common instinct of co-operating in the presence of a common danger. In the speeches which were delivered, notably that of the First Lord of the Admiralty, I must confess I only found one great comfort, and that was when he said, as he did most impressively, that "The safety of the Empire stands above all other considerations. No matter what the cost, the safety of the country must be assured." The question is what does that mean. From it we at any rate conclude that when the Government verify the figures which were laid before them by my right hon. Friend the Leader of the Opposition, and I believe it will be impossible for them to disprove those figures, they will then at once take steps, whatever the cost, to use their own expression, to do what is humanly possible in order to avert the grave danger which looms before the nation at the present moment. The only question—the main question—is do they intend to do this? Surely they must recognise that the safety of the country must be placed before any minor schemes of domestic reform, the balancing of the Budget, or even before the existence of any party in the State, and if they take that line and translate it into action they are assured in advance of the support of those who sit on these Benches to the utmost of their power.
We feel, so far, that we have had no intelligible or, at any rate, satisfactory assurance from the Government with regard to the grave and perilous position revealed by the facts laid before the House yesterday by the Leader of the Opposition. As to the most alarming figures of his statement, those dealing with the period from the end of 1910 to the spring of 1911, the replies of the First Lord of the Admiralty and the Prime Minister have been most conflicting, and at least most uncertain. I should like to restate the point, because it is of urgent and vital importance—I might almost say of tragic importance—because it deals with a period over which the Government have no control—at least no control as far as building is concerned—and a period with regard to which the outcome is in the lap of the gods. Our information, which we derive from many different sources, none of which can be dismissed as unreliable, is positive. We do not rely on our own information alone. I think the case can be proved on the statements which the Government themselves made in the course of the debate yesterday. We believe, at any rate, from the information which has reached us, that four German " Dreadnoughts "— of course I am speaking of "Dreadnoughts " in the same sense as previous speakers, comprising both "Dreadnoughts" and "Invincibles"—were actually laid down, or, if the First Lord prefers, were substantially commenced towards the end of 1908. The Government, with regard to that statement, say they do not know, they are not sure, whether these ships were actually laid down or not. The First Lord states that he knows two were not laid down; he knows one was, and he does not know anything at all about the other. He went on to say, and I thought it was a strange thing for the First Lord of the Admiralty to fall back upon, that at any rate, whether they were or were not laid down, they would not be officially announced to be laid down by the German Government until 1st April next. In any case this question of when ships were or were not laid down is of very little actual importance. The question is how far are the preparations for building these ships advanced.
I should like to recall what happened in the case of the first ship of this new type, the "Dreadnought" itself. As a matter of fact, I am speaking from absolute knowledge—the "Dreadnought" was fit to fight in case of national emergency within 10 months from the time that her keel was officially laid, simply because preparations had been made for so long beforehand to accumulate the necessary materials, guns, mountings, and so forth, that she was advanced at the point of her laying down beyond the point which was in any way normal. The Government admit in their statements of yesterday that the collection of materials, guns, gun-mountings, and other necessary parts, which take very often longer to construct even than the ship itself—if that is provided for. I take the statement as set forth in the official memorandum of the First Lord —if notice for the accumulation of these materials can be given three months in advance of the date of laying down it is possible for "Dreadnoughts" to be completed, not a single ship, but in batches of four, as proposed by the Government, in 23 months from the date of actually laying down. That means that "Dreadnoughts," according to our own admission, can be built in batches of four at least in 26 months from the date of giving the order. The First Lord apparently denies that, but if he will read his own memorandum upon these Estimates he will find this statement. After referring at some length to the necessity for Parliament trusting the Government with powers to enable them to arrange for the order, collection, and supply of gun-mountings, guns, armour, machinery, materials, and so on, it says:
That is the point.
But the Government is proposing that a batch of four "Dreadnoughts" shall be constructed under these conditions. I am laying no heavier claim for the capacity of the German Admiralty at the present time. If that rule holds good for us, surely it cannot be denied that it must hold good for the Germans also, and if that be the case it seems clear to us, and I challenge the Government to disprove it, that if the order for four German vessels was given in November, 1908, as is practically admitted by the Government, those ships will be ready, or we must be prepared for them to be ready, in 26 months, that is to say, by January, 1911.
By that date, then, the Germans will have 13 of these "Dreadnoughts." How many shall we have? It is admitted on all hands that we shall have only 10. I do not wish to be pinned down by the Government to the actual precise date, but that period of danger extends from December, 1910, until, at any rate, April, 1911, when we only get two more ships, to put us in the position of having 12 to the German 13. The Government themselves admit that the Germans will have 11 to our 12 at that date—a somewhat slender margin for the Government to claim as giving security to this country. There is no way out of this, except upon the unwarrantable assumption, that I cannot believe the Government are going to make to the House, that the Germans are not able to carry out their programme as well as we are—an assumption which has been completely falsified and exploded by the events of the last twelve months. I really do not think it is for the Government to dogmatise with regard to this point, in view of the admissions they made in the course of the debate yesterday. I would remind the House that the First Lord of the Admiralty admitted yesterday in these words: "The difficulty at this moment is that we do not know as we thought we did the rate at which German construction is taking place." The First Lord went on to tell us, and I must confess it was news to me, and, I think, to almost every other Member of the House, that while the German statutory programme provided for a maximum number of ships to be laid down before a certain year—I think it is 1916—there are no statutory restrictions upon the amount of speeding up which may be indulged in with regard to the construction of these ships or the number that may be laid down or constructed in any one year.
From December, 1910, to March, 1912, is the first danger point that we have to weather; and if we do not succeed in weathering that, then the other danger points are of very little consequence. But from March, 1911, until March, 1912, the position is almost equally serious, because during that period we, as far as it is possible to foresee, shall remain in a position of numerical inferiority to Germany in this class of ships of the first importance. If Germany lays down four more ships of this class during the coming spring or early summer—and I am not aware that the Government has any reason to know that they will not do so—in that case Germany will have 17 ships to our 14 during the period from July to November, 1911. In November we shall get two more, making 16; and therefore, for a period of from 12 to 15 months, commencing in December, 1910, and ending in March, 1912, our naval supremacy as far as this type of ship is concerned will rest upon the goodwill of a foreign Power, with whom, at present, I am glad to say, our relations are perfectly correct and friendly. Yet, the Government said in their speeches yesterday: "We cannot afford to run any risks."
I pass from these calculations, which I have no doubt the Government will deal with, to a question which is more vitally important—What can be done to deal with the situation? The whole period from December, 1910, to March, 1912, is one of such peril that I venture to express the hope that the Government will take steps at once to consult frankly with the great warship producing firms and ascertain from them what is the earliest possible date at which four additional ships, that is, to say additional to the total programme foreshadowed in the coming year's Estimates, could be completed and delivered if they were ordered at once; and I hope that they will invite these great firms to increase their plant and slips and their equipment for the production of guns, gun mountings, turrets, etc., to a point which will enable them to cope with large orders if those orders are given to them in the near future. But apart from these things which the Government must do in the future, and which I earnestly trust they will do, surely it is obvious that circumstances demand—certainly the country will not be satisfied with anything less— that the Government should order at once the whole of these eight ships which they have foreshadowed in their programme, and that those ships should be completed at the earliest possible moment. This is not an occasion for panic, but it is an occasion for prompt and resolute action.
I pass to another portion of the Government's case. They assert—I do not know on what grounds—that Germany, apart altogether from the question of finances, has not the material resources which would enable it to produce a programme so gigantic as that which I have suggested. Unfortunately we have to judge by what Germany has done already. We know, even upon what the Govern-admitted yesterday, that Germany has actually commenced nine vessels of the "Dreadnought" class between March, 1908, and March, 1909. May I recall what those vessels are? There is, first of all, the cruiser F, of the 1907 programme, which was laid down in Blumenhaus's yard in March, 1908. Then there are four vessels probably belonging to the 1908 programme. They are admittedly laid down. That is five. Then there are the four ships in the 1909 programme for which the Government themselves admit that the material was collected and ordered in November, 1908, and with regard to which they say they do not know whether they are laid down or not; but that, at any rate, they will be officially laid down on the 1st April. On their own admission the Government have shown that the Germans have laid down nine "Dreadnoughts" in the course of the last 12 months and one day. If that is the case, why should they be unable to do that again? We have certain information from the Government which is of the utmost importance. They inform us that the Germans have 14 slips for the construction of these ships completed, and that they have three other slips — as a matter of fact, I believe they have four in the process of construction. A slip can be created in six months. Therefore those slips will very shortly be ready. There is, therefore, no shortage of slips.
We also know that the great firm of Krupps have developed under the fostering care of the German Government during the last few years, that their output of guns, gun-mountings, turrets, and some other essentials of that kind exceeds that of Armstrongs, Vickers-Maxim, Coventry Works, Woolwich Arsenal, and our whole national resources put together. The right hon. Gentleman shakes his head. I should like him to disprove that statement. I would ask the House whether they are aware of the fact that the employés of Messrs. Krupp have increased by 38,000 men during the last twelve months, an increase of 60 per cent, in the total strength? I believe that there is no reason whatever apart from financial considerations why Germany, which laid down nine of these vessels during the last 12 or 13 months, should not lay down eight more during each successive financial year. The question is: Can we do the same? At present I am afraid we could not. But, if definite orders for a sufficient number of ships were given immediately to our great shipbuilding firms, then I believe we could. That is for the Government to say. I am afraid there is no doubt whatever about Germany's capacity for building the ships. In saying this, I am quite ready to give due weight to the fact that these German "Dreadnoughts" when they are produced, will be, to a certain extent, experimental ships, and that they may develop unexpected defects. But, on the other hand, they may develop unexpected virtues. And I am also prepared to give such weight as is necessary to the argument that has been put forward that, at present, the Germans would not feel that they had sufficient experience of this type of ship to make them feel ready to use them almost immediately after they are delivered. But all that is a very slender foundation for us to base any feeling of security upon.
I now come to the question of German intentions. How can we even speculate as to what the intentions of any foreign Power may be with regard to any of their policies. The Prime Minister told us yesterday in a most interesting passage of his speech that the Government had received an official assurance from the German Government that it was not their intention to expedite their programme in the way that we feared. But then almost before the words were out of his month he hastened to add that that assurance was in no sense a pledge.
In the same sentence.
Yes. He added it immediately in the same sentence. And if the Germans, as they have a right to do, change their minds, there would be no cause of complaint on the part of this country. With all respect to the pledge which the Government have received—
There was no pledge received.
The assurance.
The declaration.
With regard to the declaration which the Government have received, "for all practical purposes it is not worth the paper it is written on—if, indeed, it was committed to paper at all.
Would the hon. Member draw a distinction between an oral and a written declaration of intention?
I do not want to follow the right hon. Gentleman into a line of argument that might be taken as casting a reflection on anyone, but all I claim is this, that whilst this official assurance is very acceptable to us as an indication of present good will and of a desire to allay our present anxiety, surely it is not a factor to be even considered in considering a building programme which will not become effective until two years from the present time. But after all, if it comes to a question of assurances, we have had far more specific assurances from the German Government that it was their inflexible determination to carry out their programme whatever we do. I would also remind the Prime Minister of the preamble to the German Navy Bill of 1900, which has been public property for a great many years, and which states as plainly and bluntly as anything could state for what purpose this great Navy is being constructed. The dominant sentence of the preamble is:— foreign Press by every sort of disclaimer. My point is that I think it is a bad day for the British Empire when its supremacy upon the sea has got to rest upon the unverified assumptions of its own Government and upon the assurances of foreign Powers.
The Prime Minister yesterday was very emphatic, and he said that we must maintain our margin of superiority in ships of the "Dreadnought" type. I think I have shown that by dropping those four ships out of the Cawdor programme we have actually lost that superiority He proceeded to explain that by stating the somewhat obvious truism that it was a mistake on our part to build unnecessary ships. Does he say so now? Is he prepared to say that those four ships if they had been built would have been unnecessary now?
I do.
I have shown that if these ships existed at the end of 1910 we should have been in a position of superiority to Germany, but as they do not exist we shall probably be in a position of inferiority.
That is just where I differ.
I quite admit that there is a fundamental point of difference, but we say that the Government have not proved their case, and we say this on the strength of admissions and statements made yesterday. Another excuse put forward yesterday was that "Dreadnoughts," like any other battleship, get out of fashion and grow obsolete, and, therefore, it is a good thing we did not lay them down. Does the right hon. Gentleman suggest that ships like the "Bellerophon," "Temeraire," "Superb," "Vanguard," "Neptune," and other ships are out of fashion? If so, how is it that every civilised Power is now laying down ships of a similar class, and how is it that the Government are now asking Parliament to lay down eight ships of a similar class? Why should he pick out these four ships proposed by the Cawdor scale and call them unnecessary, when they are the sisters of those other ships which are the models of all other navies in the world? This is an example of the straits to which the Government have been reduced in order to explain the present lamentable state of affairs. The Government have only themselves to blame for the position in which they stand. They are now reap- ing the results of their own parsimony and procrastination, and if we show any bitterness with regard to this point, it is only because we warned them again and again during the last few years as to what must be the result. Their policy has been one deferring expenditure and piling it up for the future, in the hope that something might turn up. I believe that their vacillating policy in this matter has given, great and legitimate encouragement to those of our foreign rivals who think the time is ripe for the transferring of the supremacy of the sea from our hands to more capable and resolute hands. I think their policy has been both the inspiration and the justification for this supreme effort of Germany with which we are confronted to-day.
In the early years of the existence of the present Government there was an almost complete lull of shipbuilding, produced largely by the advent of the "Dread-nought." That lull was spent by us in pilgrimages to The Hague, and in travelling through Elysian fields dreaming of universal disarmament. But how was it spent by the Germans? It was spent creating, organising, and perfecting the greatest system of ship-producing plant which the world has ever seen, which, in time of war, will enable them to commence operations upon an unprecedented scale. This organisation will enable them to catch up all past delays and to launch themselves upon a new period of acceleration. That lull to which I have referred, which acted as a sort of narcotic upon us, acted as a stimulus and godsend to those naval expansionists in Germany, who saw in it an opportunity to steal a march upon us—a march which even with heroic exertions we may be unable now to catch up. The Government may plead, as they pleaded yesterday, that they did not know what Germany was doing. But why did they not know? It is their business to know. The Government declare they are surprised that Germany is building so fast; but why are they surprised, because they were warned of it again and again? They were warned not only by us—after all, they need pay no attention to what we say—but they were warned in explicit terms by the German Minister of Marine, Admiral Tirpitz, speaking publicly in his own Parliament.
What did he say?
I do not make statements without being able to produce the quota- tions, and I will give the right hon. Gentleman the information he desires. On 9th December, 1907, Admiral Tirpitz, the German Minister of Marine, speaking in the Reichstag, expressed himself as being—
"personally in favour of a still more rapid rate of construction; but as a matter of fact German battle-ships were already being built more rapidly than the corresponding ships in France and America, or even in England."
Is that all.
Is it not enough?
It is not true.
It is our practice in this House to accept Ministerial assurances, particularly when they are substantiated by subsequent facts. The right hon. Gentleman evidently thinks that Ministerial assurances are matters which should be treated lightly, but I do not accept that view. At any rate, it is quite clear—and the Government have admitted it again and again in their speeches—that they have been misinformed, and that they did not know what was taking place in Germany. That being so, I do not see how they can blame us for calling attention to these discrepancies between their statement made a year ago and the statement made to-day. After the disclosures which have been made, it seems idle for us to even refer to the two-Power standard, because we are dealing, perforce, not with the two-Power standard, and not even with a one-Power standard, but with something which approximates to a three-quarter-Power standard. In considering the one-Power standard, when Germany is that one-Power, in the event of war we cannot leave out of account altogether—and I say this with the greatest reluctance—Austria, and we know that Austria has sanctioned three "Dreadnoughts" in addition to their present fleet. I hope that whatever reply the Government may make to the facts which I have felt it my duty to lay before them, they will not attempt to minimise the perils of the situation which has been brought about largely by their own neglect and lack of foresight. I believe the country, when it understands this question thoroughly, will not be appeased by plausible and specious excuses. I ask the Government to remember certain words which were spoken by their own Secretary of State for Foreign Affairs on the 19th February last, at Scarborough, when he said:—
"There is no half-way house in naval affairs between complete safety and absolute ruin."
We have reason to fear that the Government have not secured the complete safety of this nation with regard to our naval position, and I trust that they may not be responsible for its absolute ruin.
I am quite unable to follow the hon. Gentleman who has just addressed the House, or to agree with him in his evident entire belief in force, or to agree with him in his evident somewhat abject fear of the German Navy. There is on the Paper of the House an Amendment standing in my name. I want at once to say that I do not propose to move that Amendment. When I placed it on the Paper I did so with the full knowledge of the seriousness of the action I was taking, for I believe that it is at all times a serious course for any Member of this House to do anything that might impede the task of the responsible Government. And unless the moment for taking that action is opportune, and unless the action is likely to command the adherence of a. considerable body of opinion in this House, perhaps such action ought not to be taken at all. With your consent I have removed that Amendment, but I cannot quite stifle my personal feelings with regard to the situation that confronts us, and I ask permission to express myself briefly. I shall endeavour to do so with an absence of partisanship, which I believe necessary in a case of this sort.
The maintenance of national security ought to be, and will be, by the general consent of this House, a matter above party differences. But at the same time I feel that there must be in all quarters of the House a feeling, a very sad feeling, upon the melancholy and desolating waste of these huge and growing mountains of profitless expenditure. The burdens of these armaments fall most heavily upon the poorest, and although the various sections of this House have their various party cries I believe every section will claim that the great object of their political exertions is largely to promote the aims and ideals of labouring people. The greatest interest of these people is peace, and the cultivation of warm and eager feelings of friendship, not only among their fellow-countrymen, but throughout humanity at large. If you will allow me I will refer for a moment or two to the enormous and stupefying growth of expenditure that is likely to stifle all the best interests of this country. During the past generation there was an enormous and rapid growth. I believe that generation" will go down to posterity as one of prodigality and waste. I know, of course, that the members of the House acquaint themselves with these figures, but I do not think it out of place that now and then they should be stated in all their naked monstrosity. In 1880 we thought £10,000,000 sufficient for the naval defence of this country. In 1886 we were spending £12,750,000; in 1890 we had gone up to £15,750,000; in 1895 we had gone up to £17,500,000. Since that day we have actually doubled this gigantic sum! Where is this "Rake's Progress" to end? We are asked by the Government to-day to consent to a small increase over last year's cost. Now I have ventured to think that the Government might have spared us this increase of expenditure; but of course the Government, with those sources of information which they have at their command, and which are not available to us, have assured us that they are bound in the existing condition of affairs to increase the size of our fleet year by year. I think those who have listened to the speeches here, and the country at large, will agree that some increase, some development in our naval programme s necessary at the present time. On that account I withdraw my Amendment. The Government have made mistakes before, and possibly even a mistake is being made to-day, and in my humble capacity as a private Member I shall watch with great interest the outcome of these new calculations. If at the end of 12 months I think it is necessary to renew my feeble criticisms I shall not hesitate to do so.
We are to have four "Dreadnoughts" put down, and there are four phantom "Dreadnoughts"—[Several HON. MEMBEES: "Real"]—behind these substantial ones, the shadows of which lie across our path at the present time; and gentlemen on the other side are already demanding that these four phantom "Dreadnoughts" should immediately materialise. I know the First Lord of the Admiralty is a strong man for economy and judicious expenditure. I feel that he has made this statement to the House with the knowledge of the tremendous pressure which will be put upon him by gentlemen opposite, and by the Press of this country immediately to make these four "Dreadnoughts" into eight. I hope the First Lord of the Admiralty will keep himself thoroughly cool. Now, I agree with the hon. Gentleman who has just sat down when he said this is not the moment for panic. I deprecate panics. I denounce the levity of expression of some of the great organs of this country, which promote and stimulate panic; and I would ask hon. Gentlemen opposite to think less about Germany, and to talk less about Germany; to try to return, at any rate to some extent, to those feelings of English pride which used to animate us all, and to some historical knowledge of past events. Our old sea-dogs never had this preponderating power when they won at Trafalgar, St. Vincent, and other great battles of the past. Now, forsooth! it is to be at least three Englishmen to one German, and then some people cannot sleep in their beds! On the question of the wisdom of naval construction, I think the Prime Minister—I am speaking as a business man who has to do with ordinary everyday affairs of a commercial concern —I think the Prime Minister was perfectly right in regard to the danger, risk, and folly of rushing into construction on vessels that might before long be obsolete.
We here in this House are constantly confronted and hindered in these criticisms, which we would like to make by references to the experts. We are told to trust the experts; to have a blind, trusting confidence in these veiled prophets of the Admiralty. I put it to those gentlemen who refer so constantly to the experts that it is not a proper position for a Member of Parliament that he should be expected to deal with the experts so much as with the Admiralty. We have to do with the Government, and it is for the Government to consider their experts, and to take or reject the advice which those experts may from time to time give. As a business man I have a proper appreciation of experts in their proper place, but when the experts seem likely to direct policy then I say the expert is a dangerous man indeed. In an amateurish sort of way I am sometimes inclined to take the liberty even of doubting the supreme value of the expert advice upon which our Governments act. I do not know where these extraordinary long-range guns that are supposed to be about to operate against the German Fleet in the North Sea will, during most of the months they are at sea, see the mark at which they aim owing to the great prevalence of adverse atmospheric conditions. No doubt the Government must, I suppose, take the advice of their experts with regard to the construction of these great floating castles that they are about to put on the water. All these great ships will be most admirable. They will be all unsurpassed, and unsurpassable, until a new generation of experts arise and put them on the scrap-heap.
I got from the First Lord of the Admiralty the other day a Return of the number of ships scrapped during the last two years. The number of those ships is 78, and the cost of them was £8,000,000. They have now been sold out for £370,000. Might I suggest to the First Lord of the Admiralty a more profitable customer than the scrapper? Why not offer them to some ambitious Eastern potentate, or to some South American Republic? I fancy some of these people would readily take these ships off the hands of the Government, and I do not think there would be any imminent risk. I know in my own business, at any rate, I am very glad to dispose of obsolete machinery to my competitors. But I just want for a moment to refer to one or two of these vessels so lately scrapped. And oh, the irony of it! In the first place there is the "Alarm." The "Alarm" seems to have alarmed its owners more than it was ever likely to do an enemy. The "Alarm" some 14 years ago cost £56,000, and has just been sold for £3,000. The "Conqueror"—that surely must have been the last word about naval construction by the experts of the day—well, the "Conqueror," built in 1886 at a cost to the country of £402,000, has just been broken up for £16,800.
And then there is the "Immortality." In 1889 it cost the suffering taxpayer £260,000, and last year was scrapped for £16,000. The "Sans Pareil" met with a similar fate and cost a similar amount of money. I appeal to the Government— although, perhaps, such an appeal is unnecessary, I still make it—from this day forth to make every effort that a Government can make to promote the best, the most kindly, the most friendly relationships between ourselves and the people of Germany. Considering the pass at which we have arrived, I believe there is no other way out of the difficult position that confronts us. ["Oh, oh."] Surely, hon. Gentlemen on the other side do not sneer, I trust, at the power of friendship and mutual respect. And that is all I ask. I believe in treaties, in concordats, and arrangements, if they can be made binding. I quite agree that there are two sorts of these, agreements, as it appears to me. One sort is made between great potentates and powerful Governments, and another sort between the common peoples of different nations. I am getting rather to mistrust the power of the great directors of different States to promote, by means of treaties, those friendly relations. I do ask the Government, our most enlightened Government, to use every means they can to draw us nearer and nearer to those with whom sudden panic might thrust us into conflict. I feel that the importance of returning to peace and sane expenditure is not sufficiently appreciated amongst us. I feel that Europe has a great interest in this matter. This old and partly worn-out Continent of Europe—["Oh."]—Aye, it is so—is on the eve of coming into the throes of competition with the young and lusty continents. This Continent of Europe is thickly populated, and many of its resources are being rapidly used up. Its greatest rival across the Atlantic is just awakening, and making ready to take advantage of those many natural gifts which we have used for so long. That continent is less populated than Europe, but it is affording a home year by year to many of our most sturdy citizens who go to develop its fortunes. I say that the great question of peace is not only a European but it is a national question, and in the competition which Europe is going to have to face it will need all the advantages of combinations and cheap Government if it is to compete successfully with younger and fresher communities.
I share most fully with the hon. Gentleman opposite his determination to put the defences of this country beyond question. I agree with him that the safety of the country comes first, but we have provided for it. I am bound to say that I think the speech of the hon. Gentleman was unduly alarming, to go no further. We recognise the gravity of the situation, and the speeches of the Prime Minister and of the First Lord of the Admiralty yesterday showed that. We have made due provision for the situation, and, as the late Civil Lord said, there is no need whatever for any panic. There is not the slightest reason why anybody should endeavour to make our flesh creep, or to conjure up hypothetical contingencies, which, so far as I can see, cannot possibly arise, and if they do, we have plenty of time to meet them. What is the situation with regard to "Dreadnoughts," to which the hon. Gentleman directed most of his speech? I have done my best in an honest, simple and patriotic way to see exactly how we stand. As far as my information goes, under normal conditions, in the autumn of 1910 we shall have ten "Dreadnoughts," and Germany will have five. I am taking October. But it is pointed out that Germany has hastened the preparation of the four ships of the 1908-9 programme, and that those ships might really be completed by the close of 1910, which would give this country 10 "Dreadnoughts" and Germany 9. I do not believe that can possibly happen. I do not think the four German ships can possibly be ready by that time, but if it should happen, I admit that the margin of 10 and 9 is a narrow one. But I would call the attention of the hon. Gentleman to the fact that we have enormous reserves of pre- "Dreadnought" ships. The contingency is remotely possible, but in my humble judgment, at any rate, it will not arise. I will take next the four ships of the German 1909-10 programme. I understand that the Leader of the Opposition yesterday insisted that those four ships would be ready also by the close of 1910, in which case the Germans would have 13 "Dreadnoughts" and we should have 10. That I cannot accept at all upon the evidence before me. My right hon. Friend the First Lord of the Admiralty admitted yesterday that in respect of the second four there has been a collection of material, and that one was laid down; the second he knew nothing about, and he had been informed that the other two were not laid down. I cannot possibly understand how, at the close of 1910, there could possibly be 13 German "Dreadnoughts" in commission.
In my opinion and upon my information, I say the most gloomy prospect we can consider is that at the close of 1910—I am very doubtful about it, however—we shall have 10 "Dreadnoughts" to the German 9. In March, 1911, we will have two more—the "Neptune" and the "Indefatigable." That makes 12, and my impression is that at that time, if Germany has 9, it will be all she will have. I frankly admit, and everybody agrees, that the well-being of this country is more important than mere party considerations, and I am putting the matter from that point of view. We shall have 12 in March, 1911, but I admit that in the next month or two it is possible that Germany may have another or a second, making 11, if they can possibly get them ready in that time. May I point out that though the margin is narrow, we have an enormous preponderance of pre-"Dreadnought" ships. In July, 1911, however, we shall have 14; and in November, 1911, we shall have 16. I assume that by that time all the four German 1909-10 ships would come in, leaving Germany with 13 at the very outside. At the close of 1911, therefore, the situation would be—it could not be worse—that there would be 16 British "Dreadnoughts" and 13 German, [f Germany accelerates the next four ships that is what I would call the 1910-11 programme, as she has accelerated the 1908-9, 1909-10 programmes, then in April, 1912, she might have 17 ships. I would not put it higher than that. If she did not accelerate them she could not have her 17 ships until the autumn of 1912. Taking the most gloomy view, if we laid down the four contingent ships—which my hon. Friend called the "phantoms"—of our 1909-10 programme on 1st April, 1910, and power is taken to do it, then in March, 1912, we should have 20 "Dreadnoughts" to a possible German 17. Let me repeat that I put it as clearly as I can. If Germany accelerates her 1910-11 programme she possibly and conceivably, might have 17 "Dreadnoughts" by April, 1912. If we confine ourselves to the first four in the Estimates for this year at that date we should have 16 to Germany's possible 17. If we lay down the four contingent ships on 1st April, 1910, by April, 1912, we shall have 20 "Dreadnoughts" to Germany's possible 17. That is the situation. But that is not the whole story. To-day we have four "Dreadnoughts" in full commission. The "Invincible" is coming round to take her trials, and she will be in commission at the end of this month. That will make five "Dreadnoughts" in commission by the end of this month. There is not another nation in the whole world has a single one. Germany will not have one until October of this year, when I assume the "Nassau" will be commissioned; and the second one, the "West-falen," in December. Not only have we five "Dreadnoughts," but our original "Dreadnought" was completed in 1906, and in commission and on the high seas 27 months. She has cruised at least thirty thousand miles. Hon. Gentlemen opposite forget the experiments we have been able to make for those 27 months with the "Dreadnought" will be of enormous advantage to us in dealing with the types of ship we are now making. We have gained enormous experience as a result of that 27 months, and with that experience we have been enabled materially, I can see, because the papers passed through my hands from day to day, to add to the fighting efficiency and effectiveness of the succeeding "Dreadnoughts." That also shows the desirableness, as put by the Prime Minister and the First Lord of the Admiralty and the Member for Koch dale, not to build beyond the actual requirements of the moment People really must not talk as if there were no British Navy prior to the "Dreadnought." The hon. Member for Fareham, I am glad to say, endorses that, but I did not hear him say much about the Navy previously to the "Dreadnoughts."
To-day we have 40 first-class battleships which will still be under 20 years of age in April, 1912. There is no other nation or any combination of any two nations which have anything like such a magnificent reserve as that. Scrap the eight "Royal Sovereigns" and the "Renown," "Bar-fleur," and "Centurion," and yet after doing so you still have those 40 first-class battleships, every one under 20 years of age, looking ahead so far as April, 1912. We have two "Lord Nelsons," splendid vessels, each 16,500 tons displacement, with four 12-inch guns and ten 9.2 guns, and so far as I can gather looking at the Returns, and not being a naval expert, I should say there is no other country in the world which has on the water ships comparable with the "Lord Nelsons." I met more than one naval officer who would rather fight with "Lord Nelsons" than with "Dreadnoughts." In addition to the two "Lord Nelsons" we have eight "King Edwards" of 16,350 tons of displacement each, with four 12-inch guns, four 9.2-inch, and ten 6-inch guns. We have two "Swiftsures" of 11,800 tons and 11.985 tons displacement, with four 10-inch guns and fourteen 7.5-inch guns. We have five "Duncans" of 14.000 tons displacement each, and four 12-inch guns and twelve 6-inch guns. We have eight "For-midables" of 15,000 tons displacement, and with four 12-inch guns and twelve 6-inch guns. We have six "Canopuses" of 12.950 tons displacement, with four 12-inch guns and twelve 6-inch guns; and nine "Majesties" of 14,900 tons displacement, with four 12-inch guns and twelve 6-inch guns.
Then there are the armoured cruisers, of which we have a magnificent flotilla of thirty-five. I do not think anyone will say that any combination of two Powers could put into the sea against us such a flotilla as we have of armoured cruisers. There is perhaps the most vital consideration of all, which has not been mentioned in these debates, though, at any rate, it ought to be mentioned, if only briefly, and that is the personnel of the British Navy, of the officers and men. The House and the country and the world knows the tradition of the British Navy, and, so far as I can see, watching it with great sympathy for many years, and very closely for the last twelve months, it is as great and as good now as ever it was at any time. Therefore, critical as the situation is, and I have not, I assure you, minimised the seriousness of the situation, I say, our scheme, so far as I can honestly judge, does meet that situation. Considerations of duty to the nation has compelled us to meet it, and there need be no anxiety. We have met it, and shall meet it.
Having dealt sufficiently with the speech of the hon. Member for Fareham, let me say a word in response to the arguments of the hon. Member for Rochdale. I know many Members who deplore the necessity for this three millions of increase. I suppose everybody does. [An HON. MEMBER: "No."] Well, I do. I suppose everybody in the House must. Personally, like my hon. Friend, I pray for peace. I desire to see our relationships with foreign countries become more and more friendly. I desire to see the differences between great civilised Powers settled, as he does, by peaceful arbitrament. I think the ultimate recourse to physical conflict, as he does, dreadful to contemplate. Like him, I harbour no ill-feeling whatever against any of the peoples of the world. I rejoice in their prosperity, I delight in their advancement. I view with dismay, as I think everybody must, to whatever party he belongs, the crushing burden which this rivalry in armaments has thrown upon Christian civilised people; and further, like my hon. Friends, I want money for social reform. And obviously, if I spend my money on battleships, I cannot have it for old age pensions, the problem of unemployment, the problem of poor law reform, and all those other pressing problems upon which we are all so concerned in all parts of the House.
What I do want to put to my hon. Friend and those who think with him is that before I can enter upon social reform I am bound obviously to place national security upon a firm and lasting foundation. I should have thought that is, and I believe it is, a matter of common agreement. Therefore, the British Navy is to me an all-essential protecting arm, that arm upon which, in the terms of the preamble to the Naval Discipline Act:
Take another view of the situation. View the matter from the point of view of the daily occupation and daily existence of the 44,000,000 of people here at home. Our mercantile shipping registers 10,823,816 tons net, as against the 10,012,501 tons of all the other European countries put together. The daily food and daily occupation of the 44,000,000 people of the United Kingdom depend, to an extent insufficiently realised, on products from abroad, the safe conduct of which across the great sea highways the Navy is ultimately responsible for. Last year we produced in this country -under 29,000,000 cwts. of wheat; we imported over 104,000,000 cwts. Roughly, I should say, four out of every five loaves of bread eaten by our people last year were made from wheat grown abroad. The total value of our imports, excluding bullion in specie, was £593,000,000 sterling. Of this £240,000,000 worth was on account of imported foodstuffs. But more. Over £203,000,000 worth was in respect of raw or partially manufactured materials, upon the prompt and safe delivery of which the artisans of Lancashire, of Yorkshire, and the great industrial centres generally, depend for their daily living. There are £593,000,000 worth on its way to these shores every year. Dislocate this steady, homeward procession and want and destitution cast their shadow over the land. But, further, not only £593,000,000 homeward bound, but another £500,000,000 worth of exports outward bound.
From this point of view alone it would be very difficult to over-estimate the vital importance of a powerful Navy. What becomes of Free Trade when you have lost the free sea highways of the world. I do not like to trench on delicate ground, but it is not the tramp of the foreign legion I am most afraid of, it is the march of hunger that causes me most anxiety. Take the question of the food supply mentioned shortly last night. The stocks of wheat and wheat flour in this country, according to the Commission, are very small, and possibly would not last more than a few weeks. Once let a hostile force destroy or even seriously dislocate the steady stream of grain that comes into this country day by day and week by week, and where would you be. I admire very much the grim, determined way British people met their reverses nine years ago, and I suggest no disparagement when I remind the House food was not affected on that occasion. A rise in the price of the quartern loaf of a single penny means an additional cost of at least thirteen millions per year. I should think 80 per cent, of that would be paid by the working classes, who have very little reserve to fall back upon, and a great deal by persons between whom and actual destitution there is always the thinnest partition. From the point of view, therefore, of the continued comfort and prosperity of our people at home it would be difficult indeed to over-estimate the vital importance of the Navy. You cannot lightly dismiss this guarantee of safe transport. M. Bloch, the proposer of the first Hague Conference, made a statement which I think, extremely interesting. He said:— burden. I regret it, I deplore it; but we have to face the facts. But if you examine the Navy Estimates from the point of view of the merchant shipping, it is remarkable how comparatively cheaply this country gets off. On last year's Estimates, as fat as I can make the calculation per ton of our merchant shipping, the British Navy costs £2 18s.; while the naval expenditure in other countries works out per ton of their merchant shipping at—Germany, £5 6s.; Italy, £6 2s.; United States, £6 10s.; and France, £10 10s. Therefore, as a mere insurance for merchant shipping the British people are not very heavily taxed, comparatively speaking, in the Navy.
But leaving all that—and I suppose there is common agreement on that point —I want to put this point to the House. Through many generations, by many a struggle, and with great vigilance, the British people have built up a system of Government which, with all its shortcomings—and they are many, whichever party is in power—is less irksome, and gives greater liberty and security to the individual than any other in the world. That is a priceless possession which, if once lost, you could not restore. To me, at any rate, the Union Jack is a kind of latter-day covenant in the sky, assuring to all who come under it freedom and fair play. Deep down in his mind, though the sentiment is quite inarticulate, that feeling exists, from the humblest sailor and soldier in the King's service. If it were put to him he would probably deny it at once in rather gorgeous language, but the sentiment is there; I know it. I was born and brought up amongst these men, and I know exactly what their sentiments are. It is surely the duty of the politician to see that the material support with which the country furnishes these men is adequate and well found. That I believe is the earnest desire of the great majority of my fellow-countrymen of all classes and creeds. I believe that, irrespective of party, the great majority of the people of this country are under no delusions as to the vital necessity of keeping the fleet in a position of unassailable supremacy. Even so gentle-minded a man as Lord Morley has used these words:— the matter of the liberty, safety, happiness, and general well-being of the people, sincerely, "All this piling up of dreadful engines of war, all these tens of thousands of armed men eagerly impatient for the leash to be slipped, make war in the end with any other in the world. That is not the result of a happy accident; it is the outcome of a deliberate policy pursued during many centuries. Those who read history will know that wherever we have lost territory on land—and I do not for a moment disparage the soldier—there has been at the back the inefficiency of the fleet; and they well know, on the other hand, that whenever we have gained land successes—and again I do not disparage the soldier—it has been because of the fleet's readiness and ability to open up the way, keep the path clear, and thus make the victory secure for the soldier.
In the case of the States?
If the hon. Member reads history he will know that at that time the fleet was not so efficient as it might have been. The people know these things, and they are too shrewd to forget what they have learnt at the cost of blood and treasure. It was said last night most eloquently by the hon. Member for Tyne-side, "Why not confer, so that you might bring about a reduction of the crushing burden of armaments?" We have conferred. The Prime Minister stated last night what has been the result of those conferences. I do not doubt that the British Government would always be ready to confer if an opportunity arose for bringing about a reduction of armaments. But I wish to make it quite clear, as far as I am concerned, that such a reduction would have to be simultaneous. You cannot fairly ask the British people to take the lead. The late Lord Goschen made that quite clear when, in dealing with the Czar's Memorandum on this subject, he said:—
"But if Europe comes to no agreement, and if the hopes entertained by the Czar should not be realised, the programme which I have submitted to the House must stand."
I really do not see what else he could have said; I do not see what else we could say to-day. There are some men in this House and a great many outside who say "quite inevitable." To that I reply that, after all, it is the politician and not the fighting man who makes war.
It is he also who prevents it.
What is the alternative 1 Are we to weaken our defences lest those very defences should provoke war? If we did, so long as the world remains unregenerate—and I am afraid it will remain unregenerate for some time— our very weakness would invite attack. Weakness is a more likely provocative of war than strength. In my opinion strength is the security for peace.
Well, Sir, there it is! It is no good halting between two opinions. Either you must scrap the whole of the British Navy at once or you must make it thoroughly certain—as far as it can be humanly determined—that the Navy is invulnerable against attack. Any other course is ridiculous, is wasteful, is dangerous, and may very well be disastrous. My right hon. Friend the First Lord, the Civil Lord, and myself have worried this thing out day by day, night by night, week after week, for months past. We have worried it out, I can honestly say, with the utmost painstaking. I would not like to tell the House the pains we have taken over the matter. I might not be believed. We were not dictated to, as the hon. Member for Rochdale suggested, by the experts. We came to our own deliberate judgment, and I venture to think that if any other three men of any party in this House had had the same task put to them they could have done no more, and would have done no less than we have done in preparing our Estimates. We are not morbidly anxious to build "Dreadnoughts" for the mere sake of building them. We are bound to look dispassionately and judicially at the programmes of other nations. We have done that. The House heard yesterday from the Prime Minister and the First Lord the extraordinary efforts which have been put forward by a great, friendly, neighbouring Power. Personally, I make no complaint about their preparations. These good people know their own business, I suppose, just as we know ours, and we each propose to mind our own. After examining the situation calmly and dispassionately, we have arrived at what we honestly believe to be a minimum of charge consistent with the national safety; and. having arrived at that deliberate conclusion, honestly and patiently, we should be false to our consciences and false to our fellow-countrymen if under any consideration whatever we were to depart from it.
I have listened to my hon. Friend, as I always do, with great pleasure He has a bright and breezy style, which makes one sometimes doubt whether he is the son of a soldier; his manner is more that of the sailor. I want to point out to my hon. Friend that the unregenerate man, to whom he has referred as being ever ready for war, has an extreme dislike of taxation, and it is upon that text I wish to address the House. At the beginning of this Parliament I came to Westminster with high hopes of an amendment in the state of the national finances. I longed to see a reduction in the profligate expenditure upon armaments. Equally did I long for social legislation which should uplift the great mass of the poor in this country. In one respect my hopes have been disappointed. But I am not going to give up hope yet, even on this point. In other respects I have to express the greatest admiration for the work which this Government has done in many directions, particularly in regard to foreign policy. I am not going to claim for the present Foreign Secretary a monopoly of wisdom, calmness, and foresight; I give equal credit to his great predecessor in office, the Marquess of Lansdowne. We have been told that expenditure depends upon policy. Our foreign policy has been admirable, and to my mind it is nothing but sweet reasonableness to expect a happy result from such an admirable policy. Most speakers have agreed in speaking of the present situation as extremely critical. "The Times" of Saturday used the phrase, "The serious realities of a very critical situation. "In the Amendment which my hon. Friend the Member for Rochdale, who spoke with an earnestness which I believe impressed the House, has not moved, there are the words, "The continued friendly relations between us and other countries." Our relations with France are admirable; they are almost everything that could be wished; and when I reflect upon what they were 10 years ago I thank God for the improvement. Our relations with Portugal are excellent; our relations with Spain cannot be said to be in an unhappy position; our relations with Italy are of a most friendly character; our relations with Russia have been enormously improved by the Convention relating to India; our relations with the United States are also of a most friendly character. There only remains Germany. Germany, I allow, has been listening with apparent pleasure to music of a military character for a good many years, and now the time has arrived to pay the piper. They are discussing to-day, and have been for several weeks, the proposals of the Government with regard to new taxation. I do not know if the House realises how hardly and impartially those proposals will fall all round. There is increased taxation on cattle, on beer, and on wine; taxes on electricity and gas and succession duties. The Government has been absolutely impartial. We have been talking yesterday and to-day, and for many a day before, about ships. We have many amongst us who have a comfortable feeling when we are told about the number of ships which have been built for our defence. I wish we could always think of the millions spent on these ships. I wish we could always think of money instead of ships. What do these figures mean? £8,000,000, £24,000,000, and £34,000,000 extra for Germany, and £40,000,000 extra for us. What could we do if we had that money to spend among our own people? It is a sight to make the gods weep that two great and reasonable nations should be discussing to-day which can excel the other by a week or two, or a month, or two months, in the building of an ironclad. A month hence we shall be discussing not ships but taxation, and I venture to prophesy that there will be from these "benches eloquence amounting almost to screaming when my right hon. Friend the Chancellor of the Exchequer makes his proposals. My right hon. Friend will pinch me next month or I am a Dutchman. Let him take heart. He may tax me up to the neck, and I will not say a word in opposition to him, but if I get a chance of voting against increased taxation on the poor next month I will take that chance. I know something of Germans and of Germany. I have travelled a good deal in Germany, and I have had in private and official capacities delightfully pleasant opportunities of meeting there all classes of His Majesty's subjects. I can assure this House that all the men with whom I was associated on a journey not long ago were forced to the conclusion that every German they met was desperately anxious to prove his friendship towards us. I will give the House one very striking illustration of it. We were members of the Royal Commission on Canals and Waterways, and we were taken through one of the large works in Germany. The works I speak of were the Badische Anilin and Soda Fabrik. We had been conducted through the works, and on going into the street there was a long range of carriages baiting for us. Standing near by there were hundreds of workmen who had just come out into the street on the way home. Not a sound was made until one man advanced from the crowd, and, taking off his hat, said, "You are Englishmen. We have no quarrel with you. "My own feeling towards Germany is that of respectful admiration. Germany, or rather Prussia, has set for 100 years, in one particular, perhaps the best and noblest example that has been set by any nation in the world since the battle of Jena. They have trained their people well. There the university is absolutely unapproached in the world. I do not believe that the greatness of Germany comes from her Army. It comes from her Universities and schools, and I desire that we should follow that example. This year there is an increase of the Army Estimates and of the Navy Estimates. We have not yet got the £300,000 extra from India, and I hope it will not be insisted upon, for, like my right hon. Friend the Member for the Forest of Dean, when I heard that we were going to screw another £300,000 out of the desperate poverty of India I expressed my shame along with him. During this year, when there has been an enormous increase in the Army Estimates and the Navy Estimates, we have reduced our grants for Universities. Oh! the shame of it. Oh! the pity of it.
We are now discussing the Navy Estimates, and not the general political situation.
I will submit to you, as you find that I have departed from the strict line of logical argument. The First Lord has told us what are the objects of the Navy. I cannot give his exact words, but what he said will be in the recollection of the House. In the first place, it was to defend our shores; secondly it was to prevent a hostile attack on our Empire; and thirdly it was to prevent the destruction of our foreign trade. In regard to the first, there is no question whatever on the part of any man in this House that our shores must be defended. That goes without saying. With regard to the defence of the Empire, all I have to say is that I have observed with pleasure a growing spirit of manliness manifested by our brethren in the colonies with regard to the question of national and Imperial defence, and I hope the day may come when their contributions to the cost of our Navy may be adequate and such as would do them credit. About the next object, though I do not speak as an expert, I want to say a word. Why should our over-sea commerce be destroyed in time of war? To my mind, and I will not mince words, our maintenance of the claim to destroy private property at sea is nothing but a demand to commit legalised piracy. Germany being the greatest military power in the world has joined the rest of the civilised world in abandoning the right to destroy private property on land. Why should not we, as the greatest Power on the sea, give up the right to destroy private property at sea? I remember very well the speech of my right hon. Friend the Foreign Secretary on this subject—a speech the power and dignity of which greatly impressed this House; but I did not agree with that speech. My hon. Friend the Member for the Tyneside Division dealt with this subject in his brilliant speech last night with an eloquence which I cannot imitate. If the speech was slightly marred, I am bound with all respect to him, to say it was by carrying a reductio ad absurdum a little too far, but I do say that that speech was the most instructive that was delivered yesterday. It was certainly the speech that went straightest to my heart. I believe that if we were ever to give up the right to destroy private property at sea, we should do nothing to detract from the dignity of this country. On the other hand, we should raise and elevate our dignity rather than diminish it.
I intend to make an appeal to the Government, and I have frankly to say that if the appeal is not listened to, I shall with all my power continue to press this question on the attention of the House, and invite all who may be induced to join with me to aid my efforts to bring to an end that which is a mere relic of barbarism. My right hon. Friend the Prime Minister has said that in our policy there is an entire absence of threats. Well, I am thankful for that, but I want my right hon. Friend to go one step further, and it will be a great step further. I want him to abandon this right to destroy private property at sea. I want him further, in the name of all the peoples of these four kingdoms, with the frankest and fullest courage, to offer our friendship, and not merely the absence of threats—to offer the warm hand of friendship to the German people. By doing so I believe he will appeal not only to the best among the Germans, but to the hearts of the great mass of the German people.
In the very few words I will address to the House I shall refer to the position which had already been taken by some before the debate of the last two days took place. They were anxiously perturbed at the prospect of a further increase of naval expenditure, but I am quite sure that all Members of the House, to whatever conclusion they come to on so high and important a matter, must agree that the whole situation has been changed by the events of yesterday. Before the debate of yesterday happened, there must have been many Members of the House, like myself, who realised that in all parts of the country there were large numbers of persons who were very anxious indeed at the prospect of increased expenditure, and that there was in all parts of the country, among a great variety of people, a very respectful and very firm demand that the necessity for further expenditure should be made absolutely clear. I am one of those who were impressed by that anxiety, and who shared the desire for a full explanation. I would like to say, as briefly as I can, to what extent the announcements made yesterday have made it possible to be satisfied with the position. In the first place, I desire to thank the Government most heartily for the fullness and frankness of the exposition they gave. I have only been a Member of the House during this Parliament, but for many years I have been a student of its proceedings, and I think there is no parallel in recent years of the Government of the day taking the House so completely into its confidence in a matter of this kind. One can well understand what obvious reasons there are why the traditions of official reticence should be observed in so delicate a matter as this, but I think that hon. Members in all parts of the House will think with me that the Government have chosen a wiser course in saying what they did By doing so they are far more likely to assuage anxiety and secure support than if they had merely taken refuge in hints and casual remarks. They have, as it were, thrown their cards on the table. Now that the facts have been made clear to us, may I say that as regards the "Dreadnoughts" they have proved the necessity for an increase up to the hilt. No doubt the Memorandum of the First Lord will be the subject of very careful debate, but as regards the programme down by the Prime Minister and the First Lord I am convinced, although I regret it more than I can say, I am convinced that the necessity for it has been made out. I say that though that necessity can never be more than a distasteful one to those who share, as I do, the views of the Member for Koch-dale, and those of the hon. Baronet who has just spoken, with regard to money for education and social reform. There is a necessity for maintaining a strong Navy. It is not only that the Navy should be strong, but it should be recognised as being strong enough. After what we heard yesterday I cannot feel that the Government are doing anything too much to preserve not only the actual security of the country, but the consciousness of the security which is so important to the nation. We know that in 1912 there will be 17 "Dreadnoughts" within comparatively easy reach of these shores under the control of the nation possessing the greatest Army in the world, and next to the dangers of war are the dangers that come to a country when there is a widespread sense of insecurity, with the consequent apprehension. From a Liberal point of view may I say that we have our especial reasons in the course we take, for there is growing up a feeling both in this House and out of it that the maintenance of a supreme Navy is the sheet anchor of Free Trade, and that it will be the safest guard against the system of conscription. For these special reasons, which are subordinate to greater reasons which we share with Gentlemen of all political views both in this House and the country, we believe, distasteful as the necessity is, that it is our duty to support the Estimates of the First Lord. I support them not with a light heart, but without hesitation, and I am convinced that amongst very many people in this country, when the explanations of yesterday are thoroughly digested and understood all doubt and anxiety will give way to a grave and stern resolve to support the Government.
I rise to protest against the decision of the Government to close the debate to-night. A situation of the utmost possible political gravity has been created by the tone of the debate yesterday. The situation is quite unparalleled. Its gravity is not fully appreciated in the House. We are discussing Navy Estimates, but we are discussing Navy Estimates in a manner, the like of which I have never heard during a quarter of a century. Never before have any military or Navy Estimates been discussed on the basis of measuring them against the Estimates of another Power. I regret the method on which the Debate was carried on yesterday between the two front bnches. I regard it as being most ominous, most grave, and most terrible, and in my mind it is fraught with gravity to the future of this country and the civilised world, because the future of the world is deeply concerned in this matter. These are the methods and this is the language by which are heralded the mutterings of the storm between two great nations. Generally when two great and powerful civilised nations begin to measure against each other their military and naval forces there ought to be in the heart of every man who has any regard for the progress of mankind and the peace of Christendom a sense of responsibility. This debate ought not to be closured until every opportunity has been given to the House of Commons to consider the gravity of the situation. And I hope by the tone which in the future this debate will be conducted' that something will be done to mitigate the irritation and anger of the German nation which must be created when they read the speeches of yesterday. From the beginning to the end the debate was a menace to Germany. I heard in this House yesterday and over and over again outside this House complaints that the naval preparations of the Germans are nothing but a menace to this country. One hon. Member yesterday, who sits on the Labour Benches, and for whom I entertain the greatest possible respect, spoke of the preparations of the German nation as the preparations of a burglar. All this is published in the Press and read by the German people. It is the fatal seed that may lead to war. By such passions nations and statesmen drift into war, no matter how great may be their reluctance. The German people are held up to us as a hostile people, because they have made military preparations greater than ours. Have the Germans not cause for complaint? Can you not attempt to-put yourselves in the place of the German people? Have not Ministers, exMinisters, and hon. Members read the foul and disgusting language of menace which has disgraced the pages of some of our leading magazines and newspapers for the last three or four years, in which the doctrine has been deliberately preached that the true policy of England was to strike now and destroy the German fleet in time? Is it to be expected that the German people are to take all that lying down, as the phrase goes? Have they not a right to quarrel with your language of aggression? We need not go further than the language used by the Minister for War. Was not some of it calculated to provoke the utmost possible suspicion? What has been the line of argument adopted in defence of the extraordinary claim—which I have always thought very foolish—of the two-Power .standard? It has been said that we have a small, weak Army, and therefore England must have a supreme Navy. And some hon. Members used to say, "How can Germany look upon our fleet as a weapon of aggression?" It has been said, "We have no Army, and how can the fleet be a menace to Germany?" What has been the language of the Minister for War on the subject of preparing a large and effective striking force? To strike where? Whom are you going to strike? You have an understanding with Russia and an alliance with France. It has been said over and over again that the alliance is worth nothing to France until your Army is capable of taking the field beside her, and of striking a blow in the struggle with Germany. When in addition to that language the Minister for War made a speech a fortnight ago declaring his superabundant delight in the sort of conscription which he has adopted lately, and which he was preparing to present to England in a year or two—a force equal to the German Army—
No, no.
I am speaking of the effect of his language. He did say it. He has talked of 20 army corps, equal to the German Army. That being so, then I say what right have you to complain if German Ministers look upon this country with grave suspicion? I warn hon. Members that the only way to avoid war is to en deavour to put themselves in the place of foreign nations, and try to understand how they look upon your language and procedure.
The general effect of the tone of the speeches and the character of the debate of last night, which was perfectly unparalleled in my experience of this House, will tend more for war than for peace. Some hon. Members talk about the naval preparations of Germany as rival preparations, as if they were being made for the purpose of striking this nation. As if they lad no justification! Have not hon. Mem- bers not seen articles in the German Press, written by German Ministers, publicists, and editors, in which it has been stated that you have been endeavouring to surround Germany with a line of allies, and to squeeze her? Do you not know that this has irritated the Ministers to an extreme extent? Is it not only fair to assume that the hurrying forward the anticipation we have heard about of these four great ironclads in Germany is but a precautionary measure, and a reply to your understanding with France and the recent meeting at Reval. Anyone who reads the German Press will see that the meeting at Eeval and the understanding with France gave the greatest possible alarm in Germany. What right have you to say that her preparations, which she claims to be in the nature of self-defence, and which she has as much right to claim as yourselves, are really in the nature of aggression? I notice in the speech delivered by the Prime Minister—admirable, powerful, and lucid at his speeches always are—I notice the admirable language he used to ease the situation and to disarm irritation on the part of Germany, but it will inevitably fail. It was well meant, but it was absolutely fruitless. [An Hon. Member: "How do you know?"] I will tell you. You watch the German Press. I speak not from expert knowledge, but from a knowledge of human nature. What the German Press will look to is the character of the debate, not to the polite and diplomatic phrases used by the Prime Minister. They will learn that the whole of the time of this House was occupied in discussing Britain's preparations as measures against German preparations. Now I turn to the general character of the speech of the Prime Minister, which, I am bound to say, took me completely by surprise. It was a very powerful speech, one of the most powerful I ever heard, and it had an effect on this House which I have never seen equalled. When that speech was delivered the House was crowded. When the Prime Minister sat down the Speaker looked at the House, and the House looked at the Speaker, and for three or four minutes no man rose. That means that the speech of the Prime Minister created a panic in this House, as it has created a panic in the country. There is no use blinding our eyes to the fact it has created a panic, and it was calculated to create a panic in the country. When I listened to that speech of the Prime Minister I came to the con- clusion that he had more in his mind the calling back to the fold of the recalcitrant Members of his own party who are in favour of the policy of peace, retrenchment, and reform than in defending his policy against hon. Members opposite. He made a most powerful and clear speech, but what was the effect of that speech? Has he satisfied anybody by it? I do not think he has. I am quite sure he has not satisfied hon. Members on the Opposition side, and he has not satisfied those in the country for whom they speak. What was the chief outstanding feature of that speech, and to my mind, of the whole debate? It has been to some extent corrected by the hon. Member who spoke on behalf of the Government to-day. Throughout the whole of last night's debate the discussion was conducted upon the supposition that England had no fleet except those "Dreadnoughts," and that if Germany came nearer England in the 'Dreadnought" class of ships England was ruined. In other words, that Germany, in starting to build "Dreadnoughts" was about to annihilate and blot out the fleet of England. I say that the Prime Minister allowed the debate to go to the country on that assumption, and by doing so he was playing up to the panic-mongers and he was arousing among his own party and in the country a spirit and a policy that may sweep him on to extravagances he never intended. That was a feature of the debate, together with the international character of it, that makes it a perfect outrage to close it to-night. Listening to that debate, any man might form the impression—and, after all, the ultimate judgment rests with the men who are not experts, with the public, who have to put their hands in their pockets and to pay, and therefore you must come down from technical language to be understood by the man in the street, and that formed the extreme danger of the speech made by the Prime Minister last night—that the Government and the Front Opposition Bench were engaged in an arithmetical problem, that it was a matter of touch-and-go, a matter of a few months at best as to whether the Germans did not sweep the whole British fleet away and gain the supremacy of the seas. The Opposition seemed to contend that we were done for, while the Government held that the event was three or four months ahead. The ordinary man reading that debate will assume that the only point was whether England could keep her own power and protect herself against Germany. If that were true—and I do not believe it—I speak, of course, with absolute ignorance on Naval matters—but suppose it were true that the British fleet ceased to count except in "Dreadnoughts," then I say the British admiral who first floated a "Dreadnought" ought to be hanged. I will tell you why. He started this awful contest of armaments. British Ministers yesterday, one after the other, seemed to say, "Our hands are clean. We have taken no lead in this cut-throat and ruinous competition" —and no language that any human being can discover can be too strong to describe the horror of this competition, because it means in the end war, and hundreds and thousands of people are saying in England to-day that the cheapest thing would have been to fight Germany now, before she can get her fleet of "Dreadnoughts" built. Who started this competition? Here is the official return given in answer to a question addressed to the First Lord of the Admiralty as to when the first battleship of the "Dreadnought" class was laid down in England, in Germany, in the United States, and in Japan. The First Lord of the Admiralty answered the first ship of the "Dreadnought" class was laid down in England in October 1905, in Germany on 1st August 1907, in the United States of America in December 1906, and in Japan in January 1909, so that England by two years led the world in this mad career. Supposing the Admiralty had this great plan of new battleships, why could not they have waited to see whether any other nation would start upon this mad career, and then the moment any other nation showed the intention of starting such terrible engines of war this country could have followed and could have got ahead of them. It is generally known that no other nation can build as fast as this country. It does not lie in the mouth of any Minister to say that England has not led in this cut-throat competition, and if such a policy eventually leads to the wiping out of the British fleet you will have yourselves to blame. There was one thing said by the Prime Minister yesterday which will have a great effect throughout the country. He said it was no question now of a two-Power standard. I know there was a certain reservation, but the impression he left was that that was dropped out of the controversy altogether. That is not the opinion or the language of the Navy League. I have here the last document issued by the Navy League, and I would like to draw the attention of the House to it. It is a most instructive docu- ment for bon. Members opposite, who ran away from their Resolution, owing to which we will not have an opportunity of voting upon the issue, though we may vote against the Motion that the Speaker leave the chair. Now here is a programme of the Navy League and of the Naval Committee of this House numbering 80 Members. They passed a resolution the other day which says:— did so. Mr. Roosevelt sent a strong message to the American Congress calling upon them to build four great ironclads in one year greater than your own. What did the American Congress to? The people of Boston and Massachusetts got up a memorial to the Congress in opposition against this great increase of armaments, and Congress, in spite of the entreaties of President Roosevelt, the strongest President they ever had in the United States, for years, cut down his programme and refused to build more than two ironclads. But see what an example you are giving to the United States. Supposing the United States of America were to adopt this language, and I think they will very soon adopt it if you do not change your policy speedily. Supposing they said, "We have.the largest seaboard in the world, we have interests to defend in two great seas, so broad that we cannot concentrate our fleet within a year on one side or the other, we are threatened in the Pacific by a Great Power, and must defend ourselves, and you have called that Power into existence, and the danger which has assailed us is of the most serious character because of the treaty between Japan and England "—supposing they say that is a most serious thing, and they must take steps in consequence.
I read this morning in the "Daily News," the organ of peace, a leader in which they said it was quite conceivable that in a was between Japan and the United States England might by the force of the secret treaty be compelled to take the side of Japan. What has brought about that great world cruise of the American fleet? It was the Japanese fleet which you called into existence which brought the American fleet round the world. It has brought a very great difficulty for America, and if America said to-morrow, "We must be mistress of the seas, we have two great coast lines to look after," what would be your answer? Would you wish to build against America if she wished to build against you? Why, she would break your back in 10 years. If America were to build against you even single - handed, I say she would break your back in 10 years. Therefore, take care and pause before you bring this about by your talk of a two-Power standard and your 10 per cent, margin over America and Germany combined. If you provoke America into taking the field against you I warn you, and I know what I am talking about, that America has resources which would enable her to beat you alone and single-banded, and that in very short time. You insisted on flourishing these challenges in the face of the whole world while you ought, on the contrary, to use your great power and great position to set an example of moderation and peace. You ought to avoid these boasts and you ought to drop this talk about the two-Power standard. By all means take such measures as are reasonable and modest for your requirements, like a strong man who h not falling continually into panics and scares. Give up this comparing publicly your resources with foreign nations and take such care as may be reasonably necessary to guard your shores and commerce, but do not be boasting and bragging about the British flag sweeping the seas, or the day will come when it will not be the British, but the American flag that will sweep the seas.
And remember this, that it is the boaster who generally comes to grief in these matters. I read the other day a speech delivered by the Chief Secretary for Ireland at Bristol, commenting upon the Presidential Message of Mr. Taft, the new President of America. Mr. Taft, the new President of America, inspired by the spirit of Mr. Roosevelt, urges the Americans to embark upon building a great fleet, even after the rebuff which Mr. Roosevelt had got from Congress. What did the Chief Secretary for Ireland say? He said: "These words of Mr. Taft are words of doom, and they condemn the civilised world to this abominable conflict and rivalry of armaments." I say that the Chief Secretary for Ireland had no justification for using such language, for when that very message of Mr. Roosevelt calling upon the Americans to build a gigantic fleet was published in "The Times" the comment of "The Times" was that this was most satisfactory. I believe that America would never have embarked upon this great fleet if you had not set her the example and encouraged and driven her into it by the Japanese Treaty. For my part, I oppose this increase of armaments. I believe it is unnecessary, but I oppose it because of the fact that in my judgment the language adopted during the debate yesterday will arouse a spirit in the country which will drive us to an increase of armaments far beyond anything which is dreamed of or foreshadowed in the proposals of the Government. When you arouse panic in this country or arouse passions of this character they are generally very little controlled or restrained, and really I think that the time has come when Liberals ought to cast back their minds to their last war, and to what their greatest leader, Mr. Gladstone, said in 1894, when the naval armaments of this country cost 15 millions, and when he was driven from power by his own followers because he would not consent to an increase of three millions. He resigned then, although he was willing to remain at the head of the Liberal party, rather than consent to three millions additional expenditure, because he foresaw where this proposal was going to lead to. He foresaw that these Estimates would be increased, and he told us what the result to the civilised world would be if this House began this rush for naval armaments. That was, he saw, the first step, and now the naval Estimates are 35 millions. If you consent to the present programme they will very soon be 40, 45, and 50 millions, and there can be no end of it, except European war or bankruptcy.
The hon. Gentleman who has just sat down has delivered, as he always does, an eloquent and impressive speech, and he has shown, if he will allow me to say so, more of that disinterested concern in the interests of England and of that close and intimate know ledge of the intentions and desires of America and England than has commonly been associated with him in the past. The hon. Gentleman has made, and this was the burden of his speech—he has made a very grave suggestion against the Prime Minister. He said, if I understood him rightly, that in using the very grave and serious language which he used yesterday in this House, the Prime Minister and the Leader of the Liberal party opposite, in order to get over a party difficulty in regard to certain of his followers who desired a reduction of expenditure on the Navy, deliberately, and in the face of the House and the country, overstated his case, knowing what he did, in order to get over a difficulty with his own followers, and overstated it to such a degree as to produce what the hon. Gentleman has described as nothing less than a panic and a risk of war in this country between two great nations. I cannot imagine myself a graver charge than that. I have not had time, and I do not think anybody can yet say whether the first part of the charge is true—viz., that there is anything in this country at this moment which can properly be called panic as the result of the language of the Prime Minister. I am quite certain in this, however, that the hon. Gentleman has entirely failed, in my judgment, to show, what it was necessary for him to show, to establish his contention—viz., in what particular the right hon. Gentleman the Prime Minister overstated the case which he had to present to the House of Commons. What is it the right hon. Gentleman said of which the hon. Member for Mayo complains? Everybody in every quarter of the House, I think, recognises the gravity of the situation with which we are faced. Even the hon. Gentleman the Parliamentary Secretary to the Admiralty said this afternoon in a speech which has been described as breezy and optimistic and which, I think, will have its due effect on Members in every quarter of this House—he did not deny for a moment that the situation was v. hat he called critical and demands serious and prompt attention. The situation is critical and the proof of this, if it were needed, is that the hon. Member for Rochdale not only withdrew or failed to move his Amendment, and so, by implication, agreed to this great increase, but he also said in set terms to the House and to the country that, in his opinion—and I suppose he has studied the situation with the greatest care of which he was capable— that, in his opinion, we have come to such a pass in this matter that the only way out of it, he believed, was to cultivate friendly arrangements with our rivals.
If that is so, if friendly arrangements are to be relied upon, we might as well give up the Navy altogether and rely upon such arrangements in all contingencies, as we propose to rely upon them in this. The situation is, and the hon. Member for Mayo has failed to show that it is not, a grave and critical one. The First Lord of the Admiralty stated that these Estimates were of exceptional gravity from the financial point of view. That is quite true, and if the House will allow me, I shall have a word to say about that in a moment, but the real gravity of these Estimates is that their form seems to suggest that the Government, for reasons which I cannot understand, is afraid to go plainly to its supporters and ask for the provision which it knows to be necessary. Hon. Gentlemen opposite know well enough that in these matters money is never the difficulty, that the House of Commons will grant whatever is required for the needs of the country, and if it does not, the country will insist that it does. The real gravity lies not in the financial gravity, but in the revelation and statement made yesterday, on authority, of the needs of this country in the matter of its naval defence and condition, as to the decay which has taken place in its relative capacity for providing out of its own resources, the amounts necessary to defend its interests. I am one of those, to use a Parliamentary phrase which I dislike—I am one of those who believe that it is quite possible with the Navy, as with any other service, to overdo it, to spend too much money upon it, and I believe that with the Navy, as with other services, if too much money is spent upon it you do the service great harm, as well as entail other disadvantages connected with it. When I first saw these Estimates, and before I heard the speeches which were delivered yesterday, I thought the provision for new construction of four new "Dreadnoughts" to be laid down this year was amply sufficient from the point of view even of the two-Power standard. But the two-Power standard now, I understand, is no longer mentioned. The hon. Member for Fareham says he makes out that what we are concerned with now is not a two-Power standard, nor even a one-Power standard, but a three-quarter-Power standard, and it appears to me there is good foundation for that. What is meant by the two-Power standard in the matter of new construction? I understand it means simply that we ought so to arrange our construction Vote as to ensure that, selecting our two greatest naval rivals, for every pennant which they hoist in a new ship in their navies we should be able to hoist our pennant in a similar ship alongside. I thought that had been attained. I knew, and it is not denied, that at the present moment our resources in these new ships are amply sufficient, and I believe anyhow, until the end of 1910, that sufficiency will remain. But that was because I believe, as the great mass of people in this country believed until yesterday, that we had such an advantage in relative speed of building and in general shipbuilding resources as to enable us easily to make good any great addition to the forces which our naval rivals might see fit to make. I do not see how that opinion is to be maintained any longer.
There were three outstanding declarations made by the Government yesterday. In the first place, we were told Germany is now able to build the largest ships as fast as we can; in the second place, that she is actually doing it; in the third place, and this appears to me to be a really serious and sinister thing, we were told categorically that the fact that Germany was either able or intended to build these great ships in these numbers and at this pace was entirely unforeseen by and unknown to the Admiralty, whose business it was to foresee and know these things, until the event was actually upon them so recently as in November last. The Government having made these confessions—because they are nothing else—hascreated a situation in this House and in the country which might very well produce even the sort of panic which the hon. Member for Mayo alluded to. It is quite clear it is a matter which goes very far beyond these Estimates, and I think the hon. Member was well justified in pointing out that the character of the discussion so far has confirmed that view. But merely confining it for a moment to its purely naval aspect, and assuming that what the Government have solemnly told us is true, let the House observe two results which appear to me immediately to follow. Up to this moment we in England have paid very little heed to paper programmes, and for two excellent reasons. First of all, we have seen many of them, and we have observed that in nine cases out of ten they are not carried out for one reason or another. Secondly, and mainly, we have believed that up till now we have had, and we have in fact had, such an advantage in the rate of building that it has been obviously our plain duty and interest to wait and see what foreign Powers do, and when plainly, in the light of day, such and such a ship is in fact laid down and being constructed, we had, up to yesterday, in the belief of everyone in the country, the power of saying, " Very well Here these people are laying down this ship. That is nof paper; it is steel. We will now set ourselves to ensure, as we are bound to do according to every accepted canon, that when she hoists her pennant we shall hoist our pennant alongside her in a ship of equal strength." But all that is going to be altered, and if that is so, and if we have no longer any advantage in the rate of building, if we are to understand in future that the Admiralty does not know for certain what is being done in regard to the necessary preparations for laying down a ship, there is no escape from this, that the safety of this country demands that in future our construction votes, upon which the whole naval expense depends, are to be governed not as they have been up to now, by what foreign Powers are actually and in fact doing, but they will have to be governed by what foreign Powers may choose to say on paper they intend to do. That is an enormous revolution in naval policy, that whereas, as. it were, up to now we have merely had to put steel against steel, to build ship, against ship, we shall in future, if what the Government have told is true, have to put steel against paper, and have to build against paper programmes in our own interest and in the absolute-necessities of the case. There is. this further disadvantage, that up to now, because of our superiority in rate of building we have been able not-merely to commission ship for ship with our two greatest foreign rivals, but it has-been a better ship, because we have been able, through the extra time we have been' able to spend in waiting, to take advantage of all the improvements in building-and in armament, and in all the thousand things that make up a ship. It appears, to me quite clear that in dealing with construction Votes, in which we are really concerned, the whole question is the rate? of building, and when the Government tell us that we have all been wrong in supposing we in England have any advantage in our power of building ships in point of the time it takes to do so, the Government are bound to tell us, what they have not told us yet, what it really is they mean? the House and the country to understand. We are told such and such a ship took so long from the time the keel was laid. The House, I am sure, by this time is well aware that the laying of the keel is really a perfectly meaningless date. You might just as well date the construction of the ship from the day on which you put in her funnels or her mainmast. The laying of the keel has no meaning whatever, and it is illusory to make comparisons which involve that date. There are only two-dates which have any reality in the construction of ships. The first is the date on which the design, is completed in the Admiralty and the first orders are given for the ship to be put in hand. The second is the date on which that ship hoists her pennant and is commissioned ready for action. The House and the country, after what has happened, will have a right to know quite clearly what is the difference in respect of these two dates which the Admiralty believe to exist between England and Germany. There was an indication given yesterday by the First Lord. He told us the two "Dreadnoughts" which are to be ready in July, 1911, will be ordered at once as soon as Parliament has agreed to these Estimates. It does not mean that the keel will be laid, but the order will be started at once. He said these ships, he understands, will take two years and three months to build. What is the view of the Admiralty as to the time in which similar work will be done in Germany? We do not know. He has not told us. I hope within the next day or two the right hon. Gentleman, having aroused suspicions, having told the House and the country that we have no advantage at all, as I understand, in speed of shipbuilding, will make clear whether or not he means that we have no advantage at all from the date of order to the date on which the pennant is hoisted. Until he does so, one has to assume that he means that we have lost, owing to the great development of Germany in the last two years, the enormous and valuable advantage which we had in speed of building.
If the Government is right, and we have lost that advantage, somehow or other, the first interest of this country in regard to the maintenance of naval power is to regain the advantage which we have lost. The right hon. Gentleman said yesterday it would tax the resources of our great firms to retain their supremacy in rapidity and volume of construction. I believe the fault in this matter, if fault there be, lies not with the great firms of this country, but with the methods which the Admiralty have adopted in arranging for the construction of these ships. I have observed that foreign men-of-war of the largest size built in this country are built very often, indeed usually, faster than our own men-of-war. When they are built they are equally good, as is shown by the fact that more than once we have bought them back, and they are well known to be admirable ships. I believe the great shipbuilding firms of England are able to build as fast as those of any other country in the world if we give them a fair chance, and I believe the fault, as I have seen several times in the Public Accounts Committee, is that the Admiralty continually harass and bother the builders of ships by interminable changes of design, of armament, of gun-mountings, and all the details which go to make up a ship. If that is so it is enormously important that that should be altered. We have to regain the advantage, if it can be done, and I cannot but suppose it can be done, which we have lost in speed of building, and if the right hon. Gentleman will look carefully I believe he will see the continual changes which are constantly coming before the Public Accounts Committee as having increased the cost and the time of building are the real trouble so far as trouble exists, and if possible they ought to be done away with. I believe if that were done and the methods of the Admiralty in that respect were simplified, the ships would cost a good deal less, but even if they cost more it would be money very well spent, because we might in that way save in the end.
As to the main question, I have tried to follow exactly the situation in which we stand. We are told these Estimates are framed with a view to the position in 1912, and we are told that, at the end of that year anyhow, even if there is no acceleration at all of the German programme, Germany will have 17 of these "Dreadnought" ships. I believe at the same time the United States of America will have eight, assuming that their programme is carried out. That makes 25 in all. We are asked to assent to a programme which on the Government's own showing will give us 16 ships of this character against 17 possessed by Germany and eight by the United States. It is quite true that powers are asked to build four more, but those four are not in the Estimates. They depend entirely on the discretion of the Admiralty. I am entitled to ask, and I am convinced that the country will ask what confidence either the country or the House can have in the information and discretion of the Admiralty after the speeches which we have heard? These four ships, which have been called phantoms already by an hon. Member behind the Government, are to be begun, these powers are to be used, if the 1909-10 programme of Germany is accelerated so that the four ships which compose it are laid down before April, 1910, and ready before April, 1912. How are the Government going to find out whether the German programme is accelerated or not? The whole difficulty is, the Government tell us, they do not know.
Will not know for some time.
The right hon. Gentleman said yesterday "the difficulty in which the Government finds itself placed at this moment is that we do not know the rate at which German construction is taking place." What security has the House that the Government which does-not know it now will know it any better in 12 months? And yet it is on the assumption, and on that assumption alone, that they will know that they are to be entrusted with the discretion to build these four warships. I do not understand why the Government did not know; and I would ask what steps do they propose to take to insure that in future they will know at what rate German construction is taking place. It seems to me a disquieting thing for this country, which depends for its life upon its naval defence, to be informed that the Admiralty, whose very purpose it is to know, does not know at what rate German construction is taking place. I hope that the right hon. Gentleman will be able to tell us at any rate that he is taking steps to insure that in future the Admiralty shall know at what rate the construction of our rivals is going on. It may be that the contention of the hon. Member for Mayo is true, and that the Government, whether deliberately or not, has overstated its case. I do not know, but I say that in the absence of any better information we are bound to take the facts and figures that the Government present to us, and that on the case as they have made it these Estimates, which provide only for the laying down of four of these large ships this year are utterly insufficient. I do not believe that the country itself would stand—I am sure it would be very dangerous if they did—the sort of margin which apparently the Government contemplates between ourselves and Germany in ships of this class, as the Secretary has said, possibly a margin of one next year and a continuous margin of not very much more for the next few years—
Remotely possible.
The hon. Gentleman says remotely possible. He is assuming that he knows at what rate construction is going on in the German Navy. He must not forget that his immediate chief, who sits on his left, told us yesterday that he did not know.
That I did not know the rate. That is quite a different thing from not knowing what is actually being constructed.
While the actual construction is a matter of importance, the rate of construction is even more important. The question is not what ships are being built, but when these ships will be ready. If the right hon. Gentleman assures the House that he does not know the rate at which the ships are being con- structed, it amounts to this, that he does not know and we do not know when these ships will be ready. In view of the revelations—I can call them nothing else—on the part of the Board of Admiralty and of the Government, I do not believe that the provision made in these Estimates—four ships; that is all we are dealing with here —is adequate. And I think before very long the Government will find that they will have to make some further assurance of a very different character in order to turn these phantoms, as they were called by a hon. Gentleman behind the Government, into realities. I regret that it should be necessary to incur this enormous expense on armaments, but I think it a very serious and lamentable thing that the Government of this country should have to come down to the House of Commons and tell us that they had been entirely misled in regard to these vital matters until the event of which they knew nothing was actually upon them, and I do think that the speeches to which we listened yesterday from that bench, corrected to some little extent, though by no means entirely, by the more breezy and optimistic utterance of the Parliamentary Secretary to the Admiralty to-day, do leave, and must leave, a very deplorable impression of the want of foresight and acumen with which the Board of Admiralty have administered their enormous responsibilities.
As it might be thought in Germany that the statement made yesterday by the hon. Member for Stoke reflects the opinions of the Labour party upon this great matter, I want to say here and now that we most emphatically dissociate ourselves from the statement contained in the speech of the hon. Member for Stoke. And again, we want to say to the Government and to my Friends on this side of the House that we shall oppose these Estimates by every means in our power. It is a disgrace after 20 centuries of Christianity in a country from the whole of whose pulpits is preached the gospel of peace that you have £35,000,000 of Naval Estimates for a year. For what? To alienate people. You might as well throw the money into the sea, from the standpoint of productive purposes. We on these benches are of opinion that there is no quarrel between the German workman and the British workman. What are the facts? Thirty of my colleagues are going to Germany at Easter. They are going to meet German representatives. The international Socialist movement of this country is a movement that is doing something for peace. It is drawing the workers of the different countries of the world together. Organised labour must progress along the pathway of peace, and this great nation of ours, which is so rich in many things, ought instead of discussing Estimates for £35,000,000 sterling be considering how they could approach the other Governments of Europe and say to them: "Is not it time that we ceased from this expenditure?" I have my doubts as to whether we have tried it honestly or conscientiously.
I have some knowledge of the enemies that we have got to fight in every country. The enemy of the British working man and the enemy of the German working man is not Germany or England. The enemy is in their own country: the capitalist classes, which they have got to organise against. If it were not so, I would not be speaking here. We have had to struggle here against the tyranny that has been placed upon us. We want to say to the German workmen from our places in this House: "We fight for peace in our country—you oppose, as you did oppose in the Reichstag, all these Estimates, and the Socialist representatives and the Labour representatives must oppose them in this House." We say send a message of hope to these people and not a message of this description. You know as an absolute fact that the whole of your military policy in this country is based upon and conceived upon fighting Germany within the next few years. [Some cries of "No."] Well, that has been stated to me by officers. I am now giving statements of men of high rank in the British Army; they were probably not meant to convey the impression so fully, but they have conveyed, undoubtedly, to my mind, by their statements, that the whole purpose of the present tactics is based and conceived upon war with Germany within a few years. We have had it always admitted from both Front Benches in this debate that the policy of the Navy is based upon the policy of Germany, and on a probable war with Germany. May God send that that war may never come.
After all, it is not your battleships alone, or your armies alone. Have you thought of the economic waste that comes out of it all? We went into the South African pirates' raid without realising what was going to happen; and those of us in the industrial world who are working to bring about conciliation and avoid any more fighting are doing so because we have seen and experienced the brutality of the fight and the harm which it does. What we are doing in the industrial world can be done, if men are earnest, in the political world. I would plead with the House to come back to the old Liberal words of peace, retrenchment, and reform, to cease from such aggressive steps as this, and to use your machinery of reform and your statecraft to introduce .agreement between the nations of the earth, so that the money which otherwise would be spent in this direction can be let loose to be spent in other directions for the betterment of the people.
We have listened with interest to the speech of the hon. Member who has just sat down. I feel that the hon. Member and those who think with him who talk of peace utter sentiments with which everyone in this House must agree. The difference between the hon. Member for Stoke and the hon. Member who has just spoken on this question is, that whilst they both have the same object in view, the language used by the hon. Member for Stoke is more likely to attain that object than the language used by the hon. Member for Preston. [MINISTERIAL cries of "No, no."] I am sure it will be the feeling of this House that in this debate we should confine ourselves to the great issue which was raised by the three important speeches which were delivered yesterday. An excellent speech was delivered in reply to the hon. Member for Fareham by the Secretary to the Admiralty, but I think he dismissed my hon. Friend's speech much too lightly, and I do not think he answered that speech in the few sentences which he devoted to the arguments advanced by my hon. Friend. A great many figures have been quoted on both sides of the House, but I think it is desirable to find some simple formula by which we can state this issue perfectly plainly. I think I shall be putting the case quite fairly and clearly when I put it in this form: At this moment we have, built and building, 12 "Dreadnoughts." Germany has built and building 13 "Dreadnoughts." Does the First Lord of the Admiralty assent to that proposition?
assented.
Does the right hon. Gentleman also assent to the proposition that there are 13 "Dreadnoughts," built and building, in Germany?
It is difficult to reply off-hand in language which will be understood in the sense in which I use it. In the sense of "built and building," there are not 13 ships of the "Dreadnought" type in Germany, but in the sense that materials have been collected, and consequently the building of them will be greatly facilitated, that statement is true so far as I know. I can only be sure of ten such ships actually under construction at this moment—there may be 11—and certainly materials have been collected for two more.
I think there is very little between us. I mean by building that several months of work has already been put in towards the construction of the ship, and in that sense, built and building, Germany has 13 "Dreadnoughts " to our 12. That is, I think, a perfectly plain statement.
I now come to the second part of the statement that Germany has an equal power of output of ships in the future. That has been admitted on both sides of the House. Now if these two statements are put together it covers the whole ground. It means that Germany has one "Dreadnought" more than we have to-day, built and building, and her power of future output is at least equal to ours. Is that a situaion which we can regard with any satisfaction?
It is not true. Taking the figues which the hon. Member uses, although Germany may have 13 ships now actually being built—or perhaps I had better say with work done in respect of them—those ships will not be completed and cannot be completed within two years, because, although the time for building any one ship may be two years, you cannot build eight ships at once in two years. You can lay down supplies of gun-mountings, but even a great firm like Krupp's could not supply the mountings for eight ships in two years if laid down at once. Although Germany may have eight ships on which work was begun some time in the course of the year 1908, all those eight ships could not be completed within the same time as we could complete the two ships which we laid down last February.
I do not think that touches my point. I am afraid we are again getting into the question of dates and figures. [MINTSTERIAL cries of "Hear, hear."] I am not afraid of that point, although it does not make the matter so clear as the way in which I am putting it. The right hon. Gentleman has assumed that Germany has laid down these eight ships at once, and, therefore, that she cannot complete them in two years.
I made that point clear yesterday.
On the contrary; if my recollection serves me right the right hon. Gentleman said they had laid down four on or before August last of the 1908 programme, and that the four ships belonging to the 1909 programme were being gradually laid down and the material collected for them.
I stated yesterday that:—
"If we were supposed to be constructing eight ships we could not complete them in two or three years any more than Germany could. You can complete two perhaps in two years, but if you propose to lay down six you cannot hare them completed in two years unless you lay them down at fairly regular intervals."
It is not a question of supposition, but a question of fact as to what the Germans have done. We are not discussing a question of supposition at all. I am not absolutely acquainted with the present position of the German power of construction; but my point is that the Germans have laid down this number of ships, and the question of whether eight ships can or can not be constructed simultaneously does not enter into the question because the Germans have not laid down eight ships simultaneously. As I have already said, they laid four down on or before August of the programme of 1908, and four of the programme of 1909 are gradually being laid down and the material collected for them. I do not admit that in regard to the 13 ships which the Germans have now under construction they are in an equally good position to complete as we are with our 12 ships. We have 12 ships laid down, built and building, and the Germans have 13, which gives them an advantage of one. They have equal power of construction in the future, and an equal possibility of rapid construction with ourselves. That is the dangerous position in which we find ourselves.
There are two points I wish to make. In the first place, how have we been allowed to get into this position; and secondly what is the best way of redeeming the situation, so far as it lies in the power of this House? May I preface that statement by saying that I do not think this is a question which ought to have been considered by the House, because it is part of the responsibility of the Admiralty to lay before this House estimates which they can support as being under all conditions adequate to our needs. I consider it is—I will not say shirking—a shifting of responsibility for the Admiralty to bring Estimates down to this House and put the burden upon hon. Members of deciding what is and what is not really adequate for the needs of the situation.
Now how have we got into this position? The right hon. Gentleman in his speech yesterday said:—
I now come back to the point that, to my mind, is the main cause of the enormous expenditure to which we are committed in the coming year, which will be nothing to the expenditure we shall be committed to in the financial year which is to follow. I think one of the principal contributory causes has been the language used by those hon. Gentlemen who are most anxious to bring about peace and a cessation of this race for armaments. It must be obvious to them that, at any rate so far, they have failed in their object, and they have admitted that in the course which they have honourably taken to-day. They have withdrawn the Amendment which was moved, and I am sure that nobody on this side of the House wishes to say a word to them in consequence. But I am sure we are entitled to point out to them that the action which they took on this occasion last year has certainly been a factor in the situation, and has certainly encouraged our rivals in shipbuilding to believe that we could be pressed in the race, and if they pressed long enough we should grow tired first. I believe the only policy for this House to adopt is not to discuss the question from that point of view, but simply to let it be fully understood that without further thought or discussion that our national interest and very existence depends on a supreme Navy. That must not be forgotten by those hon. Gentleman who have said that this policy of ours is a menace, and that the attempt to maintain a two-Power standard or to have a stronger Navy than another country—than Germany—is a menace to that country. Surely those hon. Gentlemen must have forgotten that it is a position we have occupied for years. We have attacked no one in consequence. We have not when we were going to build ships, and when we have got the ships and got the power— which we did not seek to extend, but simply to maintain—we have never used that power aggressively, but always maintained our Navy as an instrument of the peace, and not as an instrument of aggression. Therefore, after being in that position, it seems to me entirely outside the mark to raise that question from the point of view as a menace to any other country. We have simply to carry on the policy which we have carried on for generations, and, if I may put it shortly, I would simply say we have to set our teeth and build, and not talk about it as a menace.
I am sure we on this side of the House are agreed that the Prime Minister's speech, and the speech of the First Lord of the Admiralty, show that they realise the dangers of the situation, and think that they have made adequate provision in the present Estimates. Nothing has been said from that side of the House yet to give us a reason why these four phantom ships—I do not consider them phantom ships, and I hope they will prove to be anything but that—to give us any reason whatever, to convince so far, as to why these four ships were put down in the form in which they appeared on the Note and on the First Lord's Memorandum, and not on the Estimates. What objection could there have been to their being included in the Estimates? We have heard nothing against that course; it is the customary course to lay down ships to be started in the year, and it would not involve a penny further expenditure. It would look more resolute. When I saw that Note—of course I do not know what the way of these transactions may be—but that "may" and that Note smelt ill to me. I cannot help thinking that we have heard a great deal of the differences of opinion on that side of the House, which have been publicly expressed, and it must appear to some of us on this side of the House that that Note and the elimination of these four ships from the Estimates—where they should certainly have appeared—is a concession to what I may call the Little Navy opinion of that side of the House. If that is so, surely it is not too late to remedy that. So far as this debate has shown, the area of the Little Navy opinion in this House has been greatly reduced within the last few days, and I think, perhaps, the First Lord of the Admiralty devoted rather an unnecessary amount of attention to it, considering the arguments he was about to use—devoted in the opening portion of his speech—when he remarked upon the seriousness of the proposals which he was going to make to the House. I think he might have left those proposals to speak for themselves. They required no such speech.
It is obvious to him what effect in the House, and the country, his statement, and that of the Prime Minister, have made. What is the objection—and I hope we shall get a definite answer to this—what is the objection in the face of the world to our putting down these four ships in the Estimates of this year, and thereby without any official juggling or any new procedure or waste of time, placing the Board of Admiralty in the position of getting together the materials, or laying down a ship on whatever date appears to them desirable? I do hope we shall get a straight and adequate answer to that question. I have another question to ask which arises out of this debate. The position being what it is, and has been shown to be, and as I started by trying to con- centrate it upon the House, the right hon. Gentleman admitted in his speech last night that he knew in November that these four ships were being begun. Well now, last November, and not only in November but in December, the Prime Minister was answering questions in this House on the two-Power standard, and he was giving a definite undertaking—he had previously given a definite undertaking—to maintain the two-Power standard, and on 13th November, 23rd November, and again on 17th December, the Prime Minister, in answer to my hon. Friend the Member for Fare-ham, gave a definite assurance of what that two-Power standard meant. By the showing of the First Lord of the Admiralty himself, at that very time when the Prime Minister was defining the two-Power standard, and announcing his adherence to it, the information was actually in possession of the Cabinet that this action was being taken by Germany. The Prime Minister was by that statement that he was making, committing himself to the two-Power standard when he was aware of circumstances which were putting us below the one-Power standard. [Loud MINISTERIAL cries of "No, no."]
I was aware of nothing of the sort, nor am I aware of anything of the kind now. On the contrary, it is my belief that if the proposals suggested by the Government are adopted by this House we shall attain, or maintain, and much more than maintain, the two-Power standard up to the year 1912.
I cannot quite see how that statement agrees with the right hon. Gentleman's speech last night, nor does it seem to me to agree with facts. We are not at present discussing the two-Power standard. I am not bringing this in from that point of view. I must again repeat the statement with which I began, that we have at this moment one "Dreadnought" less than Germany building, and Germany has equal building facilities to our own.
The two-Power standard is not measured in terms of "Dreadnoughts" alone. You must take into account, as the right hon. Gentleman very well knows, the whole of those other ships which my right hon. Friend enumerated.
I am not discussing the one-Power standard as regards Germany, but I am basing my statement upon the words which the First Lord of the Admiralty delivered. He distinctly told us last night:— was very fair in doing so—and I do not want to take anything out of that—he admitted the case; and surely it is relevant, in considering any other single Power, to suggest that the Government are not justified in allowing us to go behind that one Power in the number of our first-class capital ships.
Surely the House would not assent to that. But that estimate of "Dreadnoughts"—that modified, calculated speech was accepted in the debate yesterday. I do not want to put it too high— or offensively—but I do want to call the Prime Minister's attention to the fact that when he was admitting the two-Power standard he was at that time in possession of the information which we had in the House yesterday; and surely I should suggest—and I think we on this side of the House are of opinion—that in view of the position that the Government would have been well advised if they had followed the example of Mr. Goschen on an earlier occasion, and come down to the House—which was then sitting—it was November and December —and have laid the position before the House while there was still four months more to retrieve it, and asked for additional money and powers. I think we desire to know on this side of the House why that course was not takes. The real question that is to be decided is—we do not want to rake up old sores so much, except so far as guidance for the future1 goes—but what we do want to know is, whether the Government will now—and I am sure they will receive the approval of the country in doing so—whether they will now put down these four additional ships in the Estimates? I do not know whether we can get an answer to that to-night, but this debate will be continued to-morrow, and the general debate will be continued possibly on Monday as well. I feel sure if the Government consider this matter again, and consider the impression—well, I suppose they have considered it—yes, and it is very unfortunate that it has to be considered from a new point of view. I agree entirely with the remarks made by my hon. Friend the Member for Norwood that it is a very grave matter that the problem which the Admiralty has to consider in the future is a new one. We have always had the advantage, the incalculable advantage, that we could build quicker and turn out ships more rapidly than any other country. The problem which the Admiralty has to meet is now a totally different one from what it was in those days. It is an enormous difficulty to the Admiralty, that they can no longer wait until a ship is laid down and feel confident that they will be able to have another ship ready to meet it. I do not wish to prolong a debate in which I think the argument has been all on one side. We have had no real answer to the questions which have been put from this side of the House, and the responsibility now lies upon the Government, the facts being before them, to decide whether they will provide for this country what must be, not what may be—because we cannot take risks—but what must be in any eventuality an absolutely sufficient fleet for the needs which we may have to meet at any time within the period covered by the programme now under discussion.
The observations which I am about to make may not be as popular to-day as they would probably have been before we entered upon this debate. I ventured to place upon the paper an Amendment declaring against the proposed increase by the Government of their Navy Estimates. Those of us who made ourselves responsible for that Amendment were influenced by the fact that in our opinion our expenditure for this purposs is already far too high. Though, as I have already said, this opinion may not find that amount of support that it might have done even at an earlier stage of this Session, I think what took place yesterday, and what has taken place to-day, makes it the more important that even a small section of this House should continue to stand for the position declared for in my Amendment. There can be no disguising the importance of the debates which are presently to close. I think it is a debate of a more serious character, having regard to the position that has been represented by leading speakers in it, than any I have heard during the five years that I have been a Member of this House. It is serious, because in my opinion it represents the complete triumph, or shall I say, because I do not want in the least to exaggerate the position, that it represents the beginning of the complete triumph of the Navy League and of those who represent them in this House. And what is there involved in that complete triumph. I may be wrong, but I have a very shrewd suspicion that there is involved in that triumph the abandonment of the position for which Liberalism has been forced to stand as the stout defender in this country. No one can examine the magnitude of our Estimates for the present year, no one could have listened to the speeches made yesterday by the First Lord of the Admiralty and the Prime Minister, without thinking, "Well, after all, is there any longer a great party in this country prepared to be recognised as being the defenders of the old position formerly represented in the watchwords, ' Peace, retrenchment, and reform'"'? When I go back into the speeches of the late Prime Minister, when I remember some of the magnificent speeches of the late Mr. Gladstone, and when I also contrast those speeches with what has taken place during the present debate, I can keep two great leaders in my mind, and quote those words: of the minority of this House. Though we heard the statements made, though we listened to the dialogue that I have already referred to, what do we find? We find that the position that was argued here yesterday is already challenged by a printed statement in one of our papers to-day, a statement made on the authority of a representative and an official in the German Reichstag. I find that—
I again ask, could we expect that Germany should sit down and watch for two decades the alarming progress of expenditure on naval affairs that has characterised the outlay in this country? May I call to mind from a paper issued by the Ad- miralty on 30th July, 1908, the following figures of comparison between Germany and England respectively for the decade 1899–1900 to 1908–1909. During that time Great Britain has spent no less than £318,647,127, and Germany during the same period has spent £107,927,573. Nor is that all. Not only have we that alarming difference, but British expenditure during the period exceeded that of Germany and France put together by no less a sum than £84,597,526. I want hon. Gentlemen opposite to pause before they are carried away by the scarifying statements made from the Front Bench.
I am compelled to come to this conclusion: that the statement having been made last year about a two-Power standard—and right hon. Gentlemen have been endeavouring to get to know from the Government ever since that statement was made what they mean by a two-Power standard—and now we find a policy of naval expenditure has to be adopted to fit the statements that were made last Session with regard to this two-Power standard. I will venture to say that if we will keep in mind the relative size of the navies of the world there is no justification whatever for asking us to agree to this alarming expenditure. I find that Great Britain has 57 battleships, 34 cruisers, 154 destroyers, while Germany has 22 battleships, 8 cruisers, and 83 destroyers. I need not quote other figures. I could have quoted others, to show that if we take any two Powers there is still nothing for us to be carried away with the alarming statements that have been made in this House during this debate. May I quote a statement made by a responsible Member of the party opposite. A few weeks ago, speaking at Cleckheaton, I think, the right hon. Gentleman the Under-Secretary of State for the Home Department said:— ing terror into the hearts of men who, I believe, have convictions, but somehow or other the party influence has been greater on this occasion than the conviction. That will not prevent us from availing ourselves of the only opportunity there is left to us to divide against the main question: "That the Speaker do leave the Chair," to show our protest.
We believe this policy that is being adopted in these Estimates to-day, that it is the most serious step, and as I have already said, the country can only interpret it to mean there is not now one of the great parties of the State pledged to the old policy. I can congratulate my friends here above the Gangway. This debate has proved a wonderful triumph for them as the associates of the Navy League. They have but got the beginning, it is true, and there is the word "may," yet after the speeches we heard yesterday the word "may" is not worth the paper it is printed upon. I will venture to say that the Government has started on the downward track, and my friends above the Gangway will see that they go down the grade with all the expedition that they can provide for them. The closing words of the hon. Gentleman who last spoke showed to us that they were prepared to insist in the demand not for the four "Dreadnoughts" but for the eight. [Several HON. MEMBERS: "Hear, hear."] I am delighted to have that support on the point I have made. It is a definite proof that the arguments I have put forward, the case I have endeavoured to state, the conclusions that I have drawn from the debate are correct. And that they will see to it before very long that those other four great capital ships will be begun upon, and when they have got that in keeping with their policy they will come and ask for more.
And when they return to power, and I suppose we must take such a thing into consideration—I hope the time will be long—but when they do return to power I can see from this debate they will have any amount of argument provided for them. They will then from those benches be able to declare, "We told you so when we were in Opposition, and our predictions were fulfilled." And when the Prime Minister, who will then, I suppose, be Leader of the Opposition, rises to challenge the position, and it is so much more easy to challenge when you are in Opposition than when you are in power, I am well aware of that, for this is the second Opposition I have been associated with on these benches, and I do not forget how my right hon. Friends used to try to pulverise those who sat opposite in those days, when we will all have the old experience.
May I say, with all seriousness, that up till now there seemed to be one party that was prepared to adhere to the old principle that there was something else to do to put your money in such magnitude upon the building either of ships or the maintaining of an aggressive military policy. And I will venture to say that today that position is no longer with us. We feel compelled to take this step also in opposing this Vote, for the simple reason we are convinced that if this policy is not checked we may say "Ta-ta" to all social reform. Yes, we are quite honest in this business. We do not go to the country and on the platform profess to be in favour of social reform, and then come here to do something entirely different. During the three years we have been here we have consistently shown our desire to do something for the great mass of the people in this country. We are anxious to continue this policy, believing, as we do, that there is something more to exist for than the building of great battleships. We believe that the strength of this nation does not exclusively depend upon the strength of either our Army or our Navy. On this point may I quote an opinion expressed on the floor of this House in one of those magnificent perorations to which we used to listen when Lord Hugh Cecil took such a conspicuous part m our debates, and especially on that question in regard to which he was so far separated from his party' On the occasion to which I refer, the Noble Lord-said:
rose in his place and claimed to move "That the question, be now put."
Question put, "That the question be now put."
The House divided:—Ayes, 246; Noes, 152.
Division No. 34.] AYES. 8 0 p.m. Abraham, William (Rhondda) Grey, Rt. Hon. Sir Edward Myer, Horatio Acland, Francis Dyke Griffith, Ellis J. Newnes, F. (Notts, Bassetlaw) Agnew, George William Gulland, John W, Nicholson, Charles N. (Doncaster) Ainsworth, John Stirling Hall, Frederick Norman, Sir Henry Allen, A. Acland (Christchurch) Harcourt, Rt. Hon. L. (Rossendale) Norton, Capt. Cecil William Allen, Charles P. (Stroud) Harcourt, Robert V. (Montrose) O'Donnell, C. J. (Walworth) Asquith, Et. Hon. Herbert Henry Harmsworth, E. L. (Caithness-sh.) Parker, Sir Gilbert (Gravesend) Astbury, John Meir Harwood, George Pearce, Robert (Staffs, Leek) Balfour, Robert (Lanark) Haslam, James (Derbyshire) Pearce, William (Limehouse) Baring, Godfrey (Isle of Wight) Haslam, Lewis (Monmouth) Peel, Hon. W. R. W. Barlow, Sir John E. (Somerset) Haworth, Arthur A. Percy, Earl Barlow, Percy (Bedford) Hazel, Dr. A. E. W. Perks, Sir Robert William Barnard, E. B. Helme, Norval Watson Philipps, Col. Ivor (Southampton) Barry, Redmond J. (Tyrone, N.) Henderson, J. McD. (Aberdeen, W.) Philipps, Owen C. (Pembroke) Beauchamp, E. Henry, Charles S. Pickersgill, Edward Hare Beck, A. Cecil Herbert, Col. Sir Ivor (Mon. S.) Pirie, Duncan V. Bell, Richard Herbert, T. Arnold (Wycombe) Pollard, Dr. G. H. Benn, Sir J. Williams (Devonport) Higham, John Sharp Priestley, Arthur (Grantham) Benn, W. (Tower Hamlets, St. Geo.) Hills, J. W. Radford, G. H. Bennett, E. N. Hobart, Sir Robert Rainy, A. Rolland Bethell, Sir J. H. (Essex, Romford) Hobhouse, Charles E. H. Rea, Russell (Gloucester) Bethell, T. R. (Essex, Maldon) Holland, Sir William Henry Rees, J. D. Birrell, Rt. Hon. Augustine Holt, Richard Durning Ridsdale, E. A. Boulton, A. C. F. Hooper, A. G. Roberts, Sir J. H. (Denbighs.) Brace, William Hope, W. H. B. (Somerset, N.) Robinson, S. Bramsdon, T. A. Horniman, Emslie John Roch, Walter F. (Pembroke) Brigg, John Howard, Hon. Geoffrey Roe, Sir Thomas Brooke, Stopford Hyde, Clarendon G. Rogers, F. E. Newman Brunner, J. F. L. (Lanes., Leigh) Illingworth, Percy H. Rose, Charles Day Brunner, Rt. Hn. Sir J. T. (Cheshire) Isaacs, Rufus Daniel Rowlands, J. Bryce, J. Annan Johnson, W. (Nuneaton) Runciman, Rt. Hon. Walter Buckmaster, Stanley O. Jones, Sir D. Brynmor (Swansea) Salter, Arthur Clavell Burns, Rt. Hon. John Jones, Leif (Appleby) Samuel, Rt. Hon. H. L. (Cleveland) Burt, Rt. Hon. Thomas Jones, William (Carnarvonshire) Schwann, Sir O. E. (Manchester) Buxton, Rt. Hon. Sydney Charles Joynson-Hicks, William Scott, A. H. (Ashton-under-Lyne) Byles, William Pollard Kearley, Sir Hudson E. Sears, J.E. Carr-Gomm, H. W. Kekewich, Sir George Seaverns, J. H. Causton, Rt. Hon. Richard Knight Kincaid-Smith, Captain M. Seely, Colonel Cawley, Sir Frederick Lamb, Edmund G. (Leominster) Shaw, Sir Charles Edward (Stafford) Chamberlain, Rt. Hon. J. A. (Worc'r.) Lambert, George Sherwell, Arthur James Cherry, Rt. Hon. R. R. Lamont, Norman Shipman, Dr. John G. Cleland, J. W. Layland-Barrett, Sir Francis Simon, John Allsebrook Clough, William Lea, Hugh Cecil (St. Pancras, E.) Smeaton, Donald Mackenzie Collins, Stephen (Lambeth) Leese, Sir Joseph F. (Accrington) Soares, Ernest J. Collins, Sir Wm. J. (S. Pancras, W.) Lehmann, R. C. Stanley, Albert (Staffs., N. W.) Compton-Rickett, Sir J. Lever, A. Levy (Essex, Harwich) Stanley, Hon. A. Lyulph (Cheshire) Corbett, C. H. (Sussex, E. Grinstead) Levy, Sir Maurice Steadman, W. C. Cornwall, Sir Edwin A. Lewis, John Herbert Strachey, Sir Edward Cory, Sir Clifford John Lough, Rt. Hon. Thomas Talbot, Rt. Hon. J. G. (Oxford Univ.) Cowan, W. H. Lyell, Charles Henry Tennant, Sir Edward (Salisbury) Crosfield, A. H. Lynch, H. B. Tennant, H. J. (Berwickshire) Crossley, William J. Maclean, Donald Thomas, Sir A. (Glamorgan, E.) Dalziel, Sir James Henry Macnamara, Dr. Thomas J. Thompson, J. W. H. (Somerset, E.) Davies, David (Montgomery Co.) M'Crae, Sir George Thorne, G. R. (Wolverhampton) Davies, Timothy (Fulham) M'Kenna, Rt. Hon. Reginald Tillett, Louis John Davies, Sir W. Howell (Bristol, S.) M'Laren, Sir C. B. (Leicester) Tomkinson, James Dewar, Sir J. A. (Inverness-sh.) M'Laren, H. D. (Stafford, W.) Toulmin, George Dickinson, W. H. (St. Pancras, N.) M'Micking, Major G. Trevelyan, Charles Philips Dickson-Poynder, Sir John P. Mallet, Charles E. Ure, Alexander Dilke, Rt Hon. Sir Charles Markham, Arthur Basil Verney, F. W. Duckworth, Sir James Marks, G. Croydon (Launceston) Villiers, Ernest Amherst Duncan, J. Hastings (York, Otley) Marnham, F. J. Vivian, Henry Dunn, A. Edward (Camborne) Massie, J. Walters, John Tudor Dunne, Major E. Martin (Walsall) Masterman, C. F. G. Walton, Joseph Edwards, Enoch (Hanley) Menzies, Walter Ward, John (Stoke-upon-Trent) Edwards, Sir Francis (Radnor) Micklem, Nathaniel Ward, W. Dudley (Southampton) Ellis, Rt. Hon. John Edward Middlebrook, William Waring, Walter Erskine, David C. Molteno, Percy Alport Warner, Thomas Courtenay T. Esslemont, George Birnie Mond, A. Wason, Rt. Hon. E. (Clackmannan) Everett, R. Lacey Money, L. G. Chiozza Wason, John Cathcart (Orkney) Fenwick, Charles Montagu, Hon. E. S. Waterlow, D. S. Findlay, Alexander Montgomery, H. G. Watt, Henry A. Fuller, John Michael F. Morgan, G. Hay (Cornwall) Weir, James Galloway Gladstone, Rt. Hon. Herbert John Morgan, J. Lloyd (Carmarthen) Whitbread, S. Howard Glen-Coats, Sir T. (Renfrew, W.) Morrell, Philip White, Sir George (Norfolk) Greenwood, G. (Peterborough) Morton, Alpheus Cleophas White, J. Dundas (Dumbartonshire) Greenwood, Hamar (York) Murray, Capt. Hon. A. C. (Kincard) White, Sir Luke (York, E.R.) Whitehead, Rowland Wilson, John (Durham, Mid) Younger, George Whitley. John Henry (Halifax) Wilson, P. W. (St. Pancras, S.) Yoxall, James Henry Whittaker, Rt. Hon. Sir Thomas P. Winfrey, R. Wiles, Thomas Wodehouse, Lord TELLERS FOR THE AYES.—Mr. John Pease and the Master of Elibank Williams, A. Osmond (Merioneth) Wood, T. M'Kinnon Wills, Arthur Walters Wortley, Rt. Hon. C. B. Stuart- Wilson, Hon. G. G. (Hull, W.)
NOES. Abraham, W. (Cork, N.E.) Fullerton, Hugh Morrison-Bell, Captain Anson, Sir William Reynell Gill, A. H. Newdegate, F. N. Anstruther-Gray, Major Glendenning, R. G. Nicholson, Wm. G. (Petersfield) Arkwright, John Stanhope Glover, Thomas O'Brien, K. (Tipperary, Mid) Ashley, W. W. Gooch, Henry Cubitt (Peckham) O'Connor, John (Kildare, N.) Balcarres, Lord Goulding, Edward Alfred O'Grady, J. Baldwin, Stanley Gretton, John O'Kelly, James (Roscommon, N.) Banbury, Sir Frederick George Guinness, W. E. (Bury St. Edmunds) Parker, James (Halifax) Banner, John S. Harmood- Gurdon, Rt. Hon. Sir W. Brampton Parkes, Ebenezer Baring, Capt. Hon. G. (Winchester) Gwynn, Stephen Lucius Power, Patrick Joseph Barnes, G. N. Halpin, J. Randles, Sir John Scurrah Barry, E. (Cork, S.) Hardie, J. Keir (Merthyr Tydvil) Rawlinson, John Frederick Peel Beckett, Hon. Gervase Harrington, Timothy Reddy, M. Bellairs, Carlyon Harris, Frederick Leverton Remnant, James Farquharson Bignold, Sir Arthur Harrison-Broadley, H. B. Renwick, George Boland, John Hay, Hon. Claude George Richards, Thomas (W. Monmouth) Bowerman, C. W. Hayden, John Patrick Richards, T. F. (Wolverhampton, W.) Bridgeman, W. Clive Healy, Timothy Michael Roberts, S. (Sheffield, Ecclesall) Bull, Sir William James Henderson, Arthur (Durham) Roche, Augustine (Cork) Burdett-Coutts, W. Hill, Sir Clement Ronaldshay, Earl of Cameron, Robert Hogan, Michael Ropner, Colonel Sir Robert Campbell, Rt. Hon, J. H. M. Hope, John Deans (Fife, West) Rutherford, John (Lancashire) Castlereagh, Viscount Hudson, Walter Rutherford, W. W. (Liverpool) Cave, George Jenkins, J. Scott, Sir S. (Marylebone, W.) Cecil, Evelyn (Aston Manor) Johnson, John (Gateshead) Seddon, J. Cecil, Lord John P. Joicey- Jowett, F. W. Shackleton, David James Channing, Sir Francis Allston Kelley, George D. Sheffield, Sir Berkeley George D. Clancy, John Joseph. Kennedy, Vincent Paul Silcock, Thomas Ball Clark, George Smith Kerry, Earl of Smith, F. E. (Liverpool, Walton) Clive, Percy Archer Keswick, William Snowden, P. Clynes, J. R. King, Sir Henry Seymour (Hull) Stanier, Beville Cochrane, Hon. Thos. H. A. E. Lambton, Hon. Frederick Win. Starkey, John R. Condon, Thomas Joseph Lardner, James Carrige Rushe Staveley-Hill, Henry (Staffordshire) Corbett, T. L. (Down, North) Law, Andrew Bonar (Dulwich) Stewart, Halley (Greenock) Cotton, Sir H. J. S. Lee, Arthur H. (Hants, Fareham) Summerbell, T. Craig, Captain James (Down, E.) Lockwood, Rt. Hon. Lt.-Col. A. R. Thomson, W. Mitchell- (Lanark) Craik, Sir Henry Lonsdale, John Brownlee Thorne, William (West Ham) Crean, Eugene Lowe, Sir Francis William Valentia, Viscount Crooks, William Lupton, Arnold Wadsworth, J. Curran, Peter Francis Lyttelton, Rt. Hon. Alfred Walsh, Stephen Dillon, John MacCaw, Wm. J. MacGeagh Wardle, George J. Dixon-Hartland, Sir Fred. Dixon Macdonald, J. R. (Leicester) White, Patrick (Meath, North) Du Cros, Arthur Mackarness, Frederic C. Wilkie, Alexander Duffy, William J. Macpherson, J. T. Williams, Col. R. (Dorset, W.) Duncan, Robert (Lanark, Govan) MacVeigh, Charles (Donegal, E.) Willoughby de Eresby, Lord Esmonde, Sir Thomas M'Arthur, Charles Wilson, Henry J. (York, W. R.) Faber, George Denison (York) M'Callum, John M. Wilson, W. T. (Westhoughton) Faber, Capt. W. V. (Hants, W.) M'Kean, John Fardell, Sir T. George Maddison, Frederick TELLERS FOR THE NOES.—Mr Patrick O'Brien and Mr. Geo. Roberts. Fell, Arthur Mason, James F. (Windsor) Ffrench, Peter Meysey-Thompson, E. C. Fletcher, J. S. Mooney, J. J.
Question put accordingly, "That the Question be now put."
Division No. 35.] AYES. [8.10 p.m. Abraham, William (Rhondda) Banbury, Sir Frederick George Bethell, Sir J. H. (Essex, Romford) Acland, Francis Dyke Banner, John S. Harmood- Bethell, T. R. (Essex, Maldon) Acland-Hood, Rt. Hon. Sir Ales. F. Baring, Godfrey (Isle of Wight) Bignold, Sir Arthur Agnew, George William Baring, Capt. Hon. G. (Winchester) Birrell, Rt. Hon. Augustine Ainsworth, John Stirling Barlow, Percy (Bedford) Boulton, A. C. F. Allen, A. Acland (Christchurch) Barnard, E. B. Brace, William Allen, Charles P. (Stroud) Barry, Redmond J. (Tyrone, N.) Bramsdon, T. A, Anson, Sir William Reynell Beach, Hon. Michael Hugh Hicks Bridgeman, W. Clive Anstruther-Gray, Major Beauchamp, E. Brigg, John Arkwright, John Stanhope Beck, A. Cecil Brooke, Stopford Ashley, W. W. Beckett, Hon. Gervase Bryce, J. Annan Asquith, Rt. Hon. Herbert Henry Bell, Richard Buchanan, Rt. Hon. Thomas R. Astbury, John Meir Bellairs, Carlyon Buckmaster, Stanley R. Balcarres, Lord Benn, Sir J. Williams (Devonport) Bull, Sir William James Baldwin, Stanley Benn, W. (Tower Hamlets, St. Geo.) Burdett-Coutts, W. Balfour, Robert (Lanark) Bennett, E. N. Burns, Rt. Hon. John
The House divided:—Ayes, 322; Noes, 83.
Burt, Rt. Hon. Thomas Henderson, J. McD. (Aberdeen, W.) Parker, Sir Gilbert (Gravesend.) Buxton, Rt. Hon. Sydney Charles Henry, Charles S. Parkes, Ebenezer Campbell, Rt. Hon. J. H. M. Herbert, Col. Sir Ivor (Mon. S.) Pearce, Robert (Staffs, Leek) Carr-Gomm, H. W. Herbert, T. Arnold (Wycombe) Pearce, William (Limehouse) Castlereagh, Viscount Higham, John Sharp Peel, Hon. W. R. W. Causton, Rt. Hon. Richard Knight Hill, Sir Clement Percy, Earl Cave, George Hills, J. W. Perks, Sir Robert William Cawley, Sir Frederick Hobart, Sir Robert Philipps, Col. Ivor (S'thampton) Cecil, Evelyn (Aston Manor) Hobhouse, Charles E. H. Philipps, Owen C. (Pembroke) Cecil, Lord John P. Joicey- Holland, Sir William Henry Pickersgill, Edward Hare Chamberlain, Rt. Hon. J. A. (Worc'r.) Holt, Richard Durning Ponsonby, A. W. H. Cherry, Rt. Hon. R. R. Hooper, A. G. Pretyman, E. G. Churchill, Rt. Hon. Winston S. Horniman, Emslie John Priestley, Arthur (Grantham) Clark, George Smith Howard, Hon. Geoffrey Radford, G. H. Cleland, J. W. Hyde, Clarendon G. Rainy, A. Rolland Clive, Percy Arthur Illingworth, Percy H. Randles, Sir John Scurrah Collins, Stephen (Lambeth) Isaacs, Rufus Daniel Rawlinson, John Frederick Peel Collins, Sir Wm. J. (S. Pancras, W.) Jenkins, J. Rea, Russell (Gloucester) Compton-Rickett, Sir J. Johnson, W. (Nuneaton) Rees, J. D. Corbett, C. H. (Sussex, E. Grinstead) Jones, Sir D. Brynmor (Swansea) Remnant, James Farquharson Corbett, T. L. (Down, North) Jones, William (Carnarvonshire) Renwick, George Cornwall, Sir Edwin A. Joynson-Hicks, William Richards, Thomas (W. Monmouth) Cory, Sir Clifford John Kearley, Sir Hudson E. Ridsdale, E. A. Cowan, W. H. Kekewich, Sir George Roberts, Sir J. H. (Denbighs.) Cox, Harold Kennaway, Rt. Hon. Sir John H. Roberts, S. (Sheffield, Ecclesall) Craig, Captain James (Down, E.) Kerry, Earl of Robinson, S. Craik, Sir Henry Keswick, William Roch, Walter F. (Pembroke) Crooks, William Kincaid-Smith, Captain M. Roe, Sir Thomas Crosfield, A. H. King, Sir Henry Seymour (Hull) Rogers, F. E. Newman Crossley, William J. Lamb, Edmund G. (Leominster) Ronaldshay, Earl of Dalziel, Sir James Henry Lambert, George Ropner, Colonel Sir Robert Davies, David (Montgomery, Co.) Lambton, Hon. Frederick Wm. Rose, Charles Day Davies, Timothy (Fulham) Lamont, Norman Rowlands, J. Davies, Sir W. Howell (Bristol, S.) Law, Andrew Bonar (Dulwich) Runciman, Rt. Hon. Walter Dewar, Sir J. A. (Inverness-sh.) Layland-Barrett, Sir Francis Rutherford, John (Lancashire) Dickinson, W. H. (St. Pancras, N.) Lea, Hugh Cecil (St. Pancras, E.) Rutherford, W. W. (Liverpool) Dickson-Poynder, Sir John P. Lee, Arthur H. (Hants, Fareham) Salter, Arthur Clavell Dilke, Rt. Hon. Sir Charles Leese, Sir Joseph F. (Accrington) Samuel, Rt. Hon. H. L. (Cleveland) Dixon-Hartland, Sir Fred. Dixon Lehmann, R. C. Schwann, Sir C. E. (Manchester) Douglas, Rt. Hon. A. Akers- Lever, A. Levy (Essex, Harwich) Scott, Sir S. (Marylebone, W.) Duckworth, Sir James Levy, Sir Maurice Sears, J. E. Du Cros, Arthur Lewis, John Herbert Seaverns, J. H. Duncan, J. Hastings (York, Otley) Lockwood, Rt. Hon. Lt.-Col. A. R. Seely, Colonel Duncan, Robert (Lanark, Govan) Lonsdale, John Brownlee Shaw, Sir Charles E. (Stafford) Dunn, A. Edward (Camborne) Lowe, Sir Francis William Sheffield, Sir Berkeley George D. Dunne, Major E. Martin (Walsall) Lyell, Charles Henry Sherwell, Arthur James Edwards, Enoch (Hanley) Lynch, H. B. Shipman, Dr. John G. Edwards, Sir Francis (Radnor) Lyttelton, Rt. Hon. Alfred Simon, J. Allsebrook Erskine, David C. MacCaw, Wm. J. MacGeagh Smeaton, Donald Mackenzie Esslemont, George Birnie Maclean, Donald Smith, F. E. (Liverpool, Walton) Everett, R. Lacey Macnamara, Dr. Thomas J. Soares, Ernest J. Faber, George Denison (York) M'Arthur, Charles Stanier, Beville Faber, Capt. W. V. (Hants, W.) M'Crae, Sir George Stanley, Albert (Staffs, N.W.) Fardell, Sir T. George M'Kenna, Rt. Hon. Reginald Stanley, Hon. A. Lyulph (Cheshire) Fell, Arthur M'Laren, Sir C. B. (Leicester) Starkey, John R. Fenwick, Charles M'Laren, H. D. (Stafford, W.) Staveley-Hill, Henry (Staffordshire) Findlay, Alexander M'Micking, Major G. Steadman, W. C. Fletcher, J. S. Mallet, Charles E. Stewart, Halley (Greenock) Forster, Henry William Markham, Arthur Basil Strachey, Sir Edward Fuller, John Michael F. Marks, G. Croydon (Launceston) Talbot, Lord E. (Chichester) Gibb, James (Harrow) Marnham, F. J. Talbot, Rt. Hon. J. G. (Oxford Univ.) Gladstone, Rt. Hn. Herbert John Mason, James F. (Windsor) Tennant, Sir Edward (Salisbury) Glen-Coats, Sir T. (Renfrew, W.) Massie, J. Tennant, H. J. (Berwickshire) Gooch, Henry Cubitt (Peckham) Masterman, C. F. G. Thomas, Sir A. (Glamorgan, E.) Goulding, Edward Alfred Menzies, Walter Thomson, W. Mitchell-(Lanark) Greenwood, Hamar (York) Meysey-Thompson, E. C. Thorne, G. R. (Wolverhampton) Gretton, John Micklem, Nathaniel Tillett, Louis John Grey, Rt. Hon. Sir Edward Middlebrook, William Tomkinson, James Griffith, Ellis J. Molteno, Percy Alport Toulmin, George Guinness, Hon. R. (Haggerston) Mond, A. Trevelyan, Charles Philips Guinness, W. R. (Bury S. Edmunds) Money, L. G. Chiozza Ure, Alexander Hall, Frederick Montagu, Hon. E. S. Valentia, Viscount Hamilton, Marquess of Montgomery, H. G. Verney, F. W. Harcourt, Rt. Hn. L. (Rossendale) Morgan, G. Hay (Cornwall) Villiers, Ernest Amherst Harcourt Robert V. (Montrose) Morgan, J. Lloyd (Carmarthen) Walters, John Tudor Harmsworth, R. L. (Caithness-shire) Morrison-Bell, Captain Walton, Joseph Harris, Frederick Leverton Morton, Alpheus Cleophas Ward, John (Stoke-upon-Trent) Harrison-Broadley, H. B. Murray, Capt. Hon. A. C. (Kincard) Ward, W. Dudley (Southampton) Harwood, George Myer, Horatio Waring, Walter Haslam, James (Derbyshire) Newdegate, F. N. Warner, Thomas Courtenay T. Haslam, Lewis (Monmouth) Newnes, F. (Notts, Bassetlaw) Wason, Rt. Hon. E. (Clackmannan) Haworth, Arthur A. Nicholson, Charles N. (Doncaster) Wason, John Cathcart (Orkney) Hay, Hon. Claude George Nicholson, Wm. G. (Petersfield) Waterlow, D. S. Hazel, Dr. A. E. W. Norman, Sir Henry Watt Henry A. Helme, Norval Watson Norton, Captain Cecil William Weir, James Galloway
Whitbread, S. Howard Williams, A. Osmond (Merioneth) Wortley, Rt. Hon. C. B. Stuart- White, J. Dundas (Dumbartonsh.) Williams, Col. R. (Dorset, W.) Younger, George White, Sir Luke (York, E. R.) Willoughby de Eresby, Lord Yoxall, James Henry Whitehead, Rowland Wills, Arthur Walters Whitley, John Henry (Halifax) Wilson, Hon. G. G. (Hull, W.) TELLEES FOE THE AYES.—Mr. Whittaker, Rt. Hon. Sir Thomas P Wilson, P. W. (St. Pancras, S.) Joseph Pease and the Master of Wiles, Thomas Wodehouse, Lord Elibank. Wilkie, Alexander Wood, T. M'Kinnon
NOES. Abraham, W. (Cork, N.E.) Gwynn, Stephen Lucius O'Grady, J. Barlow, Sir John E. (Somerset) Halpin, J. O'Kelly, James (Roscommon, N.) Barnes, G. N. Hardie J. Keir (Merthyr Tydvil) Parker, James (Halifax) Barry, E. (Cork, S.) Harrington, Timothy Power, Patrick Joseph Boland, John Hayden, John Patrick Reddy, M. Bowerman, C. W. Healy, Timothy Michael Richards, T. F. (Wolverhampton, W,) Bright, J. A. Henderson, Arthur (Durham) Robertson, J. M. (Tyneside) Brunner, Rt. Hon. Sir J. T. (Cheshire) Hogan Michael Roche, Augustine (Cork) Burke, E. Haviland- Hope, John Deans (Fife, West) Rutherford, V. H. (Brentford) Byles, William Pollard Hope, W. H. B. (Somerset, N.) ' Scott, A. H. (Ashton-under-Lyne) Cameron, Robert Hudson, Walter Seddon, J. Clancy, John Joseph Johnson, John (Gateshead) Shackleton, David James Clough, William Jones, Leif (Appleby) Silcock, Thomas Ball Clynes, J. R. Jowett, F. W Snowden, P. Cobbold, Felix Thornley Kelley, George D. Summerbell, T. Condon, Thomas Joseph Kennedy, Vincent Paul Thorne, William (West Ham) Cotton, Sir H. J. S. King, Alfred John (Knutsford) Vivian, Henry Crean, Eugene Lardner, James Carrige Rushe Wadsworth, J. Dillon, John Lough, Rt. Hon. Thomas Walsh, Stephen Duffy, William J. Lupton, Arnold Wardle, George J. Ellis, Rt. Hon. John Edward Macdonald, J. R. (Leicester) White, Sir George (Norfolk) Esmonde, Sir Thomas Mackarness, Frederic C. White, Patrick (Meath, North) Ffrench, Peter Macpherson, J. T. Wilson, Henry J. (York, W.R.) Fullerton, Hugh MacVeigh, Charles (Donegal, E.) Wilson, John (Durham, Mid) Gill, A. H. M'Callum, John M. Wilson, W. T. (Westhoughton) Glendinning, R. G, M'Kean, John Glover, Thomas Maddison, Frederick TELLERS FOE THE NOES.—Mr. Greenwood, G. (Peterborough) O'Brien, K. (Tipperary, Mid) Patrick O'Brien and Mr. Geo. Gurdon, Rt. Hn. Sir W. Brampton O'Connor, John (Kildare, N.) Roberts.
Supply
CONSIDERED IN COMMITTEE.
(IN THE COMMITTEE.)
Navy Estimates, 1909–10
[The DEPUTY-CHAIRMAN (Mr. Caldwell) in the chair.]
Committee report progress. To sit again to-morrow (18th March).
Investment of British Capital Abroad
moved: "That, in the opinion of this House, the feeling of insecurity, due to the policy of His Majesty's Government, to the unfair competition of foreign producers in British markets, and to the high tariffs of foreign countries, has caused capital to be employed abroad which might have been used at home to the great advantage of the wage-earning population of the country." He said: It may seem something of an anti-climax, after the discussion which has been carried on during the last two evenings, to turn to the consideration of the subject of investment of British capital in foreign countries. But I cannot help thinking that there are few questions of more importance for a business assembly such as this than that of the export of English capital to foreign countries, together with the consideration of the extent of that export, and whether that export is a good or a bad thing. I do not propose to introduce many figures into my speech, because I believe that figures in speeches of this kind are often inaccurate and irrelevant. But we may assume that there has been during the last 20 years a considerable and a great investment of English capital abroad. In that I think we are probably all agreed, and that the rate of these investments has been accelerated in the last few years. I should like to point out that a most interesting corroboration of this fact may be found in the Board of Trade figures for the last five or six years, which show the tendency of an excess of imports over exports. In 1902 that excess reached its maximum. It amounted to £190,000,000. For two or three years the figures were nearly stationary. In 1903 it was 187 millions, and in 1904 it was 184 millions. In 1905 the drop was to 170 millions. In 1906 the excess of imports amounted to 158 millions, in 1907 it was £143,000,000, and in 1908 it fell to £140,000,000. So that the figure which in 1902 stood at £190,000,000, now stands at £140,000,000. Even though you may allow that there has been a reduction in the earning power of the freights of our ships, it is clear that this considerable reduction can only arise from the increase in our export which has taken place in the investment of English capital abroad.
The question which we have to consider is not the effect of this investment, but whether it is a good thing at all times and under all circumstances. We say that it is only a good thing if the capital exported is a surplus, and not if the capital ought to have gone to support our own industries. Our contention is that the capital which has left the country during the last year or two is money which is not a genuine surplus, but has been driven out of this country by various causes. You may say what proof have we that more capital could be employed in this country,, and that the money going out is not a genuine surplus. If you want proof I do not think that you need look much further than the condition of unemployment which exists. It will be difficult for any man to prove that the state of the labour market to-day is consistent with the full employment of English capital in England.
Another reason to my mind, or, rather, explanation, for the drifting of capital abroad is in this fact, that as I believe for the first time in the history of England investors, small holders, the small man with small savings, the man always accustomed to investing his money in England, and to whom security is more than an extra 1 per cent., has been driven to Seek security which he, rightly or wrongly, believes will not exist at home. He has been driven to seek that security in investments in foreign countries. Of course, that statement cannot be proved from books or by any Board of Trade figures, but it is a statement the truth of which will be acknowledged by every man of business in this country who has had occasion ever to consult a broker in regard to investments. I had a letter a day or two ago from an investment broker in the provinces who is a friend of mine in business, and he said never in his business experience of 50 years had he known anything like the persistent buying of foreign and Colonial securities by all classes of investors during the last 12 or 15 months. We have corroboration of what I assert in the prices of a number of leading securities. I am not going into details of figures, but I remind hon. Members what many men here must know perfectly well, that during the year 1908, during the period that we assert, many investors have been frightened abroad, interesting comparison of prices may be made. You may find if you look at the price of English Government stock and at the price of foreign Government and American railway stock and compare those prices between 1908 and the beginning of 1909, you will find that whereas the English figures in many cases show a slight and in more cases a large depreciation, some of the leading foreign Govern-men stocks have appreciated, and American railroad has appreciated enormously. Of course, in cases of this kind there are many contributory forces, and it is impossible to analyse accurately every case of rise and fall. But you may take it that probably the predominating influence that causes the steadiness or appreciation of one class of stock is that it continues in demand for investment purposes, and the depreciation in other classes of stock is due to a want of confidence in that stock and because it is not sought out by the investors. I think that goes somewhere, at all events, to support the contention I make that the English investor during the last year has gone abroad, not for the purpose of increasing his income or surplus capital, but because he is uncertain as to what extra taxation may be or will be put upon his security, and he is alarmed at prospective legislation which may come or must come, because he is afraid that the Government of this country is coquetting with the Socialistic influence at the other end of their party. Is that a healthy state of things? In private business it is generally considered a very unwise proceeding for a man to starve his own business of capital for the purpose of investing capital outside his business, and I do think what is unwise for a man in his individual capacity is no less unwise policy for a country in its capacity as a country. I may say that the views I am trying to express are the views held in the country to a large extent by men of business of all kinds, irrespective of politics, and it is because commercial classes of all ranks do not comprise so many speakers, as they do workers, that it is left to so humble an individual as myself to put before this House what men are saying and thinking, and I am sure that hon. Members on the other side of the House who may be in business will agree with me in this: that the apprehension that is felt with regard to the security of English capital is not only felt by commercial men who share my views on Tariff Reform, but are held no less strongly by men who upon the Fiscal question are pronounced and convinced Free Traders. Well, the question naturally arises, what action or want of action on the part of the Government is it that causes the commercial classes in England to look upon the future of English capital with anxiety, and I think, without taking a long time to elucidate my point, I can make it clear in a very few extracts from speeches made by the Chancellor of the Exchequer, who is charged with the finances of this country. The commercial classes of this country appreciated the right hon. Gentleman's administration at the Board of Trade, and it is commonly said amongst all kinds of people, and I heard it many times before I became a Member of this House—that while he was at the Board of Trade that Department was administered as a business Department, and it was possible to get a straight answer to a straight question. But it seems to me that a great change came over the right hon. Gentleman when translated from the Board of Trade to the Exchequer, and whereas we had a strong man at the Board of Trade who knew what he said and said it, at the Exchequer he is a mere shadow of his formal self wandering in a sort of Celtic twilight among figures. I suppose no man can have studied the right hon. Gentleman's speeches on finance since he attained that exalted position but should have the clearest idea of what his principles are in finance, or what he intends to do, and it is that uncertainty that helps to paralyse the already depreciated industries of this country. We feel a natural sympathy for the right hon. Gentleman in having to prepare the Budget which he will have to prepare, and which he will present in a month or two's time. We recognise to the full the whole responsibility is not his. We know the child he has to provide for acknowledges another parent, but we know that at the birth of that child there was a maintenance order made against the Chancellor of the Exchequer, and we know his trouble arises from the fact that he will have to pay the 5s. a week. One of the first results of the difficult position that the right hon. Gentleman found himself in was the utterance of that foolish "henroost" speech in the House of Commons at the end of June. If the right hon. Gentleman had only threatened to go and break open some one's strong-room, he would have had the sympathy of the country, and I can picture how, accompanied by one hon. Member with a lantern and another with a jemmy, amidst the plaudits of his countrymen, he would force the millionaire's safe. But a henroost is possessed by nearly every man, every working man, in the Kingdom, and the thought that the nest egg, which, as I say, nearly every working man in the Kingdom had—to think that the nest egg might be the object to be appropriated by the Chancellor of the Exchequer was enough to strike a chill into the heart of the studious working man.
That hint in his speech had only been made four days when at the Mansion House the Chancellor of the Exchequer announced that somebody had got to be taxed, and he only wished they would tell him who it was. That hardly seems a statesmanlike remark to make in the centre of the City of London, and I think both those speeches impressed the business community in this country as no two speeches of a Chancellor of the Exchequer had done for a long time. Then three days before Christmas the Chancellor went up to Liverpool, and made a speech, in which he said that whatever taxation was going to be put on would not be taxation which would interfere with the productive interests of the country. We all held our breaths, and wondered what taxation there could be which would not and could not interfere and could not interfere seriously with productive interests of the country. Speeches of that kind, even when they contain jests which have to be explained subsequently to be jests—and when a jest has to be explained it ceases ipso facto to be a jest—such speeches cannot help a Chancellor of the Exchequer in the difficult task that he has in hand, and must increase his difficulties—they must make them greater. There is one other point which I should like to touch upon, although I recognise fully that time is short, but there was one other point that affected the business community of this country in a very great degree, about which I think it my duty to say a word, and that is the Budget for last year.
There was undoubtedly a feeling at the time of the first two Budgets of the late Chancellor of the Exchequer that the Minister was trying to aim at sound finance, and these Budgets were favourably received by all people who had the interests of sound finance at heart, and the future efforts of the late Chancellor of the Exchequer were looked upon with sympathy and approval. But it seemed to me, and it seemed to many people, at the time of the last Budget that he entirely forsook the sound lines that he had been proceeding upon up to that date. Whether it was that instead of the sound finance upon which he had always laid so much stress, he began to be imbued with the principles of what is called democratic finance— whether sound finance and democratic finance are convertible terms I do not know—but from whatever cause the late Chancellor astonished all his friends by the Budget in which enormous expenditure was pledged by the Government, and they were unable or not inclined to say how they proposed to raise the money to pay for that expenditure. This is not the place or occasion to say anything about that procedure, which was commented oh with sufficient freedom during the Budget debates of last year; but that method of doing business—that method of undertaking with a light heart vast expenditure without seeing where the money was to come from—that frightened the people of this country greatly engaged in business perhaps more than anything that the Government had done till then. People feel, and I think with some justice, that the course which had been taken last year might be taken again, and there was no guarantee at all that, with a large amount of fresh taxation to be raised, any single interest in the country might not have fresh taxation placed upon it when the next Budget came round. That, not dead hand but very live hand was spread over the commerce of the country, and had its share, too, in these paralysing influences which we believe have been at work, and which have made it more and more difficult for the English investor to contemplate with certainty the placing of his money at home.
I had meant to say a few words with reference to certain speeches which have been made in the country by hon. Members below the Gangway, but, owing to the shortness of time, it will be impossible for any of these Gentlemen to rise and reply, and it would be hardly fair to criticise their action. But I should like to say a word or two on the subject of capital itself. Capital is a very question-begging term, and there might be many definitions of it, but hon. Members forget that there is no capital in the country which can be used for the quickening and vivifying of the enormous mass of fixed capital which is in the country, which can be used for the introduction of fresh industries or for the increase of existing plants and industries. There is no capital in the country which does not arise year by year from the multitudinous small savings of innumerable people of all classes in the community. The capital that lies in the banks, and which is available for the private businesses of the country, does not consist, as seems to be rashly assumed at times, of a few pocketfuls that belong to millionaires. It consists almost entirely of the savings of the thrifty people of all classes and all ranks, and is composed to a very large extent of very small savings—of the £50, the £100, and the £500 people who leave their money there because they want what they believe to be an absolute security, and want to be able to take it out with the capital undiminished. When rash words, whether on the part of Ministers or of hon. Gentlemen below the Gangway, whose influence is paramount with the Government —or is believed in the country to be so paramount—are used, it is not your millionaire who is frightened. He is a mere episode. There are not many of them. They do not count. The people who are frightened are the hundreds of thousands of people with a little, and if you put any difficulty in the way of the thrifty people of all classes, if they are not encouraged to invest, it is a bad thing for the industries of the country, and all your efforts to raise and improve the position of the working classes, whether with regard to hours of labour or wages, will come to nothing unless you can guarantee for the industries of the country an environment of security and an ample amount of capital for the use of these industries, and some reasonable prospect that the industries shall not be so taxed that they cannot get a return on that capital which will induce them to invest it.
, in seconding the Motion, said: My hon. Friend having dealt, I think fairly, fully with the political side of the question, I shall confine myself rather to the commercial and practical aspects of the problem. It is an undoubted fact, by some deplored, by others rejoiced in, but I think by all acknowledged, that the outflow of capital from this country has increased in the last few years. New capital can only arise from the saving of income, and when that saving is derived from industries in this country, then, of course, its export to foreign countries must be in the form of exported goods, as the Prime Minister told us it invariably was the other day. But when that saving of income takes place in the form of dividends received from foreign investments, then these savings merely fail to come home for want of sufficient attraction in this country, and by being re-invested abroad there are no exports which leave this country at all, and therefore to that degree the statement recently made by the Prime Minister that exports of capital are always in the form of exported goods does not hold good. It is worthy of note that when exports go out of this country in the ordinary course of trade they are of course paid for by an approximately equivalent value of imports; but when those exports represent capital which is going to be invested in a foreign country, then only the interest on that amount ever comes back to this country, even if the interest itself is not re-invested abroad. Again, there is certainly one case in which exports are by no means a healthy sign of trade, and that is when they represent the working capital of a failing industry. It is a well known fact that during the late depression in the United States a very large amount of working capital was exported in the form of exported goods from that country to pay for debts which it owed to other countries.
The next question which arises is—Why does capital tend to leave this country? Of course the first reason is an obvious one, that the security and the rate of interest, either one or both of them, are more attractive in the foreign country than they are here. But I think there is another reason, and that is that the fear of Socialistic legislation, coupled with the already heavy burden of taxation, both Imperial and local—and in local taxation the industries in this country have no voice—are in themselves a further cause why capital tends to go out of the country. But there is a third reason, and that is that the industries of this country have to put up with unfair competition in their home market with the industries of other countries. The effect of that, of course, is naturally to decrease the scale of output of our home industries. Another fact is that plant is not kept up to that full extent which it ought to be, and that obsolete plant tends to be not replaced at all at home. Of course, that raises the whole question of what I mean by unfair competition. To my mind the subject of unfair competition is very much one of output. To take an instance, supposing there are two manufacturers of the same article, one in England and one in Germany, and in time of general prosperity the circumstances are sufficiently equal to enable those two manufacturers to put out their goods at about the same price. Their cost of production when they are both working full time is £3 a ton. Now comes a period of depression. What is the position of the two manufacturers? The Englishman under a free trade system sees his market invaded to a great extent by his German rival without himself having any other market which he can invade to make up for his loss, and the result is that the English manufacturer, instead of being able to continue the full output of which his plant is capable, is reduced to working perhaps half time or two-thirds time. The result of that is that, obviously, his standing charges remaining as they were, and many other charges over which he has no control, his cost of production will go up, and instead of being able to produce at £3 a ton it will now become £3 15s. But in the meantime his German rival, who has the whole of his own market to supply and in addition to that has free access into the English market, is therefore able to continue the full output of his plant, and continues to be able to make as he did before at £3 a ton.
The position, then, is that the Englishman, with other conditions similar, is only able to produce an article at £3 15s. which his German rival produces for £3. It is perfectly apparent that the German can sell his product in this country at £3 10s. at a good profit and still undersell his English competitor by 5s., which is quite sufficient to decide the business. There is no reason why the German should sell lower than the figure mentioned. The nearer he gets to ruining his English rival the more he will be enabled to increase his price on the customer. I maintain that if under any change in the fiscal system—I am not saying what that change would be—the English manufacturer is enabled to keep more of his home market—sufficient to ensure a full output, such as his German rival gets—then the cost of production would not go up, and he would still be able to make at the same price as the German, and owing to the competition between those sets of manufacturers they would be willing to accept smaller profits, and in the end the consumer must actually get the article cheaper under a system like that than he formerly did under the Free Trade system which prevented the English manufacturer from getting a full output.
The next question to consider is whether it is in the interests of the community that capital should go abroad. The Prime Minister revels in it. I cannot help thinking possibly that there is growing consternation on the part of certainly one and perhaps more of his followers, who has been suggesting in the country that no one outside a lunatic asylum would desire such a thing; but I think there is an hon. Gentleman on that side of the House who, although one of the strongest supporters of the system of Free Trade, will nevertheless agree with me that the export of capital is not a thing that we can contemplate without some misgiving. The hon. Member for Preston, in the most able article which he wrote in the "Nineteenth Century" for, I think, last month, pointed out that in some of the industries of this country cheapness of capital was far more important than cheapness of land. He was writing on the question of site values, and pointed out that in a particular case a building society, which, though paying £400 an acre for land and 5 per cent, for its capital involved, was able to produce houses at, I think, an annual value of £17, and that if the society had had the land for nothing it would have reduced the annual value of those houses to somewhere about £16, but that if they had still to pay £400 an acre for the land, but had been able to borrow capital at 4 instead of 5 per cent., that would have reduced the annual value of the houses not to £16, but to about £14. I think, therefore, that the hon. Gentleman will agree that the cheapness and abundance of capital in this country are most important factors in our industrial system. I come back to the question whether it is good or not that capital should leave this country. I reply without the slightest hesitation that it is good it should leave this country when it is here in excess of what is required, but until the full requirements of the country have been met it is a distinct loss. The emigration of capital is just as much a loss to this country as the emigration of people whom it cannot afford to lose. I think it would hardy be contended that it was more profitable that £100 of capital should leave even when it goes in the form of exported goods—that is to say, that capital should leave the country once for all. Hardly anyone would suggest that that was a better thing than that the £100 should remain in his country to be turned over, prehaps, two or three times in the course of a short period, and to be used making goods which could be either exported or consumed in the country, or that so long as the capital can be employed, and employed profitably, it is far better that it should remain in this country than that it should leave it even in the form of exported goods.
If I invest £10,000 in a factory or a profitable business, and make, say, £1,000 a year, and if I save £500 a year of that profit, I may reinvest that money in my business, I may increase my scale of operations or increase my output, and employ more men, or I may export that £500 and invest it in some other business abroad; or, lastly, I may not only invest my savings abroad, but if profits are threatened or failing at home I may be induced to withdraw some of the working capital from original business and increase my first investment. It is quite evident that in the first of those cases where I reinvest the money in my own business I am doing that which is the best for the country and for the district and for the men among whom I live—that is my own immediate neighbours. I am increasing employment and prosperity in that particular area. In the second case, in which I only export my savings, that is leaving the business in a stagnant condition, it is a perfectly justifiable case for the export of capital; but in the third condition, in which I take away some of the capital hitherto employed in the industry, it shows that the industry of the country is in an unprofitable condition, and I think it is illustrative more or less of what has recently been going on in this country; and that certainly is not for the advantage of anybody concerned except the capitalists themselves. The capitalist may gain in that last operation, but certainly the labour hitherto employed in that industry loses. If capital leaving the country is a good thing, what is the object of the Patents Act? I do not think it is contended that the Patents Act is not beneficial to this country, and certainly it is not based on the assumption that it is a good thing that capital should leave the country.
In conclusion, I contend that capital does to a very large extent, as the Prime Minister laid down, leave the country in the form of exported goods, but by no means always in that way. I contend that even when capital does leave the country in the form of exports it is not necessarily a healthy sign, to wit, the case of the United States, where the exports increased during the depression. I maintain that in a large measure capital leaves this country because of the unfair conditions which it has to meet here, and not because it is a surplus which this country can no longer employ. This exportation of capital is largely stimulated by predatory legislation, or threats of such legislation, from which other countries desirous of attracting our capital very wisely abstain.
moved as an Amendment, to leave out from the word "That," to the end of the Question, and add the words, "this House regards both the steady increase in the amount of British capital invested in British Colonies and foreign countries, and the character and distribution of such investments, with satisfaction, as being a consequence and an evidence of the fundamental stability and prosperity of the domestic industries and the commerce of the United Kingdom, a constantly increasing support and guarantee of their growth in the future, as well as an important instrument for maintaining cheap supplies of food for the people and raw materials for the manufacturers of this country, and would view with disfavour any attempt artificially to regulate the distribution and direction of British enterprise and industry."
When I read the Motion on the Paper to which I have put down an Amendment what struck me at first was that it was rather a psychological than an economic proposition. The two speeches to which we have just listened, and more especially the speech made by the hon. Member for Bewdley have taken altogether a psychological aspect. I wish to draw the attention of the House to this peculiarity of this remarkable Resolution. It is not an economic proposition in the main; it is a psychological one. It is that there exists a certain psychological, or rather neurotic, condition of the capitalist—"a feeling of insecurity." The House will mark not any real insecurity; it is only a question of nerves—" a feeling of insecurity." Then it gives a diagnosis of this disease. It is due to three causes—chief among these three is, of course, His Majesty's Government. And finally it asserts that this psychological cause has had a certain economic consequence. My Amendment traverses the whole field. I deny the existence of this psychical, or rather neurotic, condition in the capitalist; therefore I deny its alleged causes, and I deny its alleged economic consequence. I deny that capital either is or "feels" insecure in this country at this time. Therefore, I deny that this non-existent feeling can have had any causes at all, or a consequence such as the Resolution describes, or any other.
Before proceeding to make out this case, I must ask one preliminary question. I should like to ask, and even to demand, to be made clear what is the position of Tariff Reformers on this question of foreign investments. What is his position on the question of fact? Does he now at length admit that our foreign investments are not decreasing? Up to now the whole burden of the complaint of the Fair Traders and the Tariff Reformers, from the days of the Fair Trade movement in the eighties of Mr. Eckroyd and his friends, down to 12 months ago, when the hon. Member for Hythe suddenly took up the exactly opposite position in this House, was that we were paying for our excessive imports out of our capital, we were parting with our foreign securities, we were reducing our foreign investments, we were ceasing to be a creditor nation, and we were on the spendthrift road to ruin. The situation was not as they described it, but exactly the reverse. Every year gave proof of increasing and not decreasing foreign investments. The evidence was too crushing to be resisted.
And now, what is the position they take up? I never knew a Tariff Reformer daunted either by evidence or the want of it. The conclusion that England is being ruined is abandoned by the collapse of any evidence. "If our foreign investments are not decreasing," as he formerly said, "then they must be increasing. But decreasing or increasing, England shall not escape ruin by a quibble of that kind." If they are increasing, that also is the road to ruin. It requires mental agility and courage to perform a somersault like this, but the right hon. Gentleman, the Member for East Worcestershire can go one much better even than this. He can hold these two contradictory propositions at one time, and express them in one speech. In this House not a fortnight ago he said:— In the same speech he maintained this completely contradictory proposition. He said:—
Now, we have a right to know on which side hon. Members opposite elect to stand. A country cannot be both reducing its foreign investments and living on its capital, and scattering its capital on foreign investments to the neglect of home securities at the same time. That is a question of fact, and the fact is as admitted by the hon. Member for Bewdley to-night, that we are not withdrawing our foreign investments, but increasing them. We have got to this basis of agreed fact, that a considerable portion of the annual savings of the nation is exported in various forms for investment abroad. Is it too much to ask Tariff Reformers finally to abandon the contradictory proposition, that we are parting with our foreign investments, importing the produce of the sales, and living on it?
I may now leave the preliminary question, and get to the principal basis of the main proposition of the Resolution—the feeling in financial circles of the insecurity of capital in this country compared with foreign countries. I deny the existence of such a feeling. The feeling of security is, as I have remarked, a psychological phenomenon, but it is mechanically measured and registered from hour to hour by an infallible indicator in the share lists. This indicator points to this country as the place where capital is most secure "every time." True, Consols are low—a seller must accept a price which will yield 3 per cent, to the buyer. But in 'what other country is such a buyer to be found? A seller of German Imperial Three per Cents, cannot get within 20 per cent, of the equivalent price; the buyer must have £3 12s. per cent, for his money before he will risk it on such a security. There are a hundred British municipal loans, a large number of railway debentures, and even preference stocks, and many British industrial securities which are in a better posi- tion. Sir, I have the honour to-represent an ancient and beautiful city, but it holds a modest place among the great municipalities of the country. Yet the little city of Gloucester enjoys better credit in the market than the Empire of Germany or the Kingdom of Prussia. The House will remember that prices in the market from hour to hour are not a measure of real security, but a measure of this precise thing—the "feeling of security" or "insecurity" at the moment. It enables-us to say there is no feeling of insecurity, but, on the contrary, that there exists no place where capital is felt to be so secure as in this country. Were I to adopt Tariff Reform logic, it would impel me to add this must be due to His Majesty's Government.
But when we have cleared away the bad psychology and the party spirit from this Resolution, and disposed of the "feeling: of insecurity due to His Majesty's Ministers," there remains resting in the air, so to speak, an economic implication to which I assent. I am prepared to admit that the competition of foreign producers—I exclude the word "unfair" as another bad psychological excrescence—but that the competition of foreign producers, and protective tariffs have caused some capital to be employed abroad which might have been used at home, to the advantage of some wage earners. I am prepared further to admit that it is a better thing for this country that, other things being equal, a sum of capital should be sunk in a British cotton mill or coal mine than exported for investment abroad, even if the process of investment does take the form, as it does, of an export of British manufactures which employ British labour. It is better that this same amount of capital should be used to demand and cause to be produced the same amount of the same or other things, which would equally employ British labour to produce them, and that these things should be embodied in a British cotton mill or coal mine. It is better because the British cotton mill or coal mine would continue to employ British labour, and yield a dividend to the capitalist, while the foreign investment would only yield a dividend to the British capitalist, and nothing directly to British labour. But my position is that hostile foreign tariffs, while reducing both the production of capital and the productiveness of labour in this country, as well as in the foreign countries concerned, have thrown into our hands as much and as good employment as they have taken away; that so far as volume and quality of employment is concerned, we and the foreigners have both suffered, and we have not suffered most. Foreign tariffs are intended to regulate and alter the distribution of capital and labour in the country in which they are imposed. And they do succeed in altering this distribution. They do this in the way these nations deliberately intend to alter them. But they also alter the distribution of capital and labour in this country, and they do this in a way we did not intend and do not desire. Doubtless this is very irritating, and to individuals and individual trades is sometimes disastrous for a time. The leader of the Opposition said last week:—
What works have been removed from England to Germany?
A number of electric-lighting firms—Siemens and others. In America the Steel Trust spreads, but shipbuilding dies. Before we imitate Protectionist nations let us consider the more remote consequences and reactions of such a policy, solely from the view of production and wages. Never mind the consumer at this point. The chief governing consequence has been to make the advanced Protectionist countries—America and Germany—dearer countries for production, as well as living, than they would otherwise have been or than this country is. The effect of a tariff is to raise the price of taxed commodities in the protected country in terms of the untaxed commodities, and the principal untaxed commodities are gold and labour. The effect of the free admission to the former is to raise all prices, including the nominal price of labour, but not to raise the price of labour so much as the cost of living. The total effect is that at this moment we can produce a better product for a given expenditure of capital and labour, even at our higher rate of wages and shorter hours, than can be made by any other country. I can illustrate this by a case in my own business. A few years ago I imported an American machine at a cost of several thousand pounds. I bought it because I wanted it, and could only get it in America. Having one machine, I found I required several more, but I also found they could be made better and stronger and cheaper in this country. What did I do. I did not proceed to import more American machines. I imported the American inventor and patentee and got him to build the machines in this country. It is thus a tariff raises prices and defeats its end. It is not the intention of foreign tariff-mongers to give employment to capital and labour in this country, but while they take with one hand they give as much with the other.
The continental nations never intended to secure for us our supremacy in neutral markets, but they have done it. Their immense imports from the East, from Australia, and South America are paid for by exports, but not their exports—they are paid for by ours, and they have to settle up with us. That is why we send six times as much goods to China as we get back directly from China, while the Continent of Europe has a balance the other way. This is why we export to India twice as much as India exports to us, while Germany gets four times as much from India as she is able to send to that country. And it is so all round the neutral markets. It was never the intention of the Protectionist nations to throw into our hands the ocean carrying trade of the world, but they have done it, and our shipping trade is not only our largest export, but from the point of view of the amount of high-class labour of various kinds to which it gives employment, it is our biggest and best trade. It was not the intention of Protectionist nations to make this country the best field for the establishment of new industries which the evolution of industry is constantly creating, but they have largely contributed by their tariffs to do so. This explains how it is that we are so rapidly gaining the lead in a foreign industry such as the manufacture of motor cars, although we admit German and French cars duty free; and how it is that, if by superior enterprise or technical skill they take from us a lead in certain chemical or electrical manufactures, we are able to recovtr our lead.
While foreign tariffs make it necessary for us to invest our capital to a certain extent within protected areas, they also make is profitable for the foreigner to invest his capital in our free area, and we see both processes in active operation. Upon the whole it appears to me that the diversion of capital and labour from one industry to another, effected by the foreign tariffs of countries in an advanced condition of economic development, such as Germany and America, have of late reacted less to our disadvantage than to their own, both in the employment of capital and labour. The right hon. Gentleman the Leader of the Opposition said last week it is impossible to hold the opinion I have just expressed. He said:— British ships. But it is obvious that in the limited area of these islands there must be a limit to the possible profitable employment of capital in any particular stage of our development, and we must be doing badly indeed if we cannot pass this limit. Our foreign investments are simply the overflow. In the United States the railway mileage is more than 200,000 miles—ten times the mileage of this country. Would the hon. Member suggest that we should expend our capital at home in building 200,000 miles of railway? We have built a vast and profitable system of railways in the Argentine. Would my hon. Friend have preferred to duplicate the Great Western system? In the one case we get a good return for our money, in the other we should simply have destroyed a good property and wasted 150 millions to do it.
It is said our investments abroad create competitors and rivals to our industries at home. Do the Argentine Railways compete with the Great Western? Do they not, in fact, feed the Great Western, and all the rest of us? It is so, in fact, with practically the whole of our foreign investments. It is estimated that we have 3,000 millions invested abroad; perhaps some 20 per cent, of the national capital is thus invested. It is true we have ceased to finance the Continent of Europe, if we ever did so; probably not more than 50 millions are invested in countries such as Germany, France, and Belgium, which may be considered our manufacturing rivals. In contrast, we have 200 millions in Argentina, and perhaps 500 millions in India. This money is all employed, not to compete with, but to feed our commerce and our population, too—to provide us with raw material, and to open up our markets. Probably another 1,000 millions is sunk in the self-governing Colonies, of which the same may be said; and the rest is in Russia, Egypt, Mexico, Brazil, and the other parts of South America. It is to the industrial development which the flow of British capital has produced we owe the greater part of our foreign trade. It is to the 100,000,000 of imports which pay the interest on this vast sum we owe the abundant and cheap supplies of our food and raw material. And this reacts upon, and stimulates our producing power, for competitive production and commerce. It eases the lives of our labouring population, and so far from lessening it vastly increases the sum of home employment.
But almost every economic movement has a moral side. And the moral effect of this movement of British capital is not its least or least beneficent influence. International commerce means international interdependence, and the binding together of nations in the bonds of common interest. It is often said to be the greatest force making for peace and goodwill among the nations. But foreign investment—the ownership in common of all kinds of property—is an even closer bond; for commerce is scattered, and possesses a diffused and faint self-consciousness, but the foreign investors are organised and awake, and in times of political difficulty exercise an influence in favour of self-restraint and peáce, the weight of which often counterbalances in the council chamber that of the yellow Press in the street. On every ground, economic, social, and political, in the interest of all classes, not merely bond-holders, but of the whole community, we shall do well to value and cultivate, and extend, our national estate abroad.
In seconding the Amendment may I say that the Mover and Seconder of this Resolution before the House fought shy of some of the main elements of their own Resolution. For instance, the Resolution specifies as the cause of the export of our capital abroad as first—
I do not, I confess, quite understand the reason for this attack upon the not very bad witticisms of the Chancellor of the Exchequer. I think it was set on foot by Lord St. Aldwyn. It is a strange source for such an attack to come from. If I recollect rightly, and I say this without any lack of personal esteem, when he sat on these benches as Chancellor of the Exchequer he made more jokes and worse jokes in that official capacity than have ever been made by any of his predecessors. The hon. Member for Bewdley argues that capital is going abroad because the Chancellor of the Exchequer talked of hen roosts when he had better have spoken of safes. He described the Chancellor of the Exchequer as moving in a Celtic mist of figures. I think the right hon. Gentleman the Chancellor of the Exchequer might very well have thought that the hon. Member for Bewdley has been living in a very Saxon mist of figures in his speech.
The Seconder, the hon. Member for Windsor, did, to some extent, attempt to argue the economic issue, and to face this question, "What does exported capital mean? "He did face the fact, which the hon. Member the mover did not, that exported capital does mean export of goods, or the non-receipt of imports that might come in, and that are left to be invested abroad. But beyond making that proposition he offered no argument whatever. I put the two things the Seconder deprecated, the export of goods and the export of capital, as the export of goods or the limitation of exports are both things that the party of Tariff Reform are perpetually demanding. If our export of goods falls off they charge that to Free Trade, but it matters nothing to the party of Tariff Reform, they will argue one thing one day and the other thing the next, or, as an hon. Member remarks to me, they will argue them both on the one speech.
The lessening of imports is precisely again what the Tariff Reform party are always demanding. If our imports are in excess of our exports they lament, and if our imports are cut down they also lament. There is no conceivable state of trade for which, according to them, Tariff Reform is a bad thing. The hon. Member for Windsor very candidly made the admission that a very large export of capital took place in the United States during the past year or two. That export of capital was a sign of distress in the United States. Dealing with that particular situation, would he have proposed to put a tax on exports, and, therefore, that we should put a tax on exports here. In the state of the United States I do not see that anything better could have happened than that export. I take it the same argument applies here. Perhaps I ought to make this point clear from the Free Trade point of view. We have the admission, from the Tariff Reform point of view. What takes place when we make a loan to a foreign country? The right hon. Member for Dover, in dealing with the point a fortnight ago, seemed to admit that an export of goods must take place from us at some stage or other. What stages could there be? Either you send gold or you send credit notes. If you send a large amount of gold to Argentina by way of loan, it can only have the effect of raising prices in Argentina. Then the gold comes back here, where they can buy" more cheaply, and, therefore, the result is an export of goods. If you sent credit notes there would be no meddling with gold: the credit note is more efficacious. Mr. William Carlyle has pointed out that the cheque is really an older thing than coin in trade. A credit note again will have the effect of causing goods to be sent from this country. My hon. friend the Member for Paddington, in connection with the recent debate, had an Amendment on the Paper to the effect that the export of capital from a country is a loss.
No. That was not implied in the Amendment that I desired to move. I merely laid down the general proposition that the export of goods is in itself a loss, which is economically true.
I suppose my hon. Friend means that it is a loss unless something comes back. That is so obvious I need not argue it.
My hon. Friend was arguing that gold did not go—that goods went out. If goods go out it is as great a loss as if gold goes out.
My point was merely to show that a loan from this country to another country eventuates in export of goods.
A foreign investment does not necessarily mean a loss.
I quite agree; not necessarily, unless capital is lost. That would equally apply to transactions in our own country. It appears to me to be quite clear that exportation of gold does mean ultimately an exportation of goods. The right hon. Member for Dover sought to make out on that point that there would not be an export of goods from this country, because, as he alleged, the foreign country is, by a tariff, whether its own or that of other people, prevented from buying in England of all places in the world. He said that it was difficult to buy a locomotive here by reason of the existence of foreign tariffs. I pointed out St the time that that was absolutely wrong, and that as a matter of fact in no country in the world is it cheaper to buy locomotives than in England. But if we do not send goods as a result of a loan where is the export of capital that is complained of? Either goods go or they do not. If they do go, labour is employed here in the making of them, and that is what Tariff Reformers are always demanding. Here is employment for your unemployed labour. If no goods go out there is no export of capital, and you are clearly disentitled to argue that there is. The result is that we have here a perpetual alternation in the statement of the tariff case. On the one hand we are told that we are exporting too much. That is what you mean when you say we are exporting capital, and that capital ought not to be exported—that is, our export of goods is too great, and is to be deprecated. On the other hand, the tariff party are constantly appealing to the country with propositions to the effect that our exports are low, that there is a depression in exports, and they damn Free Trade on the very opposite ground to the argument with which they have damned it here to-night. There is nothing new in this proposition of the export of capital; there is nothing new in the phenomenon, or in the rhetoric on the subject. I have here a speech delivered many years ago by the late Lord Salisbury.
He was discussing in 1885 what would be the effect of applying the doctrines of ransom and restitution, and stated that Mr. Chamberlain's doctrines were the unique possession of this country, and would not be tolerated in any other country. Lord Salisbury added that the capitalist was safe if he took his money abroad. I will not pursue that particular line of reasoning, as it has long been recognised that the investment of British capital abroad was almost a regular function of British industry. I do not go into the question as to what would be the true economic alternative—the scientific alternative for the Government if British capital was not invested abroad. I am not suggesting that such capital could be productively used at home for taxation. That is a question which is not before us. We are dealing with the relative issues of Free Trade and Tariff Reform in connection with the export of capital. Lord Eversley some years ago made a calculation that from 1865 onwards the British capital which was being exported amounted to £37,000,000. Some three or four years ago a discussion took place at the Bankers' Institute, and Mr. Speyer pointed out and deplored that the exportation of capital at that moment had fallen somewhat low. He, with the assent of many bankers, regarded it as a very bad sign that we were exporting less capital. It was followed by a paper by Dr. Arndt, who pointed out that Germany was rapidly increasing the rate of exporting its capital for investment abroad. That was within the Tariff period. Is the fact that Germany, the great model State and example which is held up to us by Tariff Reformers, has exported, let us say, fifteen hundred millions worth of capital in the form of loans, and is receiving interest for it, an argument for or against Tariff Reform? If the exportation of British capital is to the discredit of Free Trade, how is the exportation of German capital to the credit of Tariff Reform? The question is—Can it be beneficial in one case and not in the other?
Has the ton. Member any figures to give us that Germany has invested this money abroad?
I have here an elaborate paper by Dr. Arndt. The figures are long and numerous, and I will be happy to give them to the hon. Baronet. They have been almost universally accepted as figures coming from the very highest authority. Is this beneficial or not? The right hon. Gentleman the Leader of the Opposition seems at one time to have believed that the exportation of capital was to be regarded as on the whole a good thing. On 28th May, 1903, referring in this House to the process, he said:—
"The country as a whole will pay an immense tribute to the country on which it must impose its goods in order to get the corn and meat and raw material which of necessity it is obliged to import. I may say that fact is at present disguised, and may it long be disguised, by the fact that we have enormous investments abroad, that we are a creditor country on a great scale, and it is comparatively easy for us to get our food, not merely by export of our manufactures but simply in payment of the debt which foreign nations owe to us as investors in their funds, in their railway enterprises, and in other ways.
"But as far as I understand the modern tendencies of industry, there is a stream running now the other way; and at all events so far as the United States of America are concerned, where were at one time some of our largest and heaviest debtors, there is a movement in precisely the opposite direction to what I have described—a movement which seems to tend in the direction of making us the debtors of the United States.
"If that is becoming general, if that is to become an important element in our relations with foreign countries, then I say we shall be in the position of haying to pay for these necessary imports on terms which will be most onerous to the country taken as a whole … It is a contingency which it is very difficult for those who contemplate it to view without alarm."
That was what he deplored. It is difficult to know whether the right hon. Gen- tleman holds the opinion he did, or that the opinion he holds now he held then. He told us recently that he and his colleagues had made the most exhaustive study of this subject; and I should be sorry if he thought I underrated his powers in that direction. A journal which is a strong supporter of the right hon. Gentleman said: "It is a well-known fact that the Leader of the Opposition has devoted a considerable amount of time for several months upon a study of the question." This gives rise to a curiosity as to what the right hon. Gentleman had been doing before. To come back to the issue raised by the hon. Member who moved the Motion. He asks that our surplus capital should be employed at home. What is done when you send your capital abroad? It goes in the form of goods.
It does not go in that form.
In what form does it go?
It goes in the form of bits of paper.
I am afraid that my hon. Friend will have to carry his analysis a little further. I do not know any capitalist who will be satisfied with a million bits of paper, or with one bit of paper with a million written on it. Nations cannot pay their debts in that way any more than individuals can. If capital goes abroad it goes to supply an economic demand, because Here in times of depression there is no economic demand for it. Is it suggested that there is a form of industry in England in which capital is lacking? I know of no such industry. Where is there an industry which is suffering from a lack of capital? One is puzzled at the statement. It is clear that the export cannot go on at the same rate in times of boom as in times of depression. There is another line of argument. It is said that we export capital when we export coal. It has been pointed out before that those who deplore the export of coal because they say it is a form of capital exult in the export of iron.
We put a duty on the export of coal—
Yes, and admitted that it should be taken off. If hon. Members believed that it would be a ruinous matter to export coal why did they merely put an export duty on it? Why did they not prohibit it altogether? Hon. Members object to the export of raw material, and again they turn round and object to the export of machinery and highly finished goods, because they say machinery going abroad helps the people of other countries to compete with us. Yet their whole case is that they want a tariff in order to force their exports abroad. They would bar the export of materials for railways. Are we to be barred from exporting rails? The fact is the economic case of hon. Members opposite falls to pieces the moment it is examined. We had it on the authority of the Leader of the Opposition the other day that tariff countries, in virtue of having a tariff, are able not only to meet their own markets, but to dump elsewhere. We had the extraordinary argument that a tariff country produces cheaper than the non-tariff. The plain refutation of that is we can undersell the tariff country in the neutral markets. Let us say a tariff and an untariff country, Germany and England, produce in round numbers of 100. The German producer says he is too much hampered, and gets a 20 per cent, tariff, and unless he is swindling his country his cost of production approximates to that figure; he can sell at 120 and we can sell at 100. That is what the German does in his own country. What do hon. Members mean by complaining of foreign tariffs unless they raise prices against us there? I will not go into the history of dumping, but I have a strong suspicion that as much dumping is done by our British trader as any other. The German producer producing at 120 to get at our produce has to come down from 22 to 25 points, while our producer, in order to jump the German tariff, has only to go up from two to five points. It is easier for the Free Trade producer to beat him than for the tariff producer to beat us. If the tariff producer dumps and sells so enormously below his cost price surely he is making a present of his capital to us. I am trying to understand what is the economic theory behind the Opposition case. What was the tone of hon. Gentlemen opposite when the Japanese loan was being floated? Did they not encourage British capital to invest in that loan?
Certainly.
Was not that export of capital? It did not matter if you export British capital and employ labour abroad if it happens to square with the policy and the movement of hon. Gentle- men opposite. Many hon. Members opposite have boasted that British control in Egypt rests on the amount of British capital employed there. It is an amount of boast when they are thinking Imperially, and it is a matter of lamentation when the export of capital is going on under a Liberal Administration. If it is the case that this export of capital is going on, how was that capital made? It was made in a country ruined by unfair competition. Many millions of profit made every year to be exported abroad in the teeth of a ruinously depressing time, and in the face of unfair competition. That is to say, this vast production of surplus capital and loanable capital has gone on in this country under Free Trade itself. I am bound to say, that in the case of the Tariffists, I see nothing but a tissue of self-evident contradictions. I do not impugn the honesty or sincerity of the Mover and Seconder of this Resolution, but I have heard the right hon. Gentleman the Leader of the Opposition, in a dozen speeches, describe alternately as insanity and dishonesty the policy of His Majesty's Government. I shall make no retort. I shall say that the honesty of the right hon. Gentleman is transparent—I use the term advisedly—but I would suggest to hon. Members opposite that it may be desirable to frame a policy that would look decently honest. This is a censorious world, and if the Tariff Reform case goes on as it has gone in the past, shifting its ground from day to day, putting forward alternatively on alternate days or moments or speeches exactly opposite and absolutely contradictory propositions, and putting forward a propaganda which has no scientific foundation, I think they can hardly hope to escape a charge of fundamental insincerity, and I suggest that next time they get up a Tariff Resolution in this House—it is in their own interest that I suggest it—they might frame a proposition to which they might continue to stick for six weeks at a time, and try and set forth some economic proposition that they will not have to abandon at the next stage of the campaign, and try to reach an economic truth and not merely a party formula.
Question proposed: "That the words proposed to be left out stand part of the question."
I think that there is no one in this House on either side who doubts that the export of capital from this country is largely increasing, but I contend that it is for the benefit of the country, both from the point of view of home employment and from the point of view of the investor. From the point of view of the investor I think there is very little to be said, because it is quite obvious that the demand for capital to develop the resources of the world confers upon British capital, and of all investors ours is the largest amount of capital—confers upon the British investor without exertion on his part a higher rate of interest than he could possibly get in this highly-developed and settled country of ours. If that is conceded from that point, the question resolves itself into the employment of capital at home. Are we or are we not robbing this country of capital necessary for home development. I have heard of considerable depreciation of our trade, but I have never heard till to-night it alleged, and I am not sure that to-night I have heard it alleged, that any trade in this country is suffering at the present time from want of sufficient capital. I do not know myself of any trade which, otherwise nourishing, is being kept back because capital is not forthcoming. So far as my experience goes there is abundant capital in this country available for all the demands of this country, and the eagerness of the capitalist, in his anxiety to invest in home securities, drives up the price of those securities so inordinately high, that in order to get anything like a tempting rate of interest the investor is bound to go abroad. The capital that goes abroad is, I contend, our unabsorbed surplus, our annual saving. Where does it go? It goes abroad, not nervously seeking a safe haven from the predatory attacks of the Liberal Chancellor of the Exchequer, nor for fear of Socialistic confiscation, but from a far more prosaic motive. It goes to seek higher rates of interest, and in that process it is willing to run very considerable risks. Where does it go? As a matter of fact it does not go to France, Belgium, Holland, Germany, Italy or Austria in any large extent, and to a great extent it has ceased flowing into the United States. These countries are themselves highly developed, and are able to provide their own capital for their own enterprises. Our capital, I contend, goes to the undeveloped countries of the world, where a high rate of interest can be obtained with reasonable security. Our capital goes to our Colonies, because blood is thicker than water, and our investors feel sentimentally safe under the moral guarantee of the British flag, and give a liberal preference to our Colonies in the low rates at which they are permitted to-borrow. Our capital goes in increasing; volume into undeveloped foreign countries: Mexico, Argentine, Brazil, Chili, and China, and if trade follows the flag it is morally certain that the Englishman follows his capital. Wherever you go in these countries you will find industries developed with British capital, equipped from British workshops, drawing their supplies from this country, and, sitting on top and managing the business, you will generally find an Englishman who, on on closer inspection, turns out to be a. Scotchman, with British foremen and clerks under him.
I represent a great iron and steel division. In Wednesbury, amongst other trades, we are bridge builders and wagon builders. So far as this country is concerned our trade in bridge work is never fully occupied by orders from this country. How could it be otherwise? Railway building in this country has very nearly ceased. There are no further main lines to be built, and the experience of half a century has effectively discouraged the further building of branch lines. We must, therefore, necessarily, for our bridge orders, in future look abroad to those countries where bridges are required to be erected, whether it be across the gorges of the Zambesi or elsewhere. We are wagon builders. We know that the harvests of the Argentine are conveyed to the port of Buenos Ayres by wagons built in ever increasing numbers in the midlands, by British labour, paid for by British capital, exported in British ships, to be worked on British railways for the profit of British investors. The capital which we export comes back to us largely in investment in the products which we make, and where our products are not taken our capital is not invested to any very great extent. A striking instance occurs to all those who, like myself, are engaged in the construction of railways and public works in different parts of the world, of the unwillingness of this country to advance money except as goods. Russia has for a long period been carrying out great schemes of railway construction. In that operation she has had much assistance from France, and some from Germany. She has her own rolling mills, and her own locomotive and wagon works. Up to the present she has received no assistance from this country. Her means last year enabled her only to build some 1,000 miles of railway. She needs imme- diately 50,000 miles. France and Germany are not disposed at present to help any more. She turns to this country. It is common knowledge among contracting and financial circles that Russian railway concessions, amply backed by Imperial Government guarantees, have been for some time on offer in this market, and are offered in vain. Russia, by her system of excluding imports by high tariffs, practically excludes our railway material, and our locomotive s and railway stock. She will take British money only, and that she will not get, even though the prejudice against Russian investments is dying away. If Russia were to allow the larger part of these loans to be taken from us by way of railway material, I venture to assert that she would get within the next 10 years the 50,000 miles of line required, but she will not do so so long as she refuses to take goods from us.
Wherever our capital can be employed in developing any part of the world which takes material from us there will be openings for our trade. I do not think that we sufficiently realise that, in spite of what we have done, the world is practically undeveloped. We have not even begun to attempt to satisfy its unsatisfiable demands. The whole of South America lies virtually untouched before us. Africa is an unknown continent. In Asia there is room for all. The great industrial need at the present time for workmen with our ever-increasing population and with our ever-rising standard of living, and with our ever-improving processes of manufacture—our great industrial need is maintenance of output. High prices do not matter so much for workers as continually unrestricted production. We know that a small output at high prices may very often be very profitable to manufacturers, but it spells starvation to great masses of working men. The one great demand is output, and to secure output you require cheap production and a market, and these we can have only so long as we maintain our much-derided system of free imports, which is the very breath of our industrial life in South Staffordshire. For our market in the Black Country we must look abroad. We are dependent for the future sale of our heaviest goods on the neutral markets of the world, and it is only by the continuous and liberal investment of capital abroad that we can hope to have those markets at our command.
This debate is necessarily limited to a very short time, and I am in duty bound to the right hon. Gentleman opposite to make my observations as brief as possible, in order to give him the time to reply, to which he is entitled. Everybody who has listened to this debate must have realised the intense interest which hon. Members on both sides of the House have brought to bear upon this subject. As these questions are more and more discussed in the House no doubt our differences become more sharply defined, and yet, at the same time, it is true that there is a greater measure of agreement amongst all sections of the House as to certain underlying features of the national problem with which we are dealing. I hope the hon. Member for Wednesbury, who has just made his maiden speech, will permit me to offer him my congratulations. May I also congratulate the hon. Member for Bewdley upon his second speech in this House, which is remarkable both for its form and matter, and my only regret is that our old Friend his father could not be here to listen to it.
I listened carefully to the speeches of the hon. Member for Wednesbury and the hon. Member for Gloucester. I recognise the force of all that they have said, and I am surprised to find myself in agreement with them to a far larger extent that I had ventured to hope when we entered upon this discussion. I am afraid that I cannot say the same of the speech of the hon. Member for Tyneside, but he has the misfortune not to be in agreement with anybody. [Cries of "Oh, oh!"] The hon. Member twitted us with differences of opinion on this side of the House, but, before he had spoken for five minutes, he found himself in conflict with the hon. Member for Paddington as to his scientific explanation of the course of trade, and later on he came into conflict with the hon. Member for South Salford. It is not necessary to follow too closely the arguments of the hon. Member for Tyneside, because I can say all that needs to be said about his speech in a few seconds. The opinions he attributed to us were a gross travesty of anything we have ever said. It is impossible for us to recognise any of our ideas in the dress which the hon. Member put upon them, and if he is accustomed to argue the question by sticking up dummies of that kind merely for the pleasure of knocking them down again, I do not doubt that he has a very easy task. The hon. Member for Wednesbury admitted what we have been abused for saying during the last five years, namely, that prices are not so much an object for working men to obtain as security for their employment. The first necessity of our trade is security and a market. That is exactly what we want to give to our working men, and that is notoriously what they have not got at the present time.
Now let me recall to the House one or two of the admissions of the hon. Member for Gloucester. He adopted a wholly different attitude to that of the hon. Member for Tyneside, who contended that, under all circumstances, the passing of capital out of this country was as good as the investment of the same capital in this country. Contrast that with the admission of the hon. Member for Gloucester, who said it was better to invest our capital at home than abroad if you could invest it productively, because then you not only secure the dividend for the capitalist, but also employment for workmen in this country. Not merely the employment at the moment which is given by the export of capital when it is exported in the form of manufactured goods—steel rails, or engines, or anything else—but recurrent employment year by year for the working man, as well as recurring profit for the capitalist. That is a totally different attitude to that of the hon. Member for Tyneside. But it is a totally different attitude from that of the Prime Minister. The Prime Minister goes beyond the Member for Tyneside when he says that all exported capital is good—just as good for this country as an investment at home, no matter what the circumstances or conditions may be.
With all respect, all I meant was that the price of the article on which the workmen employs his labour does not concern him so much as its quantity.
Well, the hon. Member for Gloucester—and I am anxious not to be unfair to him in any respect in making these quotations, for he was conspicuously fair in his statement of his case—said:—
"He had further to admit that foreign tariffs did achieve that which their authors intended them to do—"
Follow the quotation.
Yes, and
"achieved other things they did not intend."
But they
"do achieve these things which their authors intend them to do, they do regulate the distribution of capital and labour in their own country, and in our country, too, very often."
Not in vain have we Tariff Reformers laboured when we secure that admission from an ardent Free Trader—an admission which not only we could not have extorted three or four years ago, but when we asserted the same thing our assertions were received with ridicule and contempt. I hope they will remember these things when they go upon the platform again. Now there is this further:—
"They regulate the distribution, of capital and labour in their own countries; even in onrs their effects are often disastrous to particular industries."
Though the hon. Gentleman thinks what we lose in particular industries we recover—I suppose we more than recover in other places—do not make too light of the loss of a particular industry. It is a dead loss to capital, to manufacturer and to workman. A dead loss of the workman's skill as well as of the capitalists' money, and it entails often—even if it be in the long run, and I am not at all prepared to admit that at all, or in many cases, it, is the fact that in the long run it is economically advantageous—that the car of trade moving in that fashion crushes in its path great numbers of people it inflicts enormous suffering,, ruin, and misery on men trained to particular industry, or having their money invested in an industry, and who cannot apply themselves, or their money, to some other industry. The hon. Gentleman complains that the effect of Tariff Reform is to make things dearer. He heard what the hon. Member for Wednesbury said that it is not price so much as the security of employment and markets.
With all respect, what I intended to convey was that the price of the article on which the working man employs his labour does not concern him so much as the quantity.
It is quite true, as the hon. Gentleman said, that a manufacturer may in particular circumstances make a large fortune by very high profits on a small turnover, but in the long run to the manufacturer the important thing is not a gigantic profit, which certainly would not last on a small turnover, but a fair profit on a large and secure basis. What no hon. Gentleman opposite has attempted to answer is the argument of my hon. Friend the Member for Windsor, and which has been put before by my hon. Friend the Member for Dulwich, that in the present organisation of industry the scale upon which you can produce, and the size of the market on which you can rely, are the most important factors in determining the cost at which you can afford to sell. If you have a secure market, it does not raise your prices, but it enables you to lower your prices. If you have a large output, fully occupying your works, you can sell more cheaply by the ton or by the piece than you can if your works are only running at half their potentiality or three-quarters of it. That is a great factor in the present industrial situation, the importance of which has been magnified by all the changes and developments of recent years. It is now the dominant factor in the conduct of every industry in this country or any other. There are three great forms of commercial and industrial activity. We may be supreme in agriculture; we were, we are not now, and never shall be again. We may be supreme in industry; we were, we are not. We may be supreme in finance. I think we still have supremacy in finance; we built it up on our industrial supremacy, but how long will it continue if the industrial supremacy fails? What is the industrial condition of the world now? We do not stand apart, untouched by rivals or other nations, following at intervals which we can hardly bridge with our imagination. The great industrial nations are arriving at a state of equality with us in skill and in facilities of production, the scales being so nearly adjusted that the policy of governments will turn the balance. That policy may be of two kinds. It may be directed immediately to the object of increasing the productivity of the particular country concerned, to securing for the people of that country the largest possible amount of productive labour, and to causing those imports, which we all desire to see grow, to be of the nature which is most advantageous to us, that is to say, imports of raw material on which we may work rather than of finished goods on which no further work, or little further work, need be done. A policy of that kind may be directed as it is practised by the German Government, the United States Government, and by our great industrial competitors with a measure of success which the hon. Member for Gloucester has admitted in plain language. The policy may affect ns in another way as well. It may affect us indirectly. It may affect us by legislation which disturbs the minds of investors, which spreads by legislation or by speeches, insecurity and doubt. It may be affected by the action of the Government which incurs vast liabilities without making any provision for them, and leaves a country in doubt for a twelvemonth with a sword hung over their heads, but doubtful as to which head it is going to fall upon.
The Government refuse to take, it is part of their principles that they do not take, any direct Governmental action which may increase our trade, which may add to our security, and which may promote our industrial supremacy. On the other hand they are not stinted of Governmental means by which they can spread unrest and uncertainty, and by which they can check the investment of capital and drive investors to put their money elsewhere. It is not a question whether the investment of capital abroad is good in all circumstances or bad in all circumstances. It is neither one nor the other. It is good if we have a surplus, after we have employed the utmost amount here, that we should send it abroad. It is especially so if we send it to develop other parts of the Empire, and it will be better still if we bind those other parts of the Empire in closer commercial alliance with us. But it is bad, though, with stocks in this country standing very low, with a notorious unwillingness arising from the difficulty of our municipal authorities to go to our markets for fresh loans, with the difficulty which the Government have in financing their own requirements for Irish land, stock, and other things. Yes, and with the great measure of unemployment here in spite of an export of men which has no parallel in the world, under those circumstances to send away capital, not because we cannot use it here, but because people do not see that hope of security of profit, of a fair return in this country and under this Government which they obtain in other countries.
It was only towards the end of the speech the right hon. Gentleman turned to the subject of the Motion that has been moved to-night, and of the Amendment which has been moved to that Motion. The rest of his speech was devoted to a very interesting and complex address on various aspects of the Fiscal question, on which his views are tolerably well known. But at the latter part of his speech the right hon. Gentleman did come into contact with the direct issue, the important issue raised by this debate, and on which we are going to Vote. Whether the investments abroad from this country are injurious or beneficial, what is the cause of the recent increase and the present degree of those investments? The right hon. Gentleman has his ex- planation of the recent increase in foreign investments, and that was the explanation given by the hon. Member who moved the original Motion in a good and careful speech, to which the House, even though it did not agree, listened with great attention. There has been an increase in foreign investments. What is the explanation of that increase? The right hon. Gentleman's explanation is this: The Chancellor of the Exchequer has been making speeches; there is to be a Budget this year; large sums of money will be needed; and there is a great feeling of insecurity, I gather, among the wealthy supporters of the party opposite as to the source from which the taxation of the year will be raised. The Chancellor of the Exchequer has even gone the length of saying that he will, so far as is possible, raise his taxation from those who can afford to pay. That has spread consternation and a want of confidence in the intentions of the Government, so that, according to the right hon. Gentleman and the Mover of the Motion, they are exporting British capital as rapidly as they can, and they are endeavouring to invest their money abroad as quickly as possible in order to escape, by some means which I confess I did not quite follow, their fair share of the burdens of the State, in a year when, as the right hon. Gentleman the Leader of the Opposition will certainly bear me witness, there is the gravest need for exertion on the part of all citizens to uphold the safety of this country. What a situation! What an exhibition of patriotism! At a moment when, according to the right hon. Gentleman, supreme exertions are needed to maintain the safety of this country, persons who have fortune, and whose wealth is great in this world, are engaged in rapidly making investments in foreign countries in order that they may thereby be able to dodge the income tax Commissioner. That is not my explanation of the recent rise in foreign investments. That is the explanation of the party opposite.
dissented.
It is unadulterated fancy.
The right hon. Gentleman and others have said that it is only because of want of confidence in the methods by which taxation will be raised by this Government that investments in foreign countries have increased. What is the difference between that—which is fully admitted—and what I have ventured to state to the House? Of course, I can quite understand that the export of capital in certain circumstances would be injurious. When a Pasha, apprehensive of a popular movement, deposits his treasure in a London or Paris bank, that can scarcely be an advantageous transaction for the country in which he resides. Of course, if people regard the investment in foreign securities which this country carries on, and has long carried on, as analogous to that operation, or, as the right hon. Gentleman the Leader of the Opposition regards it—as on the same footing as the payment of a war indemnity—
I have not the least objection to the right hon. Gentleman quoting me, but he should quote me correctly. What I said was in answer to an argument of the Prime Minister, who declared that the export of capital must always be good, because it must take the form of export of British goods. If that argument is true, it applies equally to a war indemnity.
The right hon. Gentleman knows perfectly well that the export of capital, for which no Return is ever given, and in regard to which no consideration is ever obtained, is not an export of capital which has ever been within the purview of any of the discussions raised on this question. I say that if the right hon. Gentleman and others like him apply brains of exquisite subtlety to darkening counsel by inaccurate analogies of that character it will not have the effect of influencing the judgment of the House, though when such passages are indulged in by the right hon. Gentleman, gifted as he is, they enable us to measure the efforts he is making from day to day and month to month to adopt the whole intellectual apparatus of Tariff Reform.
Can the right hon. Gentleman answer the analogy?
I say there is all the difference in the world between a war indemnity and an investment abroad. It is the difference between having your strong box robbed of a definite sum and having money on which you are making an extremely lucrative investment. If the right hon. Gentleman wishes to have a discussion of the accuracy of the analogy I should be very glad to give way to him for a few moments. I can think of nothing further to say on the subject. There are certain subjects which are very quickly exhausted, and the points of difference between the payment of a war indemnity and the making of a profitable investment abroad are, after all, not very numerous. I do not now go into the excursions of the right hon. Gentleman in the regions of higher economics. Let me ask the House to keep in mind the main simple question which is raised by this debate. Are foreign investments as they are at present to this country prejudicial or beneficial? Is there a doubt in the mind of anyone who has listened to this discussion that the great system of foreign investments which we have pursued and which we are now pursuing is not merely beneficial to this country, but is essential and vital to our industrial and commercial system? If hon. Gentlemen opposite allege that foreign investment is excessive, the onus lies with them to prove that industry in this country for whose products there is an economic demand is hampered and starved because they cannot get the necessary capital. So far as activity of production is concerned the year just passed was the most active year we have had in this country, except the other two years when this Government was in power. It is well known that the activity of this country, man for man, is greater than that of any other people.
I wish the House had been full when the hon. Gentleman the Member for Gloucester delivered his admirable speech. He told us that the little City of Gloucester, while this country was being shaken to its foundation by the coming Budget and the many evil deeds of the Government, had a credit better than the kingdom of Prussia.
The other day I received a deputation from Lancashire drawing attention to the undue tendency to invest capital in British cotton mills. The onus lies with those who proposed this Motion to prove that there is a deficiency of capital and economic enterprise in this country. No attempt has been made to prove it. None whatever. There is no proof forthcoming to sustain the proposition. What is the distribution of these foreign investments? They are world wide, and are marked by a certain geographical character. They are all investments in new countries and in the communications of new countries. They are not merely varied in their character, but they are so varied in their geographical distribution that accidental disturbance in one country leaves our investments unaffected.
It is a very remarkable thing, noted by a non-partisan writer in the "Quarterly Review," that the British investors in foreign securities have avoided investing unduly in one particular locality. They have invested their money over the wide surface of the globe, and they receive a remunerative return for their investments. Out of three thousand millions which is reckoned as the amount invested abroad more than half has gone in the British Empire. And the party opposite comes here to bewail that fact—although such investments must bind Canada" and Australia more closely to the Mother Country. Let me tell the House that those Colonies are much more grateful for those investments than they would be for Tariff Reform. Does any hon. Member tell me that if Australia had to choose between Tariff dodges and the resources of the British Empire she would hesitate for one moment? The development of the British Empire has been the principal result of the investment of British capital abroad. How do these investments leave the country? They go chiefly in products of labour. Trade follows the loan. Whenever you find a loan made on the credit of this country there you find an increase of exports to the country which borrows the loan, and that is in pursuance of the policy of the loans. The periods when the process of investment abroad has been active have been followed immediately by an expansion of trade. There is a regular uniformity in these two facts—investments abroad and the increase of exports. When a country has invested heavily abroad there is a diminution of imports over exports. We heard hon. Members opposite deplore that as a serious fact. If any Member will take his mind back he will remember that at the outset of the Tariff Reform campaign one of the greatest conundrums which the Tariff Reformers were wont to put to Free Traders was "How do you meet the excess of imports? how do you face this terrible drain? Now, after these few short years the whole of that argument has been cast on one side, and the same hon. Gentlemen support an argument diametrically opposite. Investments can only go out in the form of exports; but how does the interest oh these investments come back? It is often said that this business of investments does not concern the working man, that it is only the wealthy class that are engaged in it. Does the interest come back in the form of luxuries for the rich? Why, Sir, the very countries in which we have invested most markedly are the countries from which we draw the largest supplies of simple food and raw material upon which the maintenance of the interests of this country and the welfare of a large portion of the population depends. And what do foreign countries think of the process of investment abroad? Germany has a much shorter commercial history than this country. Germany was hampered for years by being the battleground of Europe, and by being the centre of great international struggles, that delayed her economic advancement. It did not take place for long after ours. But in the comparatively short economic history of Germany she has succeeded in investing abroad no less than £1,500,000,000, and France—a country with a high tariff—has invested abroad nearly £1,600,000,000. May we not take it as agreed that active foreign investment is an essential feature in the commercial system of any well-to-do and prosperous modern economic State. The right, hon. Gentleman who spoke last has informed us of his explanation and of his opinion upon the subject of our foreign investments, and I venture to think the House will take a good opportunity to-night in recording a definite opinion upon the subject really in issue and which is before us, whether these investments are really for the advantage of the mass of the people, or for the whole funds of the country, or whether they are prejudicial to trade. I think the House will put aside very readily all this cheap talk about want of confidence paralysing and impeding the business energies of the country. I venture to think that it is as a result of the active investment which has gone on in the last two or three years, coinciding with a period of keen industrial productivity, that the country has regained and reasserted its old position as the primary commercial centre in the world, and that large business investments in other countries, for which other great nations were eagerly competing, have added to the stability which this country has sustained during a period in which rival States have practically collapsed, and in which the credit of Germany has undergone a strain almost up to breaking point. I think the great stability which we have exhibited in that period has enabled us to make valuable investments, and, as I say, to re-assert our old primary position as the financial and economic centre of the world. No one can tell what the future will bring forth. Hon. Gentlemen opposite sometimes are very confident, and are very hopeful and very anxious to boast about battles which have not been fought, and about triumphs which have not been won. I am not here to forecast and to enter upon that ground on this occasion, but I will say that the system of foreign investments which we are pursuing in common with all great economic States in the world has proved in England of the highest importance not only to the investing classes, but to the industries of the country, that the investments which all countries make, and are glad to make, in great new developing lands and regions of the world, give the Old World its fair I share of its rightful inheritance of the new wealth of the world called into being by the science, the thrift, and knowledge of the Old World. And I say to the right hon. Gentleman opposite—I do not know whether he will be called upon to conduct the finances of the country again—if by giving partisan expression to wrong views he does anything to hamper or impede the process of foreign investment he will inflict an injury upon the process upon which multitudes of people depend for their daily bread.
Question put: "That the words proposed to be left out stand part of the Question."
The House divided: Ayes, 72; Noes, 230.
Proposed words there added.
Division No. 36.] AYES. [11.1 p.m. Arkwright, John Stanhope Cecil, Lord John P. Joicey- Guinness, W. E. (Bury St. Edmunds) Ashley, W. W. Chamberlain, Rt. Hon. J. A. (Worc'r.) Hamilton, Marquess of Balcarres, Lord Clive, Percy Archer Harris, Frederick Leverton Baldwin, Stanley Cochrane, Hon. Thos. H. A. E. Hay, Hon. Claude George Balfour, Rt. Hon. A. J. (City Lond.) Courthope, G. Loyd Hill, Sir Clement Banbury, Sir Frederick George Craig, Captain James (Down, E.) Hills, J. W. Banner, John S. Harmood- Craik, Sir Henry Joynson-Hicks, William Beach, Hon. Michael Hugh Hicks Douglas, Rt. Hon. A. Akers- Kerry, Earl of Beckett, Hon. Gervase Du Cros, Arthur Keswick, William Bignold Sir Arthur Duncan, Robert (Lanark, Govan) Law, Andrew Bonar (Du'wich) Bridgeman, W. Clive Faber, Capt. W. V. (Hants, W.) Lee, Arthur H. (Hants, Fareham) Bull, Sir William James Fell, Arthur Lyttelton, Rt. Hon. Alfred Burdett-Coutts, W. Fletcher, J. S. MacCaw, Wm. J. MacGeagh Campbell, Rt. Hon. J. H. M. Forster, Henry William Mason, James F. (Windsor) Carlile, E. Hildred Goulding, Edward Alfred Meysey-Thompson, E. C. Cave, George Gretton, John Morrison-Bell, Captain Cecil, Evelyn (Aston Manor) Guinness, Hon. R. (Haggerston) Newdegate, F. N. Parkes, Ebenezer Salter, Arthur Clavell Willoughby de Eresby, Lord Pretyman, E. G. Sheffield, Sir Berkeley George D. Wilson, A. Stanley (York, E.R.) Randles, Sir John Scurrah Smith, F. E. (Liverpool, Walton) Winterton, Earl Renwick, George Stanier, Beville Wortley, Rt. Hon. C. B. Stuart- Roberts, S. (Sheffield, Ecclesall) Starkey, John R. Younger, George Ronaldshay, Earl of Staveley-Hill, Henry (Staffordshire) TELLERS FOR THE AYES.—Sir A. Acland-Hood and Viscount Valentia. Ropner, Colonel Sir Robert Talbot, Lord E. (Chichester) Rutherford, W. W. (Liverpool) Thomson, W. Mitchell-(Lanark)
NOES. Abraham, William (Rhondda) Grey, Rt. Hon. Sir Edward Murphy, N. J. (Kilkenny, S.) Agnew, George William Gulland, John W. Murray, Capt. Hon. A. C. (Kincard.) Ainsworth, John Stirling Gurdon, Rt. Hon. Sir W. Brampton Myer, Horatio Allen, A. Acland (Christchurch) Hall, Frederick Napier, T. B. Allen, Charles P. (Stroud) Halpin, J. Newnes, F. (Notts, Bassetlaw) Baring, Godfrey (Isle of Wight) Harcourt, Rt. Hon. L. (Rossendale) Nicholson, Charles N. (Doncaster) Barlow, Percy (Bedford) Harcourt, Robert V. (Montrose) Norman, Sir Henry Barnes, G. N. Hardie, J. Keir (Merthyr Tydvil) Norton, Capt. Cecil William Barran, Sir John Nicholson Hardy, George A. (Suffolk) Parker, James (Halifax) Barry, Redmond J. (Tyrone, N.) Harmsworth, Cecil B. (Worcester) Pearce, Robert (Staffs, Leek) Beale, W. P. Harmsworth, R. L. (Caithness-sh.) Pirie, Duncan V. Beck, A. Cecil Harvey, A. G. C. (Rochdale) Pollard, Dr. G. H. Benn, Sir J. Williams (Devonport) Haslam, James (Derbyshire) Ponsonby, Arthur A. W. H. Bennett, E. N. Haworth, Arthur A. Priestley, Arthur (Grantham) Bertram, Julius Hazel, Dr. A, E. W. Radford, G. H. Birrell, Rt. Hon. Augustine Helme, Norval Watson Rainy, A. Rolland Bowerman, C. W. Henderson, Arthur (Durham) Rea, Russell (Gloucester) Brace, William Henderson, J. McD. (Aberdeen, W.) Rea, Walter Russell (Scarboro') Bramsdon, T. A. Henry, Charles S. Richards, Thomas (W. Monmouth) Brigg, John Herbert, Col. Sir Ivor (Mon. S.) Ridsdale, E. A. Bright, J. A. Herbert, T. Arnold (Wycombe) Roberts, G. H. (Norwich) Brunner, Rt. Hn. Sir J. T. (Cheshire) Higham, John Sharp Robertson, J. M. (Tyneside) Bryce, J. Annan Hobart, Sir Robert Robinson, S. Buchanan, Rt. Hon. Thomas R. Holland, Sir William Henry Roch, Walter F. (Pembroke) Bums, Rt. Hon. John Holt, Richard Durning Roe, Sir Thomas Burt, Rt. Hon. Thomas Hooper, A. G. Rogers, F. E. Newman Byles, William Pollard Hope, John Deans (Fife, West) Rose, Charles Day Cameron, Robert Horniman, Emslie John Rowlands, J. Carr-Gomm, H. W. Howard, Hon. Geoffrey Runciman, Rt. Hon. Walter Causton, Rt. Hon. Richard Knight Hudson, Walter Samuel, Rt. Hon. H. L. (Cleveland) Cawley, Sir Frederick Hyde, Clarendon G. Scott, A. H. (Ashton-under-Lyne) Channing, Sir Francis Allston Illingworth, Percy H. Sears, J. E. Cherry, Rt. Hon. R. R. Jenkins, J. Seaverns, J. H. Churchill, Rt. Hon. Winston S. Johnson, John (Gateshead) Seddon, J. Clough, William Johnson, W. (Nuneaton) Seely, Colonel Clynes, J. R. Jones, Leif (Appleby) Shackleton, David James Cobbold, Felix Thornley Jones, William (Carnarvonshire) Shaw, Sir Charles E. (Stafford) Collins, Stephen (Lambeth) Kelley, George D. Shipman, Dr. John G. Collins, Sir Wm. J. (S. Pancras, W.) King, Alfred John (Knutsford) Silcock, Thomas Ball Compton-Rickett, Sir J. Lamb, Edmund G. (Leominster) Simon, John Allsebrook Cooper, G. J. Lambert, George Soares, Ernest J. Corbett, C. H. (Sussex, E. Grinatead) Lamont, Norman Stanley, Albert (Staffs, N.W.) Cory, Sir Clifford John Layland-Barrett, Sir Francis Stanley, Hon. A. Lyulph (Cheshire) Cotton, Sir H. J. S. Lehmann, R. C. Stewart, Halley (Greenock) Cox, Harold Lever, A. Levy (Essex, Harwich) Stewart-Smith, D. (Kendal) Crooks, William Levy, Sir Maurice Straus, B. S. (Mile End) Crossley, William J. Lewis, John Herbert Summerbell, T. Davies, David (Montgomery Co.) Lyell, Charles Henry Taylor, John W. (Durham) Davies, Timothy (Fulham) Lynch, H. B. Tennant, H. J. (Berwickshire) Davies, Sir W. Howell (Bristol, S.) Macdonald, J. R. (Leicester) Thompson, J. W. H. (Somerset, E.) Dewar, Sir J. A. (Inverness-sh.) Macnamara, Dr. Thomas J. Thome, G. R. (Wolverhampton) Dilke, Rt. Hon. Sir Charles Macpherson, J. T. Tomkinson, James Dillon, John MacVeigh, Charles (Donegal, E.) Toulmin, George Duffy, William J. M'Callum, John M. Trevelyan, Charles Philips Duncan, J. Hastings (York, Otley) M'Crae, Sir George Ure, Alexander Dunn, A. Edward (Camborne) M'Laren, Sir C. B. (Leicester) Verney, F. W. Edwards, Enoch (Hanley) M'Laren, H. D. (Stafford, W.) Vivian, Henry Erskine, David C. M'Micking, Major G. Wadsworth, J. Everett, R. Lacey Maddison, Frederick Walsh, Stephen Fenwick, Charles Markham, Arthur Basil Walton, Joseph Ward, John (Stoke-upon-Trent) Ferens, T. R. Marks, G. Croydon (Launceston) Ward, John (Stoke-upon-Trent) Ffrench, Peter Marnham, F. J. Ward, W. Dudley (Southampton) Findlay, Alexander Menzies, Walter Waring, Walter Freeman-Thomas, Freeman Micklem, Nathaniel Warner, Thomas Courtenay T. Fuller, John Michael F. Middlebrook, William Wason, Rt. Hon. E. (Clackmannan) Fullerton, Hugh Molteno, Percy Alport Wason, John Cathcart (Orkney) Gibb, James (Harrow) Mond, A. Waterlow, D. S. Gill, A. H. Money, L. G. Chiozza Watt, Henry A. Gladstone, Rt. Hon. Herbert John Montagu, Hon. E. S. White, Sir George (Norfolk) Glendinning, R. G. Montgomery, H. G. White, J. Dundas (Dumbartonshire) Glover, Thomas Morgan, G. Hay (Cornwall) White, Sir Luke (York, E.R.) Greenwood, G. (Peterborough) Morgan, J. Lloyd (Carmarthen) Whitley, John Henry (Halifax) Greenwood, Hamar (York) Morrell, Philip Whittaker, Rt. Hon. Sir Thomas P
Wiles, Thomas Wilson, J. H. (Middlesbrough) Wood, T. M'Kinnon Wilkie, Alexander Wilson, J. W. (Worcestershire, N.) Wills, Arthur Walters Wilson, P. W. (St. Pancras, S.) TELLERS FOE THE NOES.—Mr Joseph Pease and the Master of Elibank. Wilson, Hon. G. G. (Hull, W.) Wilson, W. T. (Westhoughton) Wilson, John (Durham, Mid) Wodehouse, Lord
Main Question, as amended, proposed. Debate arising,
And, it being after Eleven of the clock, Mr. Speaker proceeded to interrupt the business:—
Whereupon Mr. Russell Rea rose in his place, and claimed to move, "That the Question be now put;" but Mr. Speaker withheld his assent, and declined then to put that Question, and the debate stood adjourned.
House adjourned at Thirteen minutes after Eleven of the clock.