House of Commons
Thursday, May 5, 1921
The House met at a Quarter before Three of the Clock, Mr. SPEAKER in the Chair.
Private Business
Burnley Corporation Bill,
Croydon Corporation Water Bill,
Read the Third time, and passed.
Oral Answers to Questions
Naval and Military Pensions and Grants
Bellahouston Hospital
1 and 6.
asked the Minister of Pensions (1) whether his attention has been drawn to letters published in the Glasgow Press intimating the resignation of the majority of the local war pensions committee and joint disablement committee as a protest against the manner in which Bellahouston Hospital is being managed; whether he can state the steps he is prepared to take to allay the general dissatisfaction against, and to restore public confidence in, the treatment of the ex-service men who have to attend this hospital;
(2) whether he has received the report called for into the administration of Bellahouston Hospital; and whether he is now prepared to have an investigation into the conditions alleged to exist in that hospital?
My right hon. Friend has received reports from his regional officers on the subject of the allegations made against the administration of Bellahouston Hospital. The information now before him lends no support to the charges made against the hospital authorities, and the allegations of harsh and unsympathetic treatment of ex-service men appear to be without foundation. In view, however, of the considerable local feeling which has been created in this matter, my right hon. Friend proposes to hold a local inquiry, the precise nature of which he will determine at the earliest possible moment.
In setting up any committee to inquire into the administration of this hospital, will my hon. Friend see to it that some representative of the ex-service men is allowed to sit upon the committee, as in the main the allegations made against the hospital have been made by the soldiers who have been treated there through their organisation?
I will draw the right hon. Gentleman's attention to that point.
Appeal Tribunals
asked the Minister of Pensions what further steps he proposes to take to expedite the hearing of cases now before the Pensions Appeal Tribunal; and whether he is aware that from one district alone of Somerset there are eight cases which have been awaiting hearing for periods up to eight months, thus involving ex-soldiers and their dependents in much hardship?
asked the Minister of Pensions whether he has now reached a decision as to the best means of further expediting the work of the Pensions Appeal Tribunal so as to obviate the delays to which ex-soldiers are subjected, sometimes amounting in some Bath cases to as much as eight months?
( for the Lord Chancellor ): Five additional Pensions Appeal Tribunals will commence to sit this month, and further tribunals are in course of formation. The average period which elapses between the date an appeal is received by the Pensions Appeal Tribunals and the date it is heard is at present 10 weeks. In Somerset, all appeals received up to the beginning of, February last have been dealt with, or will be heard within the next two weeks.
Ex-Service Men
Mental Cases (Public Asylums)
asked the Minister of Pensions what special arrangements are made for ex-soldiers who are suffering from shell-shock and are detained in public asylums; how is their treatment differentiated from that of ordinary inmates; and what steps are taken or are in contemplation for treatment especially suited to their malady, and for independent examination at intervals by military doctors with a view to their earliest possible recovery?
Ex-service men are not medically treated in public asylums unless certified under the Lunacy Acts to be insane. Men suffering only from shell-shock are not so certified. Treatment is in such cases provided in an institution of the Ministry of Pensions, the men being under the care of experienced medical officers who have special knowledge of the particular disability and of the appropriate treatment.
Is it not a fact that ex-soldiers in these public asylums are treated as though they were ordinary lunatics, and is not that a state of things that ought to be changed?
I do not think that is true, but I cannot speak with authority on the matter.
Will the hon. Gentleman raise this question with the Minister, so that a specific answer to the question may be obtained?
Certainly.
Will the hon. Gentleman ascertain whether these soldiers are treated as pauper lunatics, or whether any consideration is given to them having regard to the reason why they are there?
I understand they are not treated as pauper lunatics.
Emigration (New Zealand)
, asked the Secretary of State for the Colonies if he will make inquiries as to whether the High Commissioner for New Zealand is inviting 1,000 ex-service men to emigrate to New Zealand with an assurance that house accommodation and employment will be provided; whether he is aware of a report that the New Zealand Government are dismissing men, that unemployment is general, and that the Government are unable to find house accommodation for their own employés; and whether action will be taken to make known to intending emigrants the exact state of affairs in New Zealand?
I have been asked to reply to this question. The question asked by the hon. Member is, I think, due to a misapprehension. In view of temporary difficulties connected with shipping, and the changed housing and industrial conditions in New Zealand, the High Commissioner has taken steps to ensure that only such ex-service men as have a definite guarantee of employment and housing accommodation on arrival in the Dominion shall at present be allowed to proceed. The 1,000 ex-service men to whom the hon. Member refers are, no doubt, those applicants for free passages to New Zealand who have furnished documentary evidence to the satisfaction of the High Commissioner that they are able to comply with these conditions, which are insisted on to prevent the possibility of distress amongst those arriving in the Dominion. The actual number of ex-service men included among these applicants is 363, numbering with their dependents nearly 1,000 souls. Action has already been taken with a view to making known to intending settlers the exact state of affairs in New Zealand.
Building Trade
asked the Minister of Labour whether the Employment Exchange officials have been directed to put pressure on unemployed men for the promotion of the Government's scheme for ex-service men in the building trade; and, if so, whether, in view of the fact that this scheme is generally regarded as an attack by the Government on the trade unions in the building trade and Employment Exchanges are supposed to act as impartial agencies, he will reconsider this matter?
This scheme has the full recognition and support of the Government, and while I regret that it has not so far been accepted by the trade unions in the building trades, it is in no sense an attack upon them. Posters and leaflets giving particulars of the scheme are displayed in the Exchanges, and managers have been instructed to bring to the notice of any suitable ex-service men on the register the opportunities which the scheme affords them of obtaining employment and securing training in a skilled occupation.
asked the Minister of Labour whether he can now state how many men are employed under the scheme for ex-service men in the building trade and in what districts those men are employed?
As I told my Noble Friend the Member for Battersea South (Viscount Curzon) yesterday, the total number of applications received from ex-service men is now over 8,000. Building employers will, I trust, proceed as rapidly as may be to sign these men on in pursuance of their patriotic undertaking to co-operate with us in this endeavour on behalf of ex-service men. So far, the number of men actually accepted is small, but progress with the scheme has been necessarily very much handicapped by the industrial situation which has developed since its launching on 18th April.
May I ask the right hon. Gentleman whether his attention has been called to the circular published in the Press yesterday morning from the Building Trades Union?
Yes, I read it. I was sorry to see it, but we are going on all the same.
Ireland
Military Operations
asked the Chief Secretary for Ireland whether he is aware that the houses of Edmund Creed and David Bermingham of Farrahy, of Denis Baily and David Maguire of Shanballymore, of John Cronin of Rockmills, and John Noonan of Quiltkent, were destroyed by Crown forces by order of Colonel-Commandant M. J. Cameron, C.B., C.M.G., A.D.C., on 13th April last, as a reprisal for the assassination of Constables Woodward and Baynes, Royal Irish Constabulary, on 10th April; on what principle these houses were selected; what is the estimate of the value of the property destroyed; whether the owners of the houses were confronted with the evidence, if any, against them; and whether they were given an opportunity to prove their innocence of the death of the constables if able to do so?
Before the right hon. Gentleman answers may I ask whether eight members of the Royal Irish Constabulary were ambushed and killed yesterday while on their way to bring in the dead body of a murdered man for burial?
These houses were destroyed as a military operation on 13th April, 1921, following the murder of Constables Woodward and Baynes on 10th April, 1921. They were selected as the occupants were bound to have known of the preparations, and failed to give information of the impending attack. Notices to this effect were served in each case. There is no information available as to the value of the property destroyed. I may add that the facts as stated by the hon. Member (Mr. Pennefather) are correct, and eight men were killed while on their way to bring in the dead body of a murdered man for burial. [HON. MEMBERS: "Shame!"]
Is the right hon. Gentleman aware that no one regrets these murders more than hon. Members on this side of the House? In the case of reprisals, if persons maintain their innocence, as in several cases I have brought to his notice, are they given a hearing, and allowed any sort of defence at all before their whole property and livelihood are taken away?
I have stated that the officer in charge must act on his own responsibility. In the end he is answerable to the Courts. He can be trusted to deal fairly with these cases.
Is the right hon. Gentleman aware that several cases, especially that of Mrs. Fitzgerald, whose son served with the Forces—
This question has no reference to this particular case.
Might I refer to this important case? In the case of those people who presented an alibi, does the officer put off consideration, and are they given any chance of defending themselves?
Would there be any possible chance of other Members having a separate department where they can have a chance of going on with business? Why do you not pull that man up? He has no shame.
Order, order!
asked the Chief Secretary whether any arrests have been made in connection with the recent burning of the house of the Bishop of Killaloe?
I am making inquiries into this matter. Perhaps the hon. and gallant Member will kindly repeat one day next week the question, of which I only received notice on Tuesday.
asked the Chief Secretary whether the house of Mrs. Brosman, of Newtownsandes, near Listowel, was destroyed on the night of 10th April; whether this was carried out by order; and what was the reason for this destruction?
This place is in the martial law area, and I have, therefore, asked the Commander-in-Chief to furnish me with a report. Perhaps the hon. Member will kindly repeat the question on Thursday of next week.
asked the Chief Secretary whether he has seen the statement of Miss Una Daly, of Limerick, that the furniture and property in her house was destroyed on 9th April by soldiers and police acting under orders, that 15 minutes' notice only was given, that £100 in gold was taken, that during the destruction insulting language was used, and that when the destruction was already in progress an officer read a statement that the punishment was being inflicted on Miss Madge Daly because she did not give notice of an ambush in John Street on the previous day; whether he is aware that Miss Madge Daly was in Dublin on the date in question and that the house was over a mile from the scene of the ambush, with the river between; and whether he will state what has been done with the £100 which was taken?
This place is in the martial law area, and I have therefore called for a report from the Commander-in-Chief. If the hon. Member will repeat, on Thursday next, the question, of which I only received notice yesterday, I hope then to be in a position to furnish him with a reply.
asked the Chief Secretary why official reprisals are taken against persons proof of whose implication in outrage is not obtainable?
I am informed by the Commander-in-Chief that the destruction of property in the martial law area is ordered only in cases where the Military Governor has satisfied himself that the building has been used in rebel operations or that the owner or occupier of the property has aided or abetted the rebels in their campaign of outrage and murder against the forces of the Crown.
What happens when people are able to prove an alibi, as in the case of Miss Madge Daly, of Limerick?
Has the right hon. Gentleman's attention been called to a military proclamation at Listowel which said that reprisals would be taken against persons known to have rebel sympathies, although no evidence of their implication in crime could be secured?
I must ask for notice of that question.
Murder, Partry
asked the Chief Secretary if his attention has been drawn to statements in the Press by the Archbishop of Tuam concerning the murder of a man 60 years of age named Horan, of Partry, county Mayo, on 7th March, in his own house by members of the Crown forces; whether this was a so-called reprisal for an ambush at Partry; and whether any persons have been arrested in connection with the ambush or the murder of the late Mr. Horan?
I regret to state that the inquiries which have been made in this case have not yet resulted in the discovery of any clue as to the identity of the murderers. The investigation, however, is still proceeding.
Can we be told, without any disrespect to the right hon. Gentleman, why the Chief Secretary is not here? We have had no explanation of his absence.
That does not arise here. That was asked the day before yesterday, and answered.
Shootings
asked the Chief Secretary whether any inquest or military inquiry in lieu of inquest has been held on the body of Patrick Cloonan, of Maree, Oranmore, County Galway, who was taken from the house of Laurence Donoghue, for whom he worked, by members of the Crown forces at 3 a.m. on the 5th April, and shot by the seashore a quarter of a mile from his residence; and, if so, what was the result of the inquiry?
The finding of the court of inquiry in lieu of inquest was that the deceased died from shock and hæmorrhage, caused by a bullet wound in the chest fired by some person or persons unknown, with intent to commit murder. Three civilians gave evidence at the inquiry, and made no suggestion that the man was taken from the house by members of the Crown forces.
Can steps be taken to make widely known the untruth of the allegations made against the Crown forces by the hon. Member opposite? Will the right hon. Gentleman, at any rate, send it to our Embassies abroad, so that they may know how false are these statements against British soldiers?
asked the Chief Secretary whether he is now aware that John O'Connor, of Gloundaeagh, Tarranfore, County Kerry, was arrested on 15th December last whilst on his way to church and driven away in a motor lorry; that he was beaten while in the lorry, thrown from the lorry into the road, fired on, and wounded; that civilians then carried him into the house of Thomas Brosnan, Threegneves, Currow, Tarranfore, where he was tended by the Rev. J. J. O'Sullivan, of Killentierna, Tarranfore; that four officers returned from Tarranfore, to which place the lorry had proceeded, in a motor car, and on ascertaining from the Rev. J. J. O'Sullivan where O'Connor lay wounded, entered Brosnan's house and murdered O'Connor by firing three revolver bullets into his head; whether he is aware that the Rev. J. J. O'Sullivan, Mr. Brosnan, and other eyewitnesses are prepared to testify to the foregoing facts on oath; whether an inquiry has been held; whether these witnesses were called; what was the finding; what action, if any, has been taken; and whether any compensation is to be paid to the widow and seven children of the murdered man?
I am informed by the Commander-in-Chief that the military Court of Inquiry that has been investigating this case was concluded on the 29th ultimo. All the papers, including the report, are now at Cork with General Strickland, by whom they will be forwarded to the Commander-in-Chief as soon as possible.
asked the Chief Secretary whether John O'Leary and Thomas Waters were shot near Moneygall by members of the Crown forces on 27th March; whether O'Leary has since died; what reason is given for this shooting; whether an inquiry has been held; and with what result?
The finding of the Court of Inquiry in lieu of inquest was that these men were wounded, O'Leary mortally, by members of the Crown forces, who fired at them in the execution of their duty, while they were attempting to escape from arrest after being challenged and called upon to halt.
asked the Chief Secretary whether Mr. Thomas Hennessy, a man aged 60, of Crosshaven, county Cork, was shot by a party of men in mufti, alleged to be members of the Crown forces, who arrived in a motor launch and started to search civilians; whether a court of inquiry has yet been held and with what result; and whether any arrests have been made?
The finding of the court of inquiry in lieu of inquest in this case was that the deceased met his death as the result of gunshot wounds inflicted by members of the forces of the Crown, who fired in the execution of their duty, and that he was himself to blame, inasmuch as he failed to halt when called upon to do so by the Crown forces. The court also found that no blame attached to the Crown forces in the matter of his death.
Would the right hon. and learned Gentleman say whether the statement in the question is correct, that the men were in mufti?
I could not answer that.
Compensation Claims
asked the Prime Minister whether he is aware that the Proclamation issued on the 14th April last by the General Officer Commanding-in-Chief the Forces in Ireland suspends the jurisdiction of all courts of justice in all cases whatsoever relating to any claims whatsoever in respect of any damages or injury alleged to have been done by the forces of the Crown or by any member thereof; and whether, in view of the statement that this Proclamation applies only to property that has been destroyed by direction of the Military Governor, he will instruct the General Officer Commanding-in-Chief the Forces in Ireland to amend this Proclamation in order that persons whose property has been destroyed in unofficial reprisals or by acts of indiscipline by members of the forces of the Crown in Ireland will have an opportunity to claim compensation before the civil courts?
If the hon. Member will refer to the replies which have been given to previous questions on this subject, he will find that no amendment of the Proclamation is necessary to enable claims to compensation to be proceeded with in the civil courts, provided that the consent of the Military Governor is first obtained, and that it is not intended that the consent of the Military Governor should be withheld in cases of the kind suggested in the latter part of the question.
Is the right hon. Gentleman aware that in a recent reply on this subject the Prime Minister said that courts would not be closed to persons whose property had been destroyed by acts of indiscipline on the part of forces of the Crown? Have these people then to apply to the Military Governor before they can do so?
The reference I have made includes the answer of the Prime Minister. When the consent of the Military Governor is obtained application can be made.
Why should they have to obtain the consent of the Military Governor in the case of unofficial reprisals?
Because it is in a martial law area.
What will happen in the case of a postponed trial when witnesses die, or are otherwise unavailable?
I could not answer that at the moment.
Negotiations With Sinn Fein
asked the Prime Minister whether the hon. Member for Pontefract has been authorised by the Government to offer to Sinn Fein through Mr. J. J. Farrell, formerly Lord Mayor of Dublin, Dominion Home Rule subject to an Imperial Army and Navy?
No, Sir. My right hon. Friend the Prime Minister has no knowledge of such offer.
Is the Government really prepared to make this offer?
My right hon. Friend has made the position of the Government perfectly clear.
Execution (Patrick Casey)
asked the Prime Minister whether he is aware that Patrick Casey, who was arrested on 1st May at Mitchelstown, County Cork, was tried by court-martial and condemned to death on the following day, and that the execution was carried out the same evening, 25 hours after arrest; whether his attention has been called to a statement made by General Macready, in an interview published in the Press, that, in every case of conviction for murder, the case goes to the Judge Advocate-General in London, and that the latter has to be convinced of the legality of the finding before the military authorities went any further; and whether Patrick Casey's case was submitted to the Judge Advocate-General in London before the execution was carried out?
The answer to the first and second parts of the question is in the affirmative and to the third part in the negative. I understand that the statement made by the Commander-in-Chief referred only to the cases of courts-martial under the Restoration of Order in Ireland Act and not to military courts in the martial law area.
What was the crime of which this man was convicted?
He was seen shooting at an officer twice. He was arrested on the spot, tried by court-martial in the evening, and sentenced to be shot. The sentence was confirmed by the military governor, and he was executed.
What was the nature of the verdict? Was he found guilty of murder?
My recollection is that he was found guilty of levying war, which is treason.
Are we to understand that the Judge Advocate-General had no opportunity of looking into the case, and seeing that the due formalities of the law were complied with?
Seeing that not merely the trial, but the execution was within 26 hours of the occurrence, was there any reasonable opportunity for those who were assigned to defend the accused to master and state the case?
I am sure that if any application were made, it would be duly considered by the court.
Did we not get a pledge in this House that no one would be executed until the proceedings had been placed before the Judge Advocate-General, and full consideration given to the matter?
I have said distinctly that the statement made by General Macready, and which was reported in the newspapers, referred only to cases of court-martial under the Restoration of Order in Ireland Act, and not to military courts in martial law areas.
Is the right hon. Gentleman aware that General Macready, in this interview which was given in an American newspaper, said that every man, before execution, was given weeks in which to make his peace with God, and will the right hon. Gentleman say why that opportunity was not given in this particular case?
As I have already stated, General Macready was dealing with cases of court-martial under the Restoration of Order in Ireland Act, and not with the case of military courts.
Is the right hon. Gentleman not aware that I am not asking about the interview with General Macready, but about the pledge that was given in this House?
I am not aware that any pledge of the kind was given.
In view of the fact that the Government and everybody does want peace, will the right hon. Gentleman give us a pledge that in future such indecent haste—[HON. MEMBERS: "Withdraw!"]—will not be shown?
Notice should be given of matters involving a change of policy as the question of the hon. Member does.
"Irish Bulletin."
asked the Chief Secretary whether, in view of his statement that a complete sweep was made of the office of the "Irish Bulletin" on 26th March, and that the list of names and addresses of those to whom the "Bulletin" had been sent was captured, and seeing that forgeries of the "Bulletin" are still being received by these persons, he will state what steps he has taken to clear the agents of the Irish Government of suspicion that they are responsible for these forgeries?
I have already stated, in reply to previous questions on the subject, that the Irish Government have no responsibility for these documents, and that I have satisfied myself no public money is being expended on their production. My attention has not been called to any breach of the law in connection with the circulation of these particular documents and, in the circumstances, I see no reason for spending time and public money in further investigations.
Would the right hon. and learned Gentleman say whether officers of the Government are issuing these forgeries at their own expense?
No, Sir; not so far as I know.
Is it not the case that the list of names and addresses to which the documents were sent was captured by forces of the Crown, and is now in their possession, and that forgeries are now being issued?
I have already answered the first part of the question. As to the last part, there is no foundation for the statement.
Who is sending them out?
I have not the least idea.
No one else can be doing so.
Raid, Dublin
( by Private Notice ) asked the Chief Secretary whether he is aware that on Friday last a raid was made on a hall in Blackball Place, Dublin; whether two or three trade union meetings were proceeding; that one of these was a committee of the local branch of the National Union of Vehicle Builders, the officials of which were engaged in paying sick and unemployment benefit to the members; that about 40 men, including the said officials, were arrested; that the branch books, and presumably any cash remaining, were also seized; that no one is being allowed to see the prisoners; that in order to pay the sick and unemployment benefit this week the return of the books is necessary, and also that application has been made for them; that no reply has been received; and whether he will release the trade union officials concerned; or alternatively, restore the books and any cash taken so that the members of the union entitled to sick or unemployment benefit may be paid?
Notice of this question did not reach the Chief Secretary till 1 o'clock to-day. He is having inquiry made, and will furnish the hon. Member with a reply as soon as possible.
Will the right hon. Gentleman meet a representative of the society concerned?
I should be glad to see him, but while I have no information, no good purpose would be served.
Castleconnell Inquiry
( by Private Notice ) asked the Chief Secretary whether, before the closing of the Castleconnell Inquiry, steps will be taken to summon all available witnesses?
All available witnesses were heard before the court closed. But I am quite willing to submit to the General Officer Commanding-in-Chief the question of re-opening the court to hear further evidence. I may add that Mrs. O'Donovan, her niece and her housemaid, who were in the house on the occasion, have been examined.
Does the right hon. and learned Gentleman say that all available witnesses were heard, when Mr. Cripps and his wife, who were personal witnesses of the whole occurrence, never knew that the inquiry was being held?
I will certainly submit to the Commander-in-Chief that question.
Is the right hon. and learned Gentleman aware that Mr. Cripps has written announcing publicly his willingness to give information, and does not the right hon. Gentleman's answer show that the whole of these military inquiries are a farce?
Can the right hon. and learned Gentleman tell us if the court had before them the fabricated evidence in the possession of the hon. and gallant Member for Leith (Captain Benn), namely, a cartridge with a bullet and no powder?
The Government have been considering the question of Mr. Cripps, and I may tell my hon. and gallant Friend that Mrs. Cripps has the greatest disinclination to go to the other side. [HON. MEMBERS: "No wonder!"] The Commander-in-Chief will consider with the greatest care, and indeed I will support, the application of the hon. and gallant Gentleman to have the matter reopened.
Questions
Industrial Unrest
The following question, stood on the Paper in the name of Lord ROBERT CECIL:
26. To ask the Prime Minister whether the Government have yet come to any decision whether any and, if so, what form of inquiry should be made into industrial unrest?
I do not know whether the Prime Minister would like me to postpone this question for another week?
I should be very much obliged if the Noble Lord would postpone it.
League of Nations
Permanent Mandates Commission
asked the Prime Minister whether the Permanent Mandates Commission of the League of Nations is now fully constituted; and, if not, who have accepted the invitation of the Council of the League to serve on the Commission to date, and how many vacancies remain to be filled?
On 22nd February, 1921, the Council decided to invite the following persons to become members of the Permanent Mandate Commission:
Have these gentlemen voting power on the Council?
They are not on the Council.
International Court of Justice
asked the Prime Minister whether he can now say when the convention for the establishment of the International Court of Justice will be ratified?
His Majesty's Government are doing their utmost to expedite ratification of the Protocol to the Statute of the Permanent Court of International Justice on behalf of the whole Empire, and they are now in consultation with the Dominion Governments on the subject. I may observe that the Protocol has not yet been signed on behalf of the Commonwealth of Australia.
Can the right hon. Gentleman indicate when this will be?
I hope with very little delay.
Peace Treaties
Occupied Territory, Germany (Strikes)
asked the Prime Minister whether he is aware that in the newly-occupied German territory a French proclamation posted up contains a Clause to the effect that no strikes will be allowed to take place; whether he is aware that the text of this proclamation printed in France and for circulation abroad does not contain this sentence; and whether he will make inquiries into the matter?
I have made inquiries, but have not been able to obtain confirmation of the report in question.
German Reparation
asked the Prime Minister what is the sum in sterling the Allies have demanded as reparation from the German Government; what sum has been received; and if he can make any statement as to German expressed intentions to meet the Allied claims for reparation?
asked the Prime Minister whether the German Government has been called upon to make a special issue of bonds to the amount of £250,000,000 in terms of Article 232 of the Treaty of Versailles?
asked the Prime Minister whether, in terms of paragraph 12 of Annex II to Part VIII of the Treaty, the Reparation Commission is constituted as the exclusive agency of the Allied Governments for receiving the reparation payments; and, if so, whether the provision of the German Reparation (Recovery) Act, which enables the Government to receive payments by way of reparation, is an infringement of that provision?
48, 49 and 50.
asked the Prime Minister (1) the conditions under which the French propose to work the coal of the Ruhr for the purpose of obtaining reparation if the ultimatum is rejected by Germany; whether any estimate has been made of the cost of the coal at the pithead and of the price at which it can be sold; what is the estimated amount which will be realised for reparations;
(2) the terms of the ultimatum that has been, or is to be, presented to Germany;
(3) whether, if the ultimatum to Germany is rejected, the Government is committed to joint action with the French in the armed occupation of the Ruhr; if so, what is the number of the forces to be employed; whether further coercive measures are proposed; and, if so, what is their nature?
53 and 54.
asked the Prime Minister (1) whether any inquiry has been made into the probable effects upon British trade of the occupation of the Ruhr; if so, can he state the result of the investigation;
(2) whether he can state the probable effect of the occupation of the Ruhr upon the coal export trade of this country;
55 and 56.
asked the Prime Minister (1) whether the reparation collected in the Ruhr will be handed over to the Reparation Commission to be apportioned among the Allies or will be retained by the French Government towards the French share of the reparation;
(2) whether the Reports of the Reparation Commission to the Allied Governments will be published?
58 and 59.
asked the Prime Minister (1) whether the Reparation Commission has assessed the amount of the liability of Germany which is attributable to Category (5) of Annex I to Part VIII of the Treaty; if so, whether he can state the amount?
(2) whether the Allied Governments have decided under paragraph 22 to amend Annex II to Part VIII of the Treaty; and, if so, whether he can state the amendments which are proposed?
60,61 and 62.
asked the Prime Minister (1) whether, under paragraph 17 of Annex II to Part VIII of the Treaty, the Reparation Commission has given notice to the British Government and to the other interested Powers of Germany's default in the performance of any obligation under that Part of the Treaty; and whether the Commission has made any recommendation as to the action to be taken; if so, what were the recommendations;
(2) whether the Reparation Commission has made any estimate of Germany's capacity to pay reparation; if so, whether he can state the amount of the estimate;
(3) whether he can state the number of gold bearer bonds which have already been issued in terms to Annex II to Part VIII of the Treaty; how many of these bonds have been redeemed; how many of them have been disposed of outright or by way of pledge; and whether the Reparation Commission has issued to the British Government a certificate stating the number of bonds it holds for the account of the Government, and certificates stating the amount of goods it holds for the account of this country?
asked the Prime Minister whether his attention has been called to the statements by Mr. J. M. Keynes, published in the Press on the 2nd May, as to the inability of Germany to meet her financial obligations under the Peace Treaty; and whether it would be possible for the Allies to issue a clear statement dealing with the favourable financial and industrial condition of Germany compared with that of the Allied countries, which have been impoverished by the policy pursued by Germany during and since the War, in order to counteract the pro-German campaign which is being carried on here and elsewhere?
asked the Prime Minister whether, in connection with the inter-Allied Conference on German Reparation, he can give par- ticulars as to the calculation upon which the ability of Germany to pay the amount demanded in the way demanded is based?
There are a good many questions dealing with reparation. As I propose to begin this afternoon by making a statement on that subject, I shall be obliged if all my hon. Friends would postpone their questions.
Will the right hon. Gentleman tell us the amount of reparation demanded by the Allies from Germany, the amount that has already been paid in sterling and what are the intentions of the Germans?
As I propose to make a very full statement, I have not answered the questions; but I shall be glad to reply to them in the Debate.
German War Criminals
asked the Prime Minister whether, according to German law, evidence against the alleged German war criminals must be given in their presence; whether this condition has been waived in the case of the proceedings at the Bow Street Police Court; and, if not, whether he has considered the possibility of the Leipzig Court declining to take cognisance of such proceedings?
I have been asked to reply. The German law as to prosecution for War crimes provides that the Rules of Procedure to be applied, where not otherwise determined by law, are to be the Rules of the Supreme Court of the Empire. The evidence of the witnesses was taken at Bow Street, in accordance with the requirements of the German law, and it has been stated by the representatives of the German Government that it will be admissible before the Supreme Court at Leipzig at the trials of the persons accused. There is no reason, therefore, to suppose that objection will be taken to it, more particularly as representatives of the accused persons appeared at the hearing at Bow Street.
Does the right hon. Gentleman remember that on more than one occasion he has told the House that one of the reasons for the delay in bringing these men to trial was that German law required the accused persons to be present when the evidence was taken. Is that wrong?
I do not think I used those words. I said the accused persons, or representatives of the accused persons. The accused persons had an opportunity of being present; they were not present themselves, but their representatives attended.
I am sure the right hon. Gentleman is never wrong in his law. I apologise.
Coal Industry Dispute
Government Offer
asked the Prime Minister how long the Government offer to the miners will remain open and under what conditions?
I have been asked to reply. I am unable to add to the information which my right hon. Friend the Chancellor of the Exchequer gave to my Noble Friend on Monday last.
Are we to understand that the matter will remain quite indefinitely, and that there is no limit fixed?
The answer is perfectly clear.
Can the Prime Minister hold out any hopes, when other matters are out of the way, of tackling this industrial stoppage?
That does not arise out of the question on the Paper. It is not necessary for the hon. and gallant Member to ask a supplementary on every question.
Foreign Coal
asked the Prime Minister whether he is aware of the threats reported in the Press as having been made by Eddo Fimmen and Robert Williams with a view to inciting labour on the Continent and in England to refuse to load or carry coal from abroad to various English centres; what is the nationality of these persons, respectively; and, if one is a British subject, whether he will consider the expediency of his arrest?
The Prime Minister has asked me to reply to this question. As reported in the Press, a statement was issued by the Transport Federation that the international transport workers on the Continent would refuse to load or carry coal to England. Eddo Fimmen is of Dutch nationality, and Robert Williams British. In the present state of the law there is no power to arrest either of these persons, and moreover I am informed that Fimmen is not in this country.
asked the Prime Minister whether, having regard to the strong views expressed by many of the leading trade unions that foreign coal should not be allowed to be imported into this country, as this would affect the uneconomic price at which home coal is being produced and sold to the public, the Government propose to include coal in the measure to be introduced for the protection of home industries?
The answer is in the negative.
Does the right hon. Gentleman think that it is compatible with the reasonable manner in which the Labour party is acting in wanting to prohibit foreign coal coming in and leaving us no coal that no protection is to be put upon our own coal?
I am afraid that I do not follow the hon. Member's question.
Surely we may hope to get some.
Economy
asked the Prime Minister whether, in view of the prolongation of the strike in the mining industry, he can state if the Government propose to take any further and more drastic steps to secure economy in the use of coal for all purposes?
I have been asked to reply. I would refer the Noble Lord to my replies to similar questions which he has asked recently. My Noble Friend has no doubt seen the new restrictions published in to-day's Press. The question of further and more drastic steps to secure economy in the use of coal is under constant consideration and I can assure the Noble Lord that, subject to the public safety and to the maintenance of vital services, the Government is taking all necessary measures to that end.
Would it not conduce to further economy if this House were to begin its sittings at 12 o'clock? Would it not save a great deal of light?
That is not for me to answer. If the Noble Lord is able to throw any further darkness on the situation, I shall be very glad.
Will the right hon. Gentleman advise the Government to put Regulation 13 passed yesterday into force at once?
That does not arise out of this question.
The Home Secretary knows.
Civil Service Federation
asked the Chancellor of the Exchequer whether his attention has been drawn to the Manifesto, dated 12th April, from a body styling itself the General Purposes Committee of the Civil Service Federation, and signed by two individuals of the names of Chase and Shayler; whether he can state wherein a body holding such views differs from those previously disallowed in the case of the Navy, Army, and Police; whether it is proposed to allow the Navy, Army, and Police to join bodies which take such action and express such views; whether those who do so, or who are associated with the Civil Service Federation in the present instance, will be eligible for the grant of pension and war bonus, now or in future; whether the persons comprising the Committee are known; in what Department the individual Chase was employed; and what further action the Government intend to take, if any?
I would refer my Noble and gallant Friend to the answers given on this subject to questions by the hon. and gallant Member for Moss Side, to which I need only add that Mr. Chase is a member of the staff of the Admiralty.
Is the hon. Gentleman aware that the answers to which he has referred me do not deal with the second part of my question, namely, whether it is proposed to allow the Navy, Army, and Police to join such bodies?
I find some difficulty in answering it, because I do not know what are the views "previously disallowed," to which the hon. and gallant Member has referred me. If he will give me a reference, I shall be able to give him a right answer.
Is the hon. Gentleman aware that bodies expressing such views in the case of the Police and the Navy and so on have been disallowed, and that the permanent forces are not allowed to join them? What action will the Government take in this case?
As regards action, I do not think I can possibly add anything to what was said yesterday by my right hon. Friend.
That means that you are going to take no notice at all of it?
On what ground does the Government propose to pay a war bonus to this man Chase?
Workpeople (Discharges)
asked the Minister of Labour whether, to bring home to the public the seriousness of the coal stoppage, he will consider the desirability of publishing frequently statements of those industries which have been compelled to close down owing to lack of fuel, as well as the number of people who are thereby thrown out of work?
It is not possible in all cases to ascribe the discharge of workpeople to one particular cause, such as shortage of fuel, with sufficient accuracy to justify the issue of periodical statements on the subject. But the numbers of unemployed have increased since the beginning of the coal dispute more rapidly than in any recent corresponding period, and there can be no doubt that by far the greater part of these increases are due to the stoppage in the coal industry. At 1st April the number of men, women, boys, and girls on the Live Registers of Employment Exchanges was 1,506,000, while a further 884,000 were claiming insurance benefit or out-of-work donation in respect of short time working. At 29th April the numbers were approximately 1,865,800 and 1,080,000, respectively.
Will the right hon. Gentleman advise the Government to put Regulation 13 into operation at once?
Alien Miners
asked the Home Secretary how many aliens are employed in and about the mines of Great Britain in Scotland, South Wales, Lancashire, and in the Midlands; how many of these aliens are known to be accredited agents of revolutionary propaganda; and what steps, if any, he proposes to take to deport such paid agents to their own country?
I stated in answer to a question on 11th April that the alien miners registered in the chief mining districts in Scotland numbered 1,530, being a very small proportion—about 1 per cent.—of the whole mining population. There is no reason to think that the proportion in the areas of England and Wales would be higher—it is probably much less—and as an expenditure of a good deal of time and labour would be required to get out the figures, I do not feel justified in doing it. I should be ready to exercisemy power of deportation in any proper case of the kind suggested in the latter part of the question, but up to the present time no such case has been reported to me.
May I ask the right hon. Gentleman whether, in his judgment, it is necessary to have any aliens in these districts?
To prevent them would require fresh legislation.
Will the right hon. Gentleman take the powers, which this House would readily give him, to prevent aliens coming into this country and taking the work away from British subjects?
Will the right hon. Gentleman also take steps to see that the agents of foreign reactionary Governments are deported as soon as possible?
Coal-Saving, House of Commons
( by Private Notice ) asked the hon. and gallant Member for the Pollok Division of Glasgow, as representing the Office of Works, whether he is aware that on Tuesday two large fires were burning in the Library, and yesterday three fires were burning in the same place; and whether he will give instructions during the present crisis that no more coals shall be burnt in the Library?
Yes, Sir, my attention has been drawn to the question. So far as possible, we are endeavouring to consult the convenience and comfort of Members, with due regard to economy. There is no coal but coke burnt. I have given instructions, as an experiment, not to allow fires in certain portions of the building.
Is the hon. and gallant Gentleman aware that yesterday there were no fires at all in the corridors of the House, and many older Members were suffering severely from the cold?
You have got cold feet already.
There is plenty of hot air.
Questions
Confectioners' Profits
asked the Prime Minister whether his attention has been called to Press reports of the annual convention of the Federated Confectioners' Association, held at the Connaught Rooms on 29th April, wherein it is stated that a proposal that retail confectioners' profits be fixed at a minimum of 50 per cent. on cost of goods by weight, and 33 per cent. on cost of goods by count, was carried, as was a further resolution to the effect that manufacturers, wholesalers, and multiple shopkeepers be asked not to supply street hawkers and milk traders with goods, and urging the Government to give local authorities larger powers of control; and whether, in view of the fact that the foregoing proposals are directly in restraint of trade, the Government can, and will, take any action in the matter?
I have been asked to reply. I have seen a newspaper report of the meeting referred to, but the matter is not one on which the Government are in a position to take any action.
Central Control Board (Liquor Traffic)
asked the Prime Minister how soon the Central Control Board (Liquor Traffic) restrictions as regards working men's clubs will be removed?
My right hon. Friend has asked me to reply. I am advised that the question of restrictions on the supply of liquor in clubs is inseparable from the general question of the regulation of liquor, which, as the hon. Member knows, is immediately under consideration.
Can the right hon. Gentleman say whether the statement made by the Prime Minister on the 29th April, 1918, that these restrictions were instituted for war emergency only, and not with any temperance idea, still holds good?
Perhaps the hon. Member will address that question to the Prime Minister.
With a view to getting these restrictions removed, will the right hon. Gentleman make them apply to this House, so that we may experience the inconvenience?
asked the Prime Minister whether he is aware that a majority of the supporters of the Government regard the continued existence of the Central Control Board (Liquor Traffic) with disapproval, and believe that in so doing they represent the views of their constituents, who assure them that the existence of the Board causes industrial unrest; that these Members of this House desire an immediate opportunity of voicing their views on the Board and ascertaining, by a vote of the House, what Members thereof support the Board's post-War survival; and, seeing that he has received a requisition from 170 Members or thereabouts for such immediate debate and division, will he now give them the opportunity which they desire to exercise apart from any proposed licensing legislation?
Owing to the pressure upon Parliamentary time, it is not possible to give time for such a discussion. As has already been stated, however, an opportunity will occur on the Motion for the Whitsuntide Adjournment.
Does the right hon. Gentleman recognise that on the Motion for the Adjournment it will not be possible to get a vote on this subject, and cannot steps be taken to give some date before the Whitsuntide Recess, even if it is only half a day, for a discussion of the matter?
I am afraid there will be no opportunity.
Is the right hon. Gentleman aware that the Nonconformist vote in this country is in a minority, and does he consider that the Prime Minister should be dominated by it?
Licensing Conference
asked the Prime Minister what is to be the composition of the conference which it is proposed to inaugurate on the licensing question; whether it is to be a conference of Members of Parliament or of other persons interested in the subject; what are the terms of reference; and what steps are to be taken to secure that the conference shall be representative of the various sections of public opinion which it is necessary to reconcile in order to secure an agreed measure?
asked the Prime Minister whether, in any new proposals for dealing with the sale and consumption of alcoholic liquors and any conference of persons in reference thereto, he will appoint neither persons whose business it is to make or vend liquors nor those who profess temperance views, but compose the tribunal wholly of those who consume such liquors ex their own cellars and/or in licensed premises, with power to call both trade and temperance witnesses?
I am not yet able to announce how the conference which is referred to will be composed. But it is our hope that it may be such as to bring together competent representatives of opinions, which, however widely they may differ, may offer useful contributions to the end in view.
Has the right hon. Gentleman considered whether it is to be a Parliamentary Committee or a Committee composed of persons interested in the matter outside this House?
I cannot say that we have definitely made up our minds, but I prefer a Parliamentary Committee, if we can possibly arrange it.
Russia (British Trade)
asked the Prime Minister if the Soviet Govern- ment of Russia is negotiating a loan with the British Government for £100,000,000, such loan to take the form of an open trade credit, for the purpose of purchasing goods in this country; and whether it is true that the Soviet Government has expressed its willingness, provided that the British Government will recognise it as the de facto Government of Russia, to give an undertaking to make good all claims, as regards real estate, Government bonds, mortgages, and securities of every kind, which may be legally proved by private individuals who are British subjects?
The answer to the first part of the question is in the negative. As my right hon. Friend stated on the 22nd March, the British Government in the Russian Trade Agreement has accorded de facto recognition to the Russian Soviet Government. With regard to claims, I would refer my hon. and gallant Friend to the speech which my right hon. Friend the Prime Minister made on that occasion.
Unfit Horses (Export)
asked the Prime Minister whether, having regard to recent revelations as to the export trade in old and worn-out horses, and the indignation aroused thereby in this House and the country, he will take steps to introduce legislation with the object of making this traffic illegal?
The Prime Minister has asked me to reply. The Ministry has considered the possibility of legislation to prohibit the traffic entirely. The difficulty lies, however, in making any proposal which would not interfere with the legitimate trade in fit horses. The Ministry has already made arrangements with the French Government to ensure the slaughter of horses intended for food before shipment and are endeavouring to make similar arrangements with the Dutch and Belgian Governments. I think it would be advisable to wait until the result of these arrangements are seen before proposing fresh legislation. I would also point out that, under the existing Acts which regulate the traffic, namely, the Diseases of Animals Act, 1910, and the Exportation of Horses Act, 1914, "old and worn-out horses" cannot lawfully be shipped if by the hon. and gallant Member's expression is meant horses which are no longer fit for work; and I have recently greatly strengthened the methods of inspection at the ports.
Does my right hon. Friend realise the consensus of opinion in the House on this subject, and that we would willingly pass through all its stages in a single hour any Bill to strengthen the hands of the Government?
Does my right hon. Friend think he will be able to give a final answer as to the possibility of agreement with the Belgian and Dutch Governments this day week?
I do not think that is possible, but I hope negotiations will be carried through very quickly.
Is it not possible for a veterinary surgeon's report to be signed before any horse is exported? That would put the onus on the veterinary surgeon of deciding that the horses were for the purpose of work only.
No horse can be exported now unless a veterinary surgeon has certified that it is fit to travel and to work. I am quite aware of the fact that the inspection was carried out very loosely, and for that reason I caused an inspector to be sent abroad to see the condition in which the horses were when they arrived. As a result of his report, I have got rid of all the inspectors who have shown laxity in the past, and I am appointing whole-time officials in their place. I suggest that before embarking on hasty legislation we should wait and see the result of the new measures I am now carrying out.
Will the right hon. Gentleman throw aside altogether the argument that we may interfere with the traffic in sound horses, in view of the fact that the majority of the people of this country would rather see the whole traffic in sound horses pass away than that cruelty should be inflicted on any animals exported?
I cannot put aside that condition of affairs altogether. We have a very valuable traffic in fit horses abroad—an export trade with which we cannot interfere lightly—and if we can accomplish what we want, namely, the prevention of this cruelty to worn-out horses without interfering with the traffic in fit horses, a bonâ fide and proper trade, that is the right course to pursue.
Men Servants (Tax)
asked the Chancellor of the Exchequer whether he is aware that the English Courts have decided in favour of the corporations or public bodies administering education in England against the claims of the Inland Revenue for tax or licence duty under Act 32 and 33 Victoria, chapter 14, for male employés employed generally as porters and caretakers, but that the Scottish Court of Justiciary in a test case has decided that corporations or public bodies administering education in Scotland must pay tax or licence duty for male employés, commonly known as janitors, who are employed in an identical capacity with that of the employés exempted in England; whether he is further aware that this conflicting interpretation of the law in two kingdoms is contrary to the accepted principles of the Act of Union; and whether he is therefore prepared to embody a short Amendment in the present Finance Bill which will put corporations or public bodies administering education in Scotland on an equality in this respect with similar corporations or public bodies in England?
The answer to the first part of the question is in the negative. The definition of "male servant" for the purposes of licence duty in the Act to which my hon. Friend refers includes a "house porter" and "footman," and I am not aware of any decision of the English courts which could be held to suggest that where the duties of a male employé are substantially those of a house porter or footman, the fact that he is the employé of a corporation or other public body administering education in England confers any right to exemption. As regards Scotland, I understand that there are now one or more cases before the Scotch courts in which the meaning of the terms "house porter" and "footman" is raised, and pending the decision of the courts on the interpretation of the present law I cannot express any opinion as to the advisability of fresh legislation.
Would it not be saving time and expense if an Amendment were em- bodied in the Finance Bill so that these questions which, although they are very subtle on minor points, are essentially quite simple, can be settled, and both countries be brought to the same basis, either by way of exemption from taxation or inclusion?
The questions are, as my hon. Friend says, rather difficult. I will certainly consider his views. But the matter is still under the consideration of the Scottish courts, and it would clearly be difficult to arrive at any definite conclusion until the courts' decisions are given.
Does the hon. Gentleman not agree that it would be better if the janitors in schools in Scotland and England were put on the same footing as regards taxability?
Yes, I think that very likely that is so.
Having regard to the desirability of employing ex-service men, would it not be advisable to abolish all forms of taxation for men who are engaged in what is domestic work?
That does not arise out of the question.
Malaya (Education)
asked the Secretary of State for the Colonies whether, in view of the success of the Johore system of teaching English concurrently with Malay, he will obtain from Malaya figures showing the present number of boys and girls in each of the States who are being taught English in either English or vernacular schools; whether anything is now being done to extend the Johore system to other States; and what is the name of the official who was responsible for the initiation of this system?
( for Mr. E. Wood ): My right hon. Friend will ask the High Commissioner for the information desired by the hon. and gallant Gentleman. His attention has been drawn to the success of the new system of teaching adopted in Johore. The English education officer in that State since 1916 is Mr. J. V. Thompson, B.A.
Royal Air Force
Helicopter Experiments
asked the Secretary of State for Air whether he can make any statement about the recent successful flight of a helicopter; and whether any experiments with any similar machine have been undertaken by the Air Ministry?
The hon. and gallant Member refers, no doubt, to the Austrian machine which has received a good deal of notice in the Press recently, although the trials themselves took place last autumn. This particular machine is reported to have risen vertically to a height of 160 feet, but is not designed to move horizontally, and apparently still lacks stability when the engine speed is reduced, so that it requires to be hauled down by cables while keeping its screws going. It may be said, therefore, to have achieved one of the aims usually associated with helicopters, namely, direct vertical assent. Other helicopters are reported from Denmark, France, Spain, and the United States. If the hon. and gallant Member is interested, I can let him have a note of their performances so far as they have been made known. The Air Ministry has given, and continues to give, careful attention to the problems connected with the design of the helicopter.
Maintenance Orders
asked the Secretary of State for Air whether any decision has been come to as a result of the consultation between the three Service Departments, foreshadowed in a letter to an airman's wife, dated November, 1920, and written by Group Captain Scott, Air Secretary to the Secretary of State, on the cases of wives of airmen who have been unable to enforce the maintenance allotted by Courts on separation orders, and who have been compelled to accept 10s. 6d. per week to be collected at the post office; whether he is aware that in many of these cases there are children to support; and when will arrangements for revising the present Regulations be completed?
This subject was considered at a conference of the three Service Departments, but it was decided that no general change could be made in the existing arrangements, under which the responsibility of a serving member of His Majesty's Forces is limited, while he continues to serve, to the stoppages from pay prescribed in the relevant Acts of Parliament. The amounts which can be stopped have, however, been reviewed and increased. In the case where 10s. 6d. per week was admissible, the amount is now 14s.
Questions
Hungary
asked the Under-Secretary of State for Foreign Affairs whether he is aware that the small landholders, now the majority in the Hungarian Parliament, allege that British influence was used through Mr. Hohler to retain M. Teleky as Premier, in spite of M. Teleky's dubious dealings with ex-Kaiser Karl; and will he state whether His Majesty's Government have made, or wished to make, any suggestions in the matter, or have any Legitimist or Royalist sympathies in Hungary?
If the allegations referred to by the hon. and gallant Member have been made—as to which I have no information—they are entirely unfounded. His Majesty's Government have consistently declared, in concert with their Allies, that they are entirely opposed to the return of a Hapsburg to the throne of Hungary. Subject to that reservation they regard the future form of Government in Hungary and the choice of a ruler as matters of purely Hungarian concern, in which they do not desire to intervene.
May we take it there has been no approach by Mr. Hohler to the Hungarian Government with a view to retaining the Teleky Ministry in power?
I cannot understand where my hon. and gallant Friend got this information. It is entirely unfounded.
Drunkenness (Conviction)
asked the Secretary of State for the Home Department if his attention has been called to the conviction of a boy of 15 for drunkenness at Sutton Police Court, Surrey, on 25th April; and if he will make inquiries as to how and where the drink was obtained which caused his condition?
The only information I have been able to obtain is that the prisoner said he had been to a wedding party with friends, with whom he had some drink.
Police (Dockyard and Military Stations)
asked the Home Secretary the amount paid in to the Metropolitan Police Fund by the Admiralty in respect of Metropolitan Police officers employed at the Royal dockyards; whether the ratepayers of London, directly or indirectly, are called upon to pay any of the cost of such dockyard police service; and whether the pensions, or any part thereof, of Metropolitan Police who serve their time at dockyards are paid from the precepts charged to the local authorities?
The amounts paid by the Admiralty and the War Office in respect of the services of the Metropolitan Police employed at dockyards and military stations are shown in the accounts presented to Parliament. The total charge for the year just ended is £415,000, including £45,000 for pensions. No part of the cost of these services, or of the pensions, is paid by the ratepayers of the Metropolitan Police District.
Police Recruiting
asked the Home Secretary whether police pensioners are still paid 10s. for every recruit enrolled through their agency?
The arrangement to which my right hon. Friend refers was discontinued in February last, but a few payments which became due under that arrangement may still remain to be made.
Motor Car Licences
asked the Home Secretary if he is aware that anyone can get a licence to drive a motor car by paying 5s., regardless of the fact that they cannot drive a car; does he consider such laxity in granting motor licences a danger to the safety of the travelling public; nad will he put this matter right?
I have been asked to answer this question. I have nothing to add to the answer given on 17th March to the hon. Member for Bromley, of which I am sending a copy to my hon. Friend.
Will the right hon. Gentleman please understand I do not remember for the moment what reply was given on that occasion, and is it too much to ask that he should repeat it now, because I wish to raise a supplementary question upon it?
I will summarise it in a few words. The present licence is nothing more than an identity certificate. A licence which carried with it a guarantee of efficiency would require examiners and a technical staff.
Is the right hon. Gentleman aware I have lost a bet with a friend on this matter?
That does not arise.
Horse-Drawn Vehicles (London)
asked the Home Secretary if his attention has been called to the overloading of drays, carts, and other horse-drawn vehicles in London; if he will consider the danger and inconvenience to the general public apart from the cruelty to the horses caused thereby; and will he set up a Committee of Inquiry to report upon the same with a view to removing the present state of things?
I am informed by the Commissioner that overloading does occur, but it is difficult to detect and prove. A new form of police notice, of which I will send a copy to the hon. Member, was distributed throughout the Metropolitan Police District in January, 1920. All the considerations mentioned in the question were in mind when the notice was issued. It is hoped that the new motor-cycle police may be able to effect some improvement. I do not think anything would be gained by appointing a Committee of Inquiry.
Police Union
asked the Home Secretary whether he is aware that the Police Union is still in existence; if he is in a position to give the number of mem- bers belonging to it; if any steps have been taken by the heads of the police to prevent members of the force belonging to it; and if he can give the number of men who joined the recent strike movement at present out of employment?
I understand that the body styling itself the Police and Prison Officers' Union is still in existence. I cannot state the number of members. Police officers are forbidden by the Police Act, 1919, to join any union, and any police officer who contravenes that provision ipso facto ceases to be a constable. I am not in a position to say how many of the dismissed police and prison officers are out of employment at the present time.
Is the Home Secretary aware that many of these men who are still out of employment are, with their wives and children, being kept by sympathetic grants from those constables still serving?
I am not aware of that, but I think it is quite probable.
Is a police officer a civil servant?
No, he is a non-civil servant.
Why is a distinction drawn?
Workmen's Compensation
asked the Home Secretary whether it is intended to introduce a Bill to amend the Workmen's Compensation Acts and pass it into law this Session?
I regret I am not in a position to make any further statement on this point. The inquiries which were being made as to the possibility of securing a limited Bill of a non-controversial character have been interrupted by the present industrial crisis.
Unemployment
Health Insurance
asked the Minister of Labour whether his attention has been called to the fact that during the time an insured person is in receipt of unemployment benefit his health card is not stamped, and he is consequently falling into arrears with his contributions under this Section; whether, unless such arrears are paid up, his sickness benefit will be reduced accordingly; whether under sickness benefit the contrary practice is observed; and whether the practice in the two cases can be made identical?
My right hon. Friend has asked me to reply to this question. It is the case that during periods of unemployment insured persons fall into arrears in respect of their Health Insurance contributions. There is, however, an allowance of four weeks of unemployment in any year before any penalty is imposed in the form of reduction of sickness benefit, and even if the arrears exceed this amount no reduction in sickness benefit can take place until the following year, and this reduction can be avoided by the payment of a comparatively trifling sum in the autumn preceding. Although the scheme of Unemployment Insurance differs materially from that of Health Insurance, it is not the case, as the hon. Member would appear to think, that an insured person is credited with a contribution for Unemployment Insurance in respect of any week for which he receives sickness benefit.
Domestic Service
asked the Minister of Labour whether he is aware that in Macclesfield highly-skilled industrial workwomen have been disqualified for unemployment benefit on the ground that they have refused offers of employment in domestic service, and that to enter upon such work would render the women unfit for their own occupation, and, by transferring them from an insured trade to an uninsured trade, would render it necessary for them to requalify on entering their previous occupation; and whether he will have inquiries made into the treatment of these cases in Macclesfield?
(Clitheroe) asked the Minister of Labour whether a highly-skilled textile worker, whose hands would be ruined by rough domestic work, would, under the provisions of the Unemployment Insurance Act and the Regulations made thereunder, be disqualified for unemployment benefit by refusing to accept employment in domestic service?
The question whether domestic service is suitable employment must depend on the circumstances of the particular case The considerations mentioned in the questions would tend to show that domestic service is not suitable employment, but it would be necessary to take into account also any other relevant factors, such as the length of time for which unemployment has lasted and the prospect or lack of prospect of an early opportunity of return to the employment previously followed. The worker is fully protected by the right which she, or her association, has to appeal to a Court of Referees against disallowance of benefit, and I understand that in certain cases at Macclesfield of the kind referred to the Court has allowed benefit.
May I ask the right hon. Gentleman whether the number of women out of employment yesterday, 896,000, includes a large number of women who would be qualified for the work of domestic servants, and is he aware that it is practically impossible to get anybody for domestic service?
I will send my hon. Friend a copy of the efforts that are being made in the direction of classifying women without any dependants and so on who might be deemed to be suitable for this work.
Will the right hon. Gentleman consider the advisability of withdrawing out-of-work pay to these people who are adapted to domestic service?
If there be any person qualified, by opportunity and so on, for this work, she would not get unemployment benefit, but I would again point out to my hon. Friend, as I did yesterday, that the person must be capable of work, must be available for work, and must be able to obtain suitable work.
Wage Reductions
asked the President of the Board of Trade whether there has been brought to his notice any cases, and, if so, of what nature, where men have accepted wage reductions to permit of the articles produced competing in the open market and to obviate unemployment, but where their unions have refused to sanction such proposed reductions?
I have been asked to reply. A few cases of the kind to which my hon. Friend refers have come to my notice, but I have no really authoritative details of them. They appear to be isolated cases, affecting small numbers of workpeople, in which the reductions are effected independently of general negotiations in a particular trade, and I imagine that this independent action usually accounts for the opposition of the unions.
Questions
Irish Cattle (Import Restrictions)
( by Private Notice ) asked the Minister of Agriculture whether, in view of the fact that large numbers of fat cattle are at Water-ford and other Irish ports awaiting shipment to Great Britain, and that the only British ports open for their reception (under recent Order of Ministry of Agriculture) have not facilities for the immediate slaughter of cattle in large numbers, he will give instructions so that Birkenhead may be added to the list of open ports at once?
Birkenhead has only remained closed to enable disinfection to be carried out before new animals are admitted. The disinfection is being carried out as expeditiously as possible, and the Ministry has undertaken to inform the Irish Department by wire the moment it is completed. It is anticipated that Birkenhead will be available in a few days.
Since I came into the House, I have had a telegram to say that fat animals can be received at Birkenhead next Tuesday.
Is the right hon. Gentleman aware that there is only one sailing from Waterford per week now, owing to the coal stoppage, that animals have been awaiting shipment there for over a week, and that if Birkenhead is not open by next Saturday they will have to wait another week; and, if possible, could he have Birkenhead opened by Saturday?
I will do everything possible to expedite disinfection, but my hon. and gallant Friend will realise that this is a necessary preliminary to the opening of the port.
Distinguished Strangers
Mr. Speaker, I notice some very distinguished personages from other countries in the Distinguished Strangers' Gallery, whom we are all pleased to see, but may I ask whether distinguished women from other countries will receive the same privilege?
That is a question of which I ought to receive notice.
Cost of Living
asked the Minister of Labour whether a clear and detailed exposition as to the method of arriving at the fall or rise in the cost of living will in future be published with the figures each month in the "Labour Gazette"?
A detailed statement, giving a full account of the methods employed in arriving at the figures, was published in the "Labour Gazette" for February last, a copy of which I am sending to my hon. Friend, and in each subsequent issue of the "Gazette" a reference to that statement has been given on the page containing the cost of living statistics for the current month. The statement occupied about five columns of the "Gazette," and I am afraid it would be impracticable, even if it were desirable, to reprint an article of such length in each issue of the "Gazette."
Will the right hon. Gentleman cause to be published in the "Labour Gazette" the remarkable letter which appeared in the "Times" yesterday in regard to the character of these figures?
Business of the House
Whitsuntide Recess
May I ask the Leader of the House if he can tell us what business has been arranged for next week?
(Leader of the House): I hope, in answering my right hon. Friend's question, I may be permitted to express the pleasure of the House at seeing him back among us, and we hope it means his complete restoration to health.
On Monday and Tuesday we propose to take the Committee and Report stages of the Financial Resolutions of the Safeguarding of Industries Bill.
I will announce on Monday the business for Wednesday and Thursday.
I hope it will be possible to take the Motion for the Whitsuntide Adjournment on Friday, and that it will be possible to adjourn the House from that Friday until Tuesday, 24th May. Of course, that must depend on the progress of business.
Can the right hon. Gentleman say when the Railways Bill will be taken?
No, Sir, I cannot say definitely.
Will it be taken next week?
I have reserved the announcement as to business for Wednesday and Thursday, because I am not quite certain what measures we shall have to proceed with on those days.
Will the right hon. Gentleman say whether we are likely to have the statement of the Secretary of State for the Colonies on the Colonial Estimates before Whitsuntide, or after?
Not, I think, before Whitsuntide.
Execution (Patrick Casey)
I beg to ask leave to move the Adjournment of the House for the purpose of discussing a definite matter of urgent public importance, namely, "the trial and execution in Ireland of Patrick Casey, on 2nd May, 1921, within 26 hours of his arrest, and before proceedings of the trial had been approved by the Judge Advocate-General, and the peril of further similar executions."
The hon. and gallant Member has been good enough to submit this to me, and I am of opinion clearly that it does not come under Standing Order 10. Therefore I cannot see my way to submit it to the House.
On a point of Order. May I respectfully point out that one of the most valuable and useful functions of this House is to call attention to anything that interferes with the life and liberty of the subject? It will, perhaps, be within your own memory that when a woman was arrested in Regent Street by the police on what was afterwards found to be insufficient evidence, the House was adjourned on such a Motion as this, and a Vote was given against the Minister of the day; and whether safeguarding the lives of Irish citizens is not quite important enough to demand the immediate attention and action of this House, as the guardian of the liberties of the people?
The hon. Member is perfectly correct, and I hope I shall always follow that view. I still do not consider that this case, as submitted to me, is a case which comes within that rule. I shall always cherish the rights of the House to criticise in the manner he suggests.
May I ask whether you have given due weight to the last part of my Motion, namely, the peril of further executions?
Before you reply to that, may I raise this point? While not disputing the ruling you have given, may I point out that this is Thursday, and there will be no further opportunity till Monday, which is many more hours than we gave for the trial and execution of this particular man, and it is our duty, at any rate, if we desire peace in Ireland, to see that men are not executed in so short a time.
I made a suggestion to the hon. and gallant Member for Central Aberdeen (Major M. Wood), but he did not see his way to carry it out. I hoped I might assist him, but he asked me to put the question in this form, and I am bound to give my view upon it.
I am not cognisant of the suggestion you were kind enough to make to my hon. and gallant Friend, but may I ask, would it be possible, as in the previous case, when your distinguished predecessor was in the Chair to raise the question again on Monday irrespective of the urgency not perhaps being greater? [ Interruption. ] May I appeal to you to protect me when I am trying to protect the liberty of the subject and the privileges and duties of this House? As this question refers not merely to a past act, but the peril of the repetition of similar acts, may I ask whether you would regard the question as not being less urgent if raised on Monday?
That is very much the suggestion I did make to the hon. and gallant Member. If he can show me a primâ facie case of their having been a quite recent change of policy in this matter, that is the point I was not sufficiently informed about.
May I say—[ Interruption. ]
You cannot have butchery in Ireland without exposing it in this House.
What about butchery of police?
I believed I was following your suggestion, Mr. Speaker, and I fail to understand why it is suggested I have not done so. I thought I was following the suggestion which you had been kind enough to give me.
I will keep quite an open mind, but a primâ facie case does not exist at the present moment.
Bill Presented
Dentists Bill,
"to amend the Dentists Act, 1878, and the provisions of The Medical Act, 1886, amending that Act," presented by Sir ALFRED MOND; supported by Sir Hamar Greenwood and Mr. Munro; to be read a Second time upon Monday next, and to be printed. [Bill 95.]
Message from the Lords
That they have agreed to,
Portsmouth Water Bill, with Amendments.
Doupe's Divorce Bill [ Lords ],
That they communicate the Minutes of Evidence and Proceedings taken upon the Second Reading of Doupe's Divorce Bill [ Lords ], as desired by the Commons, with a request that the same may be returned.
Consolidation Bills,
That they communicate that they have come to the following Resolution: "That it is desirable that all Consolidation Bills in the present Session be referred to a Joint Committee of both Houses of Parliament."
Gas and Water Bills,
That they have appointed a Committee consisting of Four Lords to join with a Committee of the Commons to consider the Taf Fechan Valley Water Board Bill [ Lords ], Taf Fechan Water Supply Bill [ Lords ], Rhymney Valley Water Board Bill [ Lords ], and Rhymney and Aber Valleys Gas and Water Bill [ Lords ], and request the Commons to appoint an equal number of their Members to be joined with the said Lords.
That they propose that the Joint Committee do meet in Committee Room No. 4, on Thursday, 9th June, at Twelve o'clock.
Gas and Water Bills,
So much of the Lords Message (this day) as relates to the place and time of meeting considered.
Ordered, That the Committee appointed by this House do meet the Lords Committee as proposed by their Lordships.—[ Colonel Leslie Wilson. ]
Message to the Lords to acquaint them therewith.
Bills Reported
North Staffordshire Railway Bill,
Reported, with Amendments. Report to lie upon the Table, and to be printed.
Ministry of Health Provisional Orders (No. 1) Bill,
Reported, without Amendment [Provisional Orders confirmed]; Report to lie upon the Table.
Bill to be read the Third time Tomorrow.
Ministry of Health Provisional Orders (No. 2) Bill,
Reported, with Amendments [Provisional Orders confirmed]; Report to lie upon the Table.
Bill, as amended, to be considered To-morrow.
Ministry of Health Provisional Orders (No. 3) Bill,
Reported, with an Amendment [Provisional Orders confirmed]; Report to lie upon the Table.
Bill, as amended, to be considered Tomorrow.
Radcliffe and Little Lever Joint Gas Board Bill,
Reported, with Amendments [Title amended]; Report to lie upon the Table, and to be printed.
Westgate and Birchington Water Bill,
Reported, with Amendments; Report to lie upon the Table, and to be printed.
Oxford Motor Services Bill [ Lords ],
Reported, without Amendment; Report to lie upon the Table, and to be printed.
Bill to be read the Third time.
Ionian Bank Bill [ Lords ],
Reported, without Amendment; Report to lie upon the Table.
Bill to be read the Third time.
Wrexham and East Denbighshire Water Bill,
Reported, with Amendments; Report to lie upon the Table, and to be printed.
Standing Committees (Chairmen's Panel)
Mr. JOHN WILLIAM WILSON reported from the Chairmen's Panel: That they had appointed Sir William Pearce to act as Chairman of Standing Committee B (in respect of the Housing Bill).
Report to lie upon the Table.
Orders of the Day
Supply
[NINTH ALLOTTED DAY.]
Considered in Committee.
[Mr. JAMES HOPE in the Chair.]
Civil Services and Revenue Departments Estimates, 1921–22, Progress
Class II
Foreign Office
Motion made, and Question proposed,
"That a sum, not exceeding £112,520, be granted to His Majesty, to complete the sum necessary to defray the Charge which will come in course of payment during the year ending on the 31st day of March, 1922, for the Salaries and Expenses of the Department of His Majesty's Secretary of State for Foreign Affairs, including the News Department."—[ Note. —£100,000 has been voted on account. ]
Allied Conference
Ultimatum to Germany
Prime Minister's Statement
4.0 P.M.
This morning, at half-past ten, there came to an end one of the most important, and I think I may say most momentous, of the series of conferences which have recently been held between the Allied Powers. It was important not merely for the subject matter of discussion or for the decisions taken, but also for the consequences of those decisions.
Before I give the actual decisions arrived at, I should like to present a summary of the position to the House. We sat for about six days. It is very difficult to give a summary in the time at my disposal of deliberations which occupied such a length of time. When we met, this was the position: Germany was in default in the execution of the Treaty on some of the most important provisions of that Treaty—disarmament, trial of criminals, reparation, and four or five other Clauses of the Treaty which have not attracted much attention, but which are of very considerable importance. The Allies have, during the past two years, shown considerable forbearance. They have never been insistent upon the letter of the bond. Where Germany had legitimate difficulties to encounter, where she could show that she was doing her best to meet the demands of the Treaty, but that conditions over which she had no control made it difficult for her to fulfil its requirements, in every case the Allies made concessions, extended time, and generally made it easier for Germany to meet her difficulties. There has never been a single case that I can recall where the Allies have been unduly harsh in their action. In fact, the criticism is just the other way.
I will now give, in outline, the main cases of default, of undoubted default, on the part of Germany. The first relates to the very important question of disarmament, which is not merely the basis of the Treaty, but I think the basis of the future settlement of Europe. Unless that very formidable machine which has been responsible for the great armaments of Europe, and which in the end was responsible for the terrible War of 1914, unless we have a guarantee that those great armaments have disappeared for ever, there is no guarantee for the freedom or for the peace of Europe. Therefore, we regarded disarmament as a fundamental question. I wish to be perfectly fair to Germany, and I say at once that in some respects her compliance with that important part of the Treaty has been highly satisfactory; in others, very unsatisfactory. I am very glad to be able to say that the direction in which her compliance has been satisfactory is a very vital one. The surrender and destruction of her great guns has been considered, in the judgment of our military advisers—I am quoting their very words—"most satisfactory," although it is not complete. There are still between 500 and 600 guns to be surrendered. The Regular Army has been reduced to 100,000. When we met at Spa, the condition of things was not so satisfactory as it might have been. The Germans had still in their possession a very large number of formidable guns, far too many machine guns, and, so far as rifles were concerned, they had not approximated to the conditions of the Treaty. The Army, which ought to have been reduced to 100,000, was then 200,000. The Conference at Spa has had a very good effect. The Germans made a real effort after that Conference. They have reduced their Army from 200,000 to 100,000, and have surrendered 5,500 more guns, a vast quantity of shells, something like 2,039,000 rifles, and 20,000 machine guns.
I will give the respects in which the compliance with the Treaty is still unsatisfactory. There are still far too many machine guns and rifles unsurrendered, and enough machine guns to arm very formidable forces. In addition to that—and this probably is the most disquieting factor—irregular military organisations, called the Einwohnerwehr and other names, are still in existence in Germany. In Bavaria alone there is a force of 300,000 men called the Einwohnerwehr, a very considerable force in East Prussia, in Wuėrtemberg, and I believe in other parts of Germany, and these forces, added together, no doubt would become the nucleus of a most formidable army. They are armed with rifles, they have machine guns, and it is suspected that they have a number of cannon.
France and Belgium are naturally very anxious about these forces, and for very good reason. It is not that Germany could, by any chance, whatever Party came into power, suddenly organise a force which could attack either Belgium or France. Germany's great guns have gone, and, therefore, her most formidable weapons have disappeared. Still, as long as you have great forces of that kind in Germany, which form a nucleus for military organisations—and you have still got in Germany very large numbers of officers and non-commissioned officers of the old Army—and when you have got about the most ingenious industrial population in Europe, that could in a very short time improvise machinery of destruction, it is quite impossible for France to settle down. She must continue to arm; she must continue to keep her eyes on her eastern frontier; she must watch. She is uneasy; she cannot reduce her arms; and, therefore, it is essential that Germany should carry out this provision of the Treaty.
The reason assigned by Germany—and we give full weight to it—is that they have had two or three revolutions and counter-revolutions. There was the revolution in Bavaria, where Munich and the Bavarian Government were in the hands of the Communists for, I think, some weeks. On the other hand, there was the revolution, or the counter-revolution, in Berlin, where a whole series of Government offices were in the hands of the counter-revolutionists. Germany is able to say, "We cannot disarm and be perfectly helpless in the face of these revolutions." The fact of the matter is that the existence of these irregular forces makes it very difficult to carry out orders given by the Central Government for the surrender of rifles. Of course, it is not merely the Communists. There are a good many who half sympathise with them, and they say, "We are not going to give up our rifles and machine guns as long as you have got these irregular forces that at any time might be used for the suppression of our legitimate liberties." There is suspicion and counter-suspicion. We cannot get the rifles out of the hands of the Einwohnerwehr, because they are afraid of the Communists. We cannot get the rifles from the Communists, because they are afraid of the Einwohnerwehr. Therefore, you must insist on both parties surrendering their rifles. There is sufficient regular force in Germany, with its magnificent railway communications, to suppress any danger that may arise from any movement of the kind. That, therefore, is the first point in the default of Germany.
The next subject upon which Germany is in default is with regard to war criminals. The position here is quite unsatisfactory. What makes it all the more unsatisfactory is that the Allied Governments made very substantial concessions to Germany's susceptibilities. Germany said: "It is very difficult for us to hand over the officers of our Army to be tried by foreign courts, but we will set up a court of our own, or, rather, we will carry a measure with special provisions for the trial of these accused persons before the High Court of Leipzig"—a court of unblemished reputation. The Allied countries quite unanimously accepted that plea. We each sent to Germany a number of typical cases, as we called them, for trial. For one reason or another, however, they have been delayed. The Germans have protracted the correspondence; they have allowed three out of the seven criminals—I ought not to use the word "criminals," because they are still subject to trial—three out of the seven persons, accused of the worst charges, to leave the country, professing that they cannot arrest them. The other four—the character of the charges against whom, and the character of the evidence against whom is very well known from the inquiry, the very remarkable inquiry which took place the other day at Bow Street, although we supplied them with the evidence in October—have not yet been brought to trial. They have promised to bring them to trial about the end of this month. There is no doubt that the procedure is slow. They are tarrying. They are not showing the same anxiety and diligence in bringing these people to justice as they would had they been offenders against the German laws, and they were anxious to prosecute them. What applies to our cases applies equally to the charges brought by France and by Belgium. Here, undoubtedly, the position is unsatisfactory. Germany is in default, and she is in default after the Allies have gone out of their way to meet her susceptibilities, her very natural susceptibilities.
I now come to the question of reparations. Germany by the Treaty was to have paid 20 milliards of gold marks by 1st May. I think, on the whole, I had better convert it into sterling, and say £1,000,000,000. Germany was to pay £1,000,000,000 in cash and kind by 1st May, 1921. She has not done so. She has paid at the outside—and this is not the minimum, but the maximum—she has paid £400,000,000. The £1,000,000,000 was to cover the cost of the Army of Occupation as well as reparations. Here also the Allies have shown very considerable forbearance. The default is a palpable one, and we have been driven to take strong action, not merely from the fact that Germany has defaulted, but by her general attitude towards the whole question, and by the growing indication that Germany did not intend to carry out her obigations. She was making excuses, not merely for delay, but for avoidance. She was beginning to challenge her responsibilities. Public opinion in Germany was-urging the Government to contest not merely the claims—that would have been legitimate—but the obligations; and when they refused to face those obligations, they were cheered, encouraged, and supported.
This new attitude on the part of Germany took a very practical form in one respect. Germany under the Protocol which accompanied the Treaty—and which was a much more important document than is generally fully appreciated—was invited to make an offer in discharge of the whole of the claims against her. There, in the Treaty itself, was a carefully drawn-up category of claims in respect of compensation and reparation. It was realised that it might take a long time to settle, and no one knew, having regard to the prices that prevailed, whether the figures might not be so prodigious as to be beyond the possibility of any country's payment. Therefore, Germany was invited to make an offer. It is quite obvious that had the offer been a fair one,, had it been a reasonable one, although it might not have reached the limit, it might have been better for the Allies to have accepted an offer which came from Germany voluntarily, rather than the higher figure which would be the result of compulsion. This was their opportunity. An opportunity was definitely and deliberately given her in the letter which accompanied the Treaty. She was to make it, I think, within four months. She never made a move. We extended the time. We then called Germany's attention to the matter, and invited her to make an offer. She was very slow to take any steps. When the offer came, it was so obviously inadequate as to constitute a contemptuous defiance of the Treaty.
The Committee will recollect the meeting in London, when Dr. Simons made a proposal on behalf of Germany. It was an exasperating offer. It was an offer which showed that Germany was not treating her obligations seriously, and that she only took that offer in the light of the speeches that Dr. Simons had been delivering in Germany, and that Ger- many herself had it in her mind that she would not be called upon to discharge the obligations of the Treaty of Versailles. I must say that a good deal was said in other countries which indicated that that might be the view of France and Great Britain as well. Under the circumstances, it was essential that the Allies should make it clear to Germany that, whilst willing to make allowance for all Germany's difficulties—economic and otherwise—they must insist upon the Treaty being accepted,. and accepted as a real basis of any offer. All efforts, and there were many—at Boulogne, Spa, Brussels, Paris, and London—all efforts to induce Germany to put forward a bonâ fide offer having failed, there was nothing to be done but to allow the machinery of the Treaty to function. The Reparations Commission made their award. They heard everything Germany had to say. I think they told me that Germany had submitted 130 memoranda. They attended about 30 meetings of the Commission. After hearing everything which the German representatives had to say, and perusing everything that the German Government had to submit, the Reparations Commission last week found that, after deducting the amount already received, and after adding the Belgian debt—which is to be added to the payment of the reparations—there was due from Germany £6,600,000,000.
Gold pounds.
Yes, gold pounds. Of that figure, France claimed 52 per cent., and the British Empire 22 per cent. It was the duty of the Reparations Commission under the Treaty concurrently to make a schedule for the payment of that amount, and, in order to be able to do so, it was necessary to amend one of the annexes to the Treaty. The annual payments would have been too heavy had they been extended over only 30 years. The last German proposal was to extend them over 80 or 90 years. The proposal at Paris extended them over 42 years. The Supreme Council met on Saturday, and sat until this morning, to consider the award of the Reparations Commission, the scheme of payments that should be submitted to Germany, the guarantees by which those payments should be ensured, and the sanctions by which these obligations should be enforced. First of all, let me take the scheme of payments which has been agreed to by the Supreme Council, which has been adopted by the Reparations Commission, and which has been submitted, or will be submitted to-night, by the Reparations Commission to the German representatives.
The experts of the Allied Powers framed a very careful scheme, and may I say on behalf of the Government that we owe a debt of gratitude to my right hon. Friend the Secretary of State for War (Sir Laming Worthington-Evans) for his great labours in this respect, and the great help which he gave. The Paris scheme, about which the House has heard a good deal, was a scheme of 42 annuities, beginning at £100,000,000 sterling per annum, increasing at intervals of two and three years, until at the end of 11 years a maximum of £300,000,000 per annum would be reached. Those are the fixed annuities. But in addition to these it was proposed that there should be a variable sum, equal to 12 per cent. of the German exports, added to the fixed annuity for each year. I hope that is clear. I am just putting that forward in order to show where the new scheme differs from the first.
The proposal of the London Conference is that there shall be one fixed sum, and that that shall be £100,000,000, but that there should be a variable sum added to that per annum which will be equal to 26 per cent. of the German exports. Whether that be higher than the Paris scheme, or lower, depends entirely upon German prosperity. If the German exports do not improve, then it will be considerably lower than Paris, but if the German exports approximate the pre-War figures with present values, then it will be equal on the whole to the Paris figures; and it is only in the event of Germany becoming exceedingly prosperous, and her exports exceedingly flourishing, that the figures will exceed the Paris scheme. But the whole point of the new scheme is that Germany's annual liability will vary according to her capacity at the time.
In order to enable Germany to meet her liabilities, to adapt her liabilities to her capacity, and also in order to enable the Allies to have something in hand that will enable them to raise money for reparation, it is proposed that three categories of Bonds be issued. The first category, which I will call Series A Bonds, are for £600,000,000 gold, to be delivered by 1st July. They will bear interest at 5 per cent., with a 1 per cent. cumulative sinking fund. Series B Bonds will be for 38 milliards of gold marks, or £1,900,000,000 sterling, to be delivered by the 1st November, the interest being the same in each case. Series 0 Bonds will be delivered for the balance, which is estimated at 82 milliards of gold marks, or £4,100,000,000 sterling, to be delivered by the 1st November this year; but with this very important reservation, that the Commission is only to attach coupons to and issue these Bonds as and when it is satisfied that the payments to be made under the agreement are sufficient to provide for the interest and sinking fund. The first two series will be issued this year. As for the third series, the date of issue will depend upon the capacity of Germany to pay. The Reparations Commission will decide that from time to time, and issue the bonds according to the capacity of Germany to pay.
Who will sub scribe to the bonds?
I will come to that by-and-by. I must first of all explain the details of the scheme.
I come now to a very important question, and one which gave us a good deal of anxiety, and took a very long time to settle. It is clear that at first there will not be enough to pay interest, and you can hardly expect to receive enough money to pay interest upon the whole of the amount due, which is £6,600,000,000, and 6 per cent. upon that would be £400,000,000 sterling. Then comes the question: What is to be done with the interest in respect of the unissued bonds? Under the Treaty, Germany was debited with interest at 5 per cent. upon the whole of the debt due from her, with certain powers left to the Reparations Commission to vary the amount. What is proposed to be done now is that 25 per cent. on the exports is to be devoted, with the fixed annual sum to, the payment of the bonds which will be issued. If there be a balance over and above that for any given year, it is to be devoted to the payment of interest upon the unissued bonds, which represent the uncovered capital of the debt, together with a sum equal to 1 per cent. of her exports. Beyond that, the interest will be wiped out. It will not accumulate against her. That is a very important concession, and I hope it will have important effects.
I come to the methods of payment. As all those who have given real attention to this subject know, the practical difficulty with which we are confronted is for Germany to pay outside her own frontiers the debt which is due to other countries—to France, Great Britain and Belgium. That is the practical difficulty. The payment upon a debt of £6,600,000,000 is a serious matter inside one's own country, but to pay outside one's own country even a smaller amount has baffled the ingenuity of many financiers. That is the practical difficulty which we had to solve.
I will now give to the Committee the fund out of which it is proposed to pay the interest upon these bonds, and upon this debt. There will be first of all payment in kind. The first payment will be within 25 days, and it will be a payment of £50,000,000 sterling. Germany on the whole has accepted that in her document to America, and therefore I do not think there will be any difficulty about it. It will be paid either in gold, in foreign bills or in three months' Germany Treasury grants, endorsed by German banks payable in London, Paris and New York. That is substantially the offer which is made by Germany herself, and, therefore, I do not anticipate any practical difficulty so far as the first payment is concerned.
The next item of payment will be in kind, coal. [HON. MEMBERS: "Hear, hear!" and Labour cries of "Oh!"] Having destroyed the French and Belgian coal mines I cannot understand those cheers. This is coal to make up for the coal which would have been produced in France at the present moment had the coal mines not been destroyed. Then there is aniline dyes, timber, and material for reparation and re-construction in France. I am very glad that that has been agreed to, and I think it is a very sensible method. To a certain extent, it is possible that there may be labour, but that raises very exceptional difficulties, because there are trade unions in France. That is within very circumscribed limits, and I do not anticipate there will be any very substantial sum realised from the labour part, although I think material will raise very considerable sums. Those sums will aggregate to very considerable amounts during the period of reparation which is a difficult period for Germany as well as for France, which will probably extend over five or ten years, and it will take that time at the very least.
In instalments for five years?
No; that is the period for reconstruction. Germany is to supply material to help France to re-construct her devastated provinces, and I think the same will apply to Belgium; but the process of reconstruction will take five or ten years.
Is this against the first instalment of £100,000,000?
It is as you get it from year to year. In a good year, you may have material worth £50,000,000, and that would be credited to Germany for that year.
What is the value of these?
May I be allowed to put my case. It is not that I object to interruptions, but it is very difficult to make the case clear, and it would be easier for the House to follow me if I give the points consecutively. That is the second source of revenue—a very substantial one. The next is a levy of 25 per cent. on German exports. It is reversing the process of the Reparations Bill, but you can do it one way or the other. You can either collect in the country where the goods are received, or you can collect in Germany.
In all countries?
This is my scheme, not the hon. Member's? You collect 25 per cent. from Germany on all their exports to whatever country they go. If any country prefers to collect the duty in respect of goods which go to that country in its own currency, it can do so. That is the first item. Then the collection will be, not in marks, but in the equivalent of gold—in bills negotiable on the English market. All will depend entirely on the recovery of Germany's export trade. Germany's export trade before the War was over £500,000,000. The value of that at present prices would be some- where about £1,000,000,000. If Germany had a trade of that kind, then 25 per cent. on her exports would be £250,000,000 sterling, and that would be collected in paper, which is the equivalent of gold, because it is international gold—bills of exchange.
A sub-Commission will be appointed by the Reparations Commission sitting in Berlin to supervise this application of the money. It will have no authority to interfere in the administration. It is not a Commission set up in order to collect reparations from Germany. It is purely a body to supervise, to receive payment, and to control receipts. The receipts which I have already indicated—the value of the material received in kind which will be credited to Germany in the pool—the actual 25 per cent. on the German exports—all that sum will be hypothecated to the payment of interest on the bonds which are issued.
Other German revenues will also be pledged as security for the payment of the interest on the bonds, and here the German proposal coincides with the proposal we make. The Germans have offered other revenues as security for the payment. That is the outline of the plan which has been adopted by the Supreme Council for the payment of Germany's debt. I believe it is fair and workable, and will produce the necessary results. The German experts at Brussels were of opinion that Germany could pay three milliards of gold marks per annum. That represents £150,000,000 sterling, and that is equal probably to the amount that will be available for the first two or three years. If German prosperity develop, then certainly there will be much more considerable amounts available for this purpose. They will be available in a currency, which will be good here. That is the advantage of this scheme. These Bills of Exchange for exports have just as much value in London as they have in New York, in Paris, or in Berlin. They are international gold, and that is the advantage of this arrangement. I want the Committee to clearly understand that. We have arranged for a payment which is equivalent to gold. First of all, material, that is gold; secondly, 25 per cent. of the proceeds of the German exports, which are gold in any exchange in the world. These are to be hypothecated for the service on these Bonds.
What about goods for Germany?
I do not think that this is an unfair demand to make upon Germany. Germany has one advantage in the depreciation of her mark. Even in that depreciation she has reduced her internal debt. The capital and interest of Germany's national debt is between one-fifth and one-sixth of its nominal value. She has, therefore, a lighter national debt than ours, with a population of 60,000,000. It is certainly not unfair to put this burden upon her. The difficulty, as I have repeatedly pointed out, is not one of means on the part of the German people, but means of payment in currency or in exchange. That is dealt with by our proposal.
This morning, at the request of the Supreme Council, I handed to the German Ambassador the demands made on behalf of the Allied Powers. We had considered three questions—first of all, the amount which it was fair to exact from Germany—the capital amount and the annual payment. We considered that carefully and conscientiously, and with a sincere desire not to impose anything which was harsh, brutal or unfair even upon an enemy. I believe we have been fair. I believe we have been just. I believe, on the whole, taking all conditions into account, we have been considerate, because the burden is still a burden for France; it is still a burden for us. The wounds of France are still bleeding, the devastated regions are still there, they have still to be rebuilt. The burden of pensions is one which is bearing heavily year by year on us. Therefore, it is not unfair to ask Germany to pay. We are not asking her to pay past debts, we are asking her to pay debts which we have to face year by year in each country. The first question was the capital amount. The second was the method of payment. The third was the guarantee for payment, and the last was the acceptance by Germany of these terms.
5.0 P.M.
I am very anxious to deal fairly with Germany and with her leaders. Their task is not an easy one. We have all our difficulties with public opinion, which naturally is not so cognisant, so intimately acquainted with the practical difficulties as those who devote the whole of their time to their consideration. There is public opinion in France, which feels that it is being taxed heavily in order to repair the damage done by German armies wantonly. There is public opinion in Belgium in the same circumstance, and there is our public opinion. Then you have the public opinion in Germany. When German statesmen have to go back to their country and say, "We have incurred obligations which will impose upon you gigantic burdens," it is a difficult thing for any statesman to tell his constituents what he has done, especially when the payment has to be made to a foreign country. I noticed that when Dr. Simons went back, having refused our terms, he was cheered in. the streets. Had he gone back having accepted them, he would have been promptly hounded out of office by German public opinion. Therefore, when we talk about "compelling Germany to pay," and about using coercive measures, it is really compelling the German people to face disagreeable facts, and they will not do that unless the alternative is more disagreeable. You cannot expect them to do it. There are newspapers in Germany. There are newspapers even in Germany which only give one side of the facts. Therefore, you have to bring them face to face with a more disagreeable alternative, and that is why we discussed that question. We realised the difficulties of German statesmen, anxious to deal with these questions, anxious to make proposals. I have no right to say that they were convinced that those proposals ought to be made. I do not think I am far wrong in saying so; but, knowing their position, they could not do so until the Allies said to them, "Unless you do it, this is what will happen." It is a good thing for the German people themselves to be brought up sharp, and to be told firmly and distinctly that unless they accept this, the Allies must and will take action. I am not talking the language of menace, but only of practical common sense, which is not always the same thing. This is the document—and I think I may read it to the Committee—which I handed this morning, on behalf of the Supreme Council, to Mr. Sthamer:
"The Allied Powers, taking note of the fact that, in spite of the successive concessions made by the Allies since the signature of the Treaty of Versailles, and in spite of the warnings and sane- tions agreed upon at Spa and at Paris, as well as of the sanctions announced in London and since applied, the German Government is still in default in the fulfilment of the obligations incumbent upon it under the terms of the Treaty of Versailles as regards (1) disarmament; (2) the payment due on 1st May, 1921, under Article 235 of the Treaty which the Reparation Commission has already called upon it to make at this date; (3) the trial of the War criminals as further provided for by the Allied Notes of 13th February and 7th May, 1920; and (4) certain other important respects, notably those which arise under Articles 264 to 267, 269, 273, 321, 322 and 327 of the Treaty, decide:
"( c ) To call upon the German Government categorically to declare within a period of six days from the receipt of the above decision its resolve (1) to carry out, without reserve or condition, their obligations as defined by the Reparation Commission;"—
they must notify their acceptance of that document—
"(2) to accept without reserve or condition the guarantees in respect of those obligations prescribed by the Reparation Commission;"—
those are the guarantees as to 25 per cent. on exports, acceptance of the control of the Commission, the undertaking to supply material, and other guarantees of payment—
"(3) to carry out without reserve or delay the measures of military, naval, and aerial disarmament notified to the German Government by the Allied Powers in their Note of 29th January, 1921, those overdue being completed at once, and the remainder by the prescribed dates; (4) to carry out without reserve or delay the trial of the War criminals and the other unfulfilled portions of the Treaty referred to in the first paragraph of this Note."
Does that include the Kaiser?
The Committee will allow me to point out exactly what the occupation of the Ruhr means. Before the War, the output of coal in the Ruhr Valley was the largest production obtained in any single coalfield in the world. It was considerably over 100,000,000 tons. It contains every quality of coal for every conceivable purpose for which coal can be used. Two-thirds of the whole of the German iron and steel production is in the Ruhr Valley. The importance of the region may be gauged by the fact that, even last year, 25,000 railway trucks, each of 15 tons, loaded every day in the Ruhr—double the number of goods trucks handled daily by the whole of the Nord Railway in the great industrial area of France. During the War, the Ruhr Valley was Germany's greatest arsenal for guns, for shells, for gas, and the industrial development of South Germany depends almost entirely upon the coal of the Ruhr. With the Ruhr gone, industrial Germany withers; it cannot exist. The Committee, therefore, will realise the alternative which is presented to Germany.
Another Austria.
The acceptance must come by 12th May. France was prepared to march on 1st May. We were anxious, however, that Germany should have a full opportunity to consider not merely her defaults up to 1st May, but the actual figures of the findings of the Reparation Commission. There is nothing that she cannot decide in this time. For ten months we have been discussing this problem unceasingly with German experts and German statesmen. She must make up her mind at last. She cannot keep the world in the state of uncertainty which must exist so long as this problem is unsettled. Her last proposal was returned by America, and there was no mistaking the American attitude towards it. It must be clear to her that there is no alternative but to accept. Although France was ready and anxious to march on 1st May, she realised the force of the appeal which was made to her to give Germany this further opportunity of consideration, and she postponed action.
There are some people who will say we have gone too far, and there are people who are inclined to say that we have not gone far enough. I see that we have already been attacked on the ground that we have been "inspired by Jewish financiers." There are some people who have always got this on the brain. They sing Jewish psalms on Sunday, and for the rest of the week they are pronouncing Jewish pogroms. I see they have suggested that some note that we received from the bankers came from Jewish financiers. As a matter of fact, two of those distinguished bankers were Englishmen, one of them was an Irishman, and I need hardly say that there was a Scotchman among them. Then there is my right hon. Friend the Minister of Health (Sir Alfred Mond), who is also criticised because he assisted. An attack is made upon him for being one of this unfortunate race. But those who attack him will be surprised to hear that he was the strongest advocate of making Germany pay. Not only that, he is one of those who are convinced that Germany can pay. [An HON. MEMBER: "He has relations there."] He knows a great deal more about business than some of those who criticise him, or those who give themselves such superior airs, and think they really understand problems to which they have not given a fifth of the time and study that my right hon. Friend has devoted to them. There are those, on the other hand, who think that we may have gone too far. I do not think so. We have taken into account all the difficulties; we have taken into account the capacity of Germany to pay.
It is no use being impatient with the French attitude towards this problem. Their position is not ours. We have a tempestuous sea between us and Germany, with the best of the German fleet at the bottom of it. The French position is not that of Italy. Italy has the Alps between herself and Germany, and her capital is hundreds of miles away from any part of it. But France has the memory, the living memory, of two invasions, with her Capital occupied in one of them, and very nearly in the other. The other day I was looking at the map of the German advance, and I should like anybody who criticises France to have a copy of that map, with the numbers of the German divisions—all with their point towards Paris. Not merely could you hear the sound of the guns, but the shells of the German guns reached Paris. That is only two years ago. And there is her fairest province devastated, and devastated now; and it will take 10 years to repair. We must not forget that. One must not forget that when one reads Debates in the French Parliament, and when one sees impatient criticism, even of British statesmen who preach a little more consideration and a little more delay. It is much easier for us to do than for them. One must bear those things in mind. But the concern of France is the concern of Britain. We want to see fair play for France. She did not provoke the War—she was never less inclined to go to war—and she is the victim to-day of that War. We are entitled to demand that the nation which wrought all that devastation should do her utmost, should do her last, to repair it. But having done so, I still say there is an interest for France which is an interest not merely for Britain, but an interest for the world, and that is to get peace, and a settled peace.
Very early in the War I pressed that whatever happened we must must take care that those Germans who had been guilty of criminal outrage to our prisoners should be punished. I understand that the Germans that we are pressing for the punishment of are those who are guilty of cruelty to our prisoners abroad. I most fully agree with what the Prime Minister said, that the German attitude in regard to that matter has been deplorable. They ought to have shown themselves ready to punish those criminals and to bring to justice the men who have done more than any other single thing to bring discredit and ignominy on the German reputation. I also entirely agree with what the Prime Minister said about disarmament. German disarmament is the key for world disarmament. It is so defined in the Treaty, and it is a part of the Treaty with which I am in entire agreement. There can be no advantage to the Germans in maintaining excessive armaments from any point of view. From the financial point of view it is a disadvantage, and from the world point of view it is a still greater disadvantage. I certainly hope and trust the Government will not in any way relax their efforts to induce the Germans to comply to the full with the requirements of the Treaty as to disarmament. Once that is done, and only when that is done, we can proceed with the plans for general disarmament. Therefore, as far as that part of what my right hon. Friend said, I have no criticism whatever to make nor any question to ask.
When we come to reparations, I believe everyone in this country is fully convinced that the German attitude on the subject has been much more than unwise. It has been incredibly stupid. I can understand their great reluctance to sign the Treaty of Versailles, but, having signed it, to intimate by public speeches that they still repudiate the guilt of the War, and that they are by no means convinced that they were bound to make reparation for it was folly for which I can find no excuse whatever. As to the actual figures which are proposed, I think the Committee will feel—I feel it very strongly—that it is very difficult indeed to apprehend the full details of this scheme, and it would be very rash indeed for me to say anything about it which would afterwards turn out to be inaccurate. I should like to present, merely on the figures, this consideration, and see whether I rightly apprehend what is proposed. To my mind, the most essen- tial thing is to get the German debt for reparation out of the hands of the Entente Powers, and generally distributed among the world, so that the Germans will be paying in the long series of years that we are looking forward to, not to the British, the French, and the Italian Governments, but to ordinary investors all over the world. That seems to me to be the great object, and I am very glad to hear my right hon. Friends on the Treasury Bench assent to that view. I should be very glad if later in the Debate it is possible for someone to explain exactly how that process is contemplated under this arrangement, because at present I do not quite follow how it is proposed that the German bonds which are to be given will become marketable securities in the money markets of the world. They are, as I understand it, to bear interest at 5 per cent. They are to be taken, so I understand the Prime Minister, at their face value as payment of the German indemnity. A German bond at 5 per cent., I imagine, would certainly not be saleable in the markets of the world at anything like face value. I dare say there is a complete answer to it, but I see difficulty in getting those bonds on to the markets of the world unless the Entente Powers are going to accept in actual cash a great deal less than the face value of the bonds.
There is one other question I should like to ask merely on finance. I under stand there are to be three series of bonds, the first to be issued immediately and the second in November, and together their face value
Delivered to the Commission.
They are to be issued but delivered to the Commission. That is what I understood. But they are not to be delivered to the Commission until the 25 per cent. export duty and the other revenues assigned—
Delivered, not issued, to the Commission.
I think it is a question of wording—we mean the same. They are not to be issued until those contributions exceed the interest that is payable on the first two series of bonds, and then only in accordance with the amount that is available for that purpose. Is it left to the Reparations Commission to say when that time has arrived, and will the decision of the Reparations Commission be a majority decision or a unanimous decision? These are details, but experience of the working of the reparation system has shown that they are very important details. Very likely the papers which will be presented will show all these things quite clearly. It is quite plain that when the whole of the bonds are issued for the £6,600,000,000 Germany will become liable to a payment of several hundred millions.
Just under £400,000,000.
That is, of course a very serious sum, and that will be, as I understand it, permanent unless she redeems the bonds.
indicated assent.
There is a 1 per cent. sinking fund.
That is in addition to the £400,000,000?
No, no!
That is included in the £400,000,000, and that 1 per cent. sinking fund would extinguish the bonds in 37 years?
indicated assent.
There is one other question I want to ask. The occupation of the Ruhr Valley and the other territory is, as I understand it, to last until the Germans have paid the first £50,000,000 and have agreed to all the other terms of the Ultimatum. I do not understand that the occupation is to last until the Germans have paid everything that they are liable to pay under these conditions.
Oh, no!
I am not quite sure that I understand exactly what was meant by the delivery of materials, when that was to take place, on whose demand it was to take place, or what were the arrangements. But perhaps those are details which are not of the first importance. In principle I am most heartily in agreement with that method of payment. The more it can be paid by labour and material the more satisfactory, it seems to me, will be the arrangement arrived at. Any payment in cash or in the equivalent of cash has grave economic difficulties, as the Government are perfectly well aware, and however it may be arranged is likely to conduce to very considerable disturbance in the economic situation in this country.
I suppose anyone who speaks on this subject at this time must be conscious of the great delicacy of discussion, and if I make a few more observations I do so because I am profoundly anxious that this question shall be approached, not so much as a question of abstract justice, for I am not sure that abstract justice enters into it at all, or very little. Nothing we can exact from Germany would be in any way a compensation for the crimes she has committed. Indeed, it would be so far removed from compensation that it is almost an insult to talk of the issue in any such language as that. Nor do I think that anything like the question of the punishment of Germany is really the vital matter at this moment. The vital matter really is, what is the course of policy which is most desirable, not only for this country, but for the world at large? We have to consider not the satisfaction of our own more than natural feelings of indignation with Germany, but what ought we to do to try to get the world on its feet again after the terrible experiences through which it has gone. The conditions of the world are exceedingly menacing even at the present time. Wherever you turn your eyes, the situation is profoundly disquieting. Asia, China in revolution. Asia Minor in absolute chaos. Persia in a condition on which I am very imperfectly informed, but it is certainly not quiet.
Ireland.
I will say nothing of India, because I know very little, but I am not sure that even in that part of the world the conditions are altogether satisfactory. As to Europe, the situation is still more disquieting. Russia in absolute chaos, Austria bankrupt, Hungary in a very unpleasant position, and on very precarious relations with all her neighbours. I do not want to say any word that could possibly be offensive to our Allies in Italy, but there are certain features of the Italian situation which are not very agreeable to read about. I am not sure about France, but I learn from the public utterances of French statesmen and French publicists that they are by no means satisfied with the economic position of their country. That is the background on which I suggest to the Committee any question of reparation or any international question has to be considered. We must look at it not only as a question between the Allies and Germany, not merely as a clearing up of the debts of the War, but we have to look at it also with reference to its effect on the whole world situation. The world is in a condition of convalescence, but it is still precarious, and the patient needs rest above all. So far as I can judge the sentiments and opinions of the people of this country, there is nothing they so passionately desire as the restoration of real peace throughout the world. I see symptoms in several parts of the world, beyond those that I have already mentioned, which do not look like a very rapid restoration of the peace state of mind. We are told that there are difficulties between Serbia and Bulgaria, that Serbia is anxious to march into Bulgaria in order to enforce what she thinks to be her just rights with regard to the Treaty between those two countries. There seems to be very serious disturbance going on in Silesia, where, according to the newspapers, the Polish population are apparently trying to face Europe with a fait accompli as to the appropriate division of Silesia between Poland and Germany. Without venturing to criticise our French allies in any way, I believe it has produced a certain fear when we read of the mobilisation of considerable forces hi France. That is the broad general situation as I see it.
I want to say this as strongly as I can that I believe, and have often told the House, and I believe the House in general believes, that the only real final solution of the unquiet state of the world is the establishment in full of the prestige and authority of the League of Nations. That has always been my belief, and I hold it as strongly as I ever did. Until that happens—I am not to-night going to discuss who is responsible for the slow advance of the League, if it is a slow advance—it seems to me immensely necessary that the Entente between ourselves and France should be preserved absolutely unscathed. The whole European system, as it exists at the moment, and until the League is able to take over, as I hope it shortly will, a larger share of responsibility, is built around the understanding between this country and France, and anything which shook that understanding, anything which impaired it, would, in my opinion, be of the most serious import for the peace of the world. My right hon. Friend the Prime Minister implored those who are trying to criticise these terms as being too severe, to remember the position of France with regard to Germany, and to compare it with our own. I do not suppose that any serious person ever forgets that for a moment. In a sense it is just that very circumstance which makes some of us sometimes uneasy. I must say what I am about to say, because I feel very strongly the importance of the maintenance of the understanding between France and ourselves, and I do not think I should be doing my duty, holding the views I do, if I did not say that there is observable, in my judgment, I will not say a movement of opinion, but a certain shaping of opinion on this subject, and it is for the reason that the Prime Minister has given.
There is a nervousness and a fear in this country lest the very natural anxieties of France may drive her into steps which we in this country could not approve. I cannot tell the Committee how vital I think it is that that feeling should be allayed by every possible means. I do not suppose that my words will reach French ears, but if by chance they do, I appeal to my friends in France, and I have many friends among the French, to consider very carefully whether they cannot so frame their policy, and particularly so model their language, as to avoid any cooling of the feeling between ourselves and France. I do not think that those friends of France here really do any service to France or do the Entente any service by ignoring this aspect of the case. It is far better, in my judgment, that those who are not trammelled by official responsibility should say, definitely and clearly, what they believe to be the truth about the relations between the two countries before any step has been taken which may injure them. It is not that I do not recognise the strength of the French case in regard to this matter. I think they have an immensely strong case in the controversy that rages between the Allies and Germany. The Reparation Clauses of the Treaty of Versailles were not what the French suggested; they were suggested by others. Having signed them, they have every right to say that they should be enforced in the letter and in the spirit. They have every right to complain that there has been very long delay in the matter. It must be exceedingly galling and harrassing to French public opinion that the delay should go on. They have every right to complain, and we all have every right to complain, of the extreme folly and perversity of the German attitude in the matter. It is worse than perversity. Everyone, I think, recognises that France is entitled to some immediate satisfaction of her claim, as, of course, all the Allies are of theirs; but her's are more urgent, perhaps, than any others.
I do most profoundly agree, and I am sure there is a very large body of opinion in the country that most profoundly agrees, with the observation that fell from the Prime Minister in one of our previous Debates when he urged the importance of a settlement by agreement. He said, with absolute truth, words to the effect that unless you could get a settlement by agreement with Germany you would have no settlement. That is perfectly true. You may have a postponement of the present difficulty, you may have a momentary alleviation of the present tension, but unless you can get an agreement, a real agreement, depend upon it you are not making any real settlement, you are only postponing your difficulty to another time, which, it may be, would be even less favourable to a settlement than the present. I do not want to say one word that would possibly add to the difficulties. I only urge upon the Government that they should never lose any opportunity of settlement by agreement, if they can see any chance of an agreement being possible. I do not see any reason why such an agreement should not be possible. As I understand it, there is no difference of opinion on the main fact that Germany is bound to pay every penny that she can pay. Even the Germans themselves admit that. The only question is what can she pay and how can she pay. I cannot help feeling that it ought not to be beyond the bounds of reasonable diplomacy, standing quite outside the passions of war, to arrive at a settlement of a problem of that kind. I earnestly hope that the German Government will see their way to accept the proposals that have been made, and I will not, as I had thought at one time of doing, make any suggestions for alternative proposals because I am anxious not to do anything which could possibly interfere with the acceptance of these. But I do hope that by some means or another we shall avoid any further utilisation of force.
It may become necessary—no one can say that in no conceivable circumstances would it be right—to use force, but I entirely misread the feelings of my fellow countrymen and the general situation of the world if I am mistaken in thinking that the prolonging of the late War, the revival of the late War, the utilisation of force, even if it was recognised to be necessary, would be profoundly and bitterly regretted by numberless people in this country. I earnestly hope that we shall remember all that is in the Treaty of Versailles, not only the Reparation Clauses, but those Clauses which come at the very forefront. Even if the Government feel that the actual machinery of the League cannot be put into force—and I quite understand that—I hope, at any rate, that they will not forget the fundamental principles upon which that document is based, namely, that in every international dispute it is the duty of the parties to it to try everything, to explore, in the current phrase, every avenue, before they come to the utilisation of force. I am delighted that my right hon. Friend agrees with that sentiment. If it is found necessary to use force, I myself earnestly hope that even at the last moment some way of escape from that resource can be found, that the Government will never close the door but will keep their minds open and be ready to adopt any course which will avoid that supreme necessity.
I do not remember any occasion, even in these troubled years through which we have been passing, on which it was more incumbent upon any Member of this House who felt it his duty to address it to speak with the heaviest possible sense of responsibility, and to use no words which by any conceivable misinterpretation should block the avenue to settlement and peace. When this Debate was promised, I think about a week ago, there seemed to be a serious danger that we should find ourselves face to face with the situation in which the Allies had come to the conclusion that they must resort to coercive measures. I am glad to think that, as a result of the deliberations of the Supreme Council during the last few days, we are no longer at the moment confronted with any such situation. I re-echo heartily every word that has been said by my Noble Friend, and I am sure that it will find an echo in the intelligence and sympathy of all Members, and that we may be able to look forward with something like confidence, if reasonable counsels prevail where they ought to prevail, to the avoidance of that most unwelcome and, as I think, in many ways most disastrous necessity.
It is not for me or for anyone here to make an appeal to Germany, but one can make an appeal to the general sense of what may still be called the civilised world to realise, so far as it can, the situation and by influence, direct or indirect, to induce Germany to accept what I confess I think—without, of course, having an opportunity of examining the details of the proposals which the Prime Minister has made—to be the best and most reasonable and most practicable way of escape which has yet been suggested from the difficulties in which she finds herself. I am not going into criticism of detail because I want to keep my few remarks of a more general character as I think that in that way they may be more fruitful. A great deal may be said—and I have said something myself on occasions—by way of criticism of the provisions of the Treaty of Versailles, but do not let us forget that Germany is a party to that Treaty. The great merit, if I may say so, of the proposals which have now been made, which contra-distinguish them from other proposals which have been made, is that they go strictly on the lines, and are regulated by the machinery prescribed by the Treaty itself.
There is a great deal of danger, as the experience of the last three years has shown us, in making any predictions of a statistical kind. Take the provisions made in the Treaty, which I have no doubt were made on careful consideration and after consultation with experts. By the 1st of May of the present year Germany was to pay in pounds sterling, as the Prime Minister has said, £1,000,000,000. The Reparations Commission estimate that the total amount, either in meal or in malt in one form or another, which Germany has paid is £400,000,000. Of that £400,000,000, as far as I understand, something like three-fourths is absorbed by the Army of Occupation, and the provision of raw materials and food. The net result is that we have got £100,000,000 for reparations. Technically the Reparations Commission is the authority under the Treaty to deal with these figures, and I do not believe that anybody could quarrel with their competence or their impartiality. They find that Germany is actually at this moment in default to the extent of £600,000,000.
The same Reparations Commission, I have reason to believe, has devoted a great deal of time to the consideration of this matter, and they find that the total capital amount of Germany's outstanding liabilities may be taken roughly as £6,600,000,000. Just consider what, according to the provisions of the Treaty, the situation of Germany is at this moment. She has been found, by the machinery which the Treaty has prescribed, to be in default to the extent of £600,000,000 on the £1,000,000,000 which were to be paid on the 1st of May, and her outstanding capital liabilities are estimated at a sum of £6,600,000,000, which, if you take interest at 5 per cent. and add, say, 1 per cent. for sinking fund, comes to something like £400,000,000 a year. That is the legal situation under the Treaty. The proposal put forward is not to exact the £600,000,000 which is the debt actually due at the moment. It is to substitute for an annual payment of £400,000,000, which is the interest with sinking fund on the total amount of the still outstanding capital liabilities, a sum which in the first year will amount to £100,000,000 plus 25 or 26 per cent. on the amount of exports.
The advantage of that scheme from the point of view of Germany, and I think also from the point of view of equity and reason, is that the growth in the annual liability of Germany will be dependent upon her economic restoration and the improvement of her trade. That seems to be a very substantial advance in the direction of reasonableness and business commonsense on any similar proposal that has been made in the past, or is likely to be made in the future. With the illustration which we have already had of the fallibility of statistical prediction, I am far from endeavouring to forecast—and I think the Allies would be wise in that respect—to predict what the export trade of Germany will amount to. Last year it was not more than £200,000,000. The Prime Minister has told us that before the War it was £500,000,000, which is equal to £1,000,000,000 now. If Germany is to pay the annuities of £100,000,000 and the 26 per cent. upon the total amount of her exports, it is quite plain that on the present figures of export and import there is a very small margin to go on.
Germany does not produce half the raw material which she requires, and she cannot produce that raw material on her own soil for a great deal of that which she makes up and subsequently exports. You must leave her a margin and a very substantial margin of import before you begin even to estimate or calculate the balance which is available for the payment of the annuity and the tax then upon her exports. I hope in the interests not of Germany, but in the interest of the whole economic world, that the German export trade will develop to something like what is estimated by the experts of the Allies, but I think we should be wise to be very cautious in our forecasts and estimates. I do not want to go into that. What I want to do at this moment is to say, and to say with all the emphasis I can command, and with whatever authority experience has given me, that to let this opportunity pass of accepting, so far as you can accept, a really reasonable method of discharging not only a legal but a moral obligation, the actual extent and scope of which no pecuniary compensation can ever measure—to let such an opportunity pass would be a criminal mistake which would never be forgiven in the history of the world. If circumstances had been different a great deal might have been said with regard to methods of coercion and so on, but I venture to appeal to the Committee tonight, when what is said here and what is done here may have a lasting influence on the whole future of Europe and of the world, to unite as far as they can, and to press upon those who are responsible in these few days for taking momentous decisions, that there is an opportunity, which may not recur, of discharging or attempting to discharge what is both a moral and a legal obligation, and, what is still more important, of re-starting on the lines of agreement in the direction of peace the whole economic future of Europe and the world.
6.0 P.M.
I am sure every Member of the House will be mindful of the gravity of the situation which has just been described by the right hon. Member for Paisley (Mr. Asquith). I find myself more in agreement with the speech of the Prime Minister this afternoon than on many of the occasions during the last 18 months on which he has addressed the House on this subject. The view I have formed from his announcement this afternoon is that the manner of payment and the terms of payment of such reparation as is required have been carefully considered, and that due regard is being paid to Germany's liability in relation to Germany's capacity. I agree that nothing whatever should be said which in any quarter of Europe could be construed into any kind of encouragement of non-acceptance of the terms now put before the German people. I cannot, however, refrain from saying that much of what the Prime Minister said went very far to make out the kind of case which formerly we have suggested from this side of the House in the hope of settling these questions of reparation by the process of arbitration or by conditions of agreement. There never has been doubt in any quarter of the House on the question of Germany's liability. The doubt has been as to the extent of her capacity to make good the damage which wrongly she inflicted. On questions of fact and of capacity our view was that a settlement might have been reached much more profitable to us and less costly to her had it been obtainable by some procedure of agreement or by some method of arbitration.
I think I am entitled to contrast the difference in the terms and tone of the speech of the Prime Minister this afternoon, and the difference in the manner in which the speech was followed by the House, compared with discussions in the House on this subject 18 months and two years ago. Indeed, we are coming to see that a procedure which might have been followed, immediately following the days of Armistice, to a very large extent must, owing to the unfortunate lapse of time, yet be followed if the world is to be at peace. Something has been said, at least in previous Debates, as to the position of labour, and of that body of opinion described as Socialist opinion in this country and in Germany, in relation to this subject of reparation. I would like, therefore, to read to the House a substantial part of a resolution passed recently at an International Conference held in Amsterdam, and attended by representatives from this country, from Belgium, from Germany, France, and Holland. Those representatives of the International Socialist and Labour Bureau met specially to formulate their opinion, and this is what the resolution says: economically be restored to a state of industrial peace so long as warlike preparations and the war spirit prevail as they do now in some countries. I therefore welcome especially the declaration of the Prime Minister this afternoon that disarmament is essential to settled conditions. Our own position here on questions of finance and on matters of taxation is an extremely embarrassing one, and yet a very large part of all that we can raise is still to be spent by ourselves upon armaments of one kind or another. All the parties acting for the people of this country, the leaders of opinion, the ministers of religion, should set themselves the task of establishing a condition of peace by taking away the instruments which have so often been a provocation to war.
The economic aspect of this question is of the very highest importance. With a state of trade which day by day was getting worse, before the stoppage in the coal industry, it was clear we could have no return to full employment until we got back our foreign markets. We can have no return of our foreign markets and no proper resumption of general trade relations until other relations among the different peoples and nations become better. You cannot have peace, and satisfactory trade conditions, and the substance of economic progress and welfare with these eternal preparations going on for quarrels between country and country. I am not pointing these observations to our own Government, but, perhaps, more could be done than the Goverment have yet accomplished, or even tried to accomplish, in the matter of reducing these armaments. It is certain that until countries like France and Germany come together in closer relationship, and until countries like Great Britain, acting with these other countries of Europe, reach a point of amity with countries like Russia, real peace cannot, and will not, be established. It is the duty, as it is the privilege, of these great and powerful nations to set an example, and I am certain the influence of their example would have a good and an immediate effect upon the smaller peoples, without whose trade relations and without whose business dealings we cannot possibly restore our own people to that condition of trade prosperity which I am sure the Committee is most anxious to hasten for the benefit of our country.
In the observations I propose to offer to the Committee I desire to have due regard to the wise words of the Noble Lord (Lord R. Cecil) in the first place, of the ex-Prime Minister in the second place, and of my right hon. Friend who has just sat down in the third place, as to no word being said here which might in any way lessen the chance of amicable agreement or add to the present troubles of the world. I do not know that I should have intervened at all but for an incidental observation made by the Prime Minister in the course of his long and luminous speech. He said there were some, both in this country and in France, who had spoken in such a way as might have led Germany to believe that the concessions made during the last year or two would be continued, and they would not be pressed to face their responsibilities. I do not suppose for a moment that the Prime Minister wanted to include me in that category, but some might be disposed to put me in it because of certain things I have said and of the attitude I adopted in regard to Germany joining the League of Nations. At Paris two years ago I pleaded for the Germans joining the labour organisation, and at Geneva, only four or five months ago, I pleaded for Germany coming into the League of Nations at the earliest possible moment. At the same time, however, I have always been careful to say that in my opinion Germany must face her responsibilities. It is because I desire to put myself right in that respect that I venture to offer these remarks.
The Noble Lord had a good deal to say about the background of trouble in the world, and he mentioned many countries who were disposed to war with one another. I venture to add there is another thing in the background, and that is the labour unrest throughout the world, and also the economic unsettlement throughout the world, which is perhaps as bad. I may be thought to be saying something which is provocative, but still I cannot but think the Germans because of that were presuming on the fact that some, including myself, have been disposed to be as lenient as possible to Germany and to help her over her difficulties all we can. I am inclined to think some people in Germany have been disposed to presume upon our desire for the world's resettlement. It is only right to say at this moment to the Germans that many of us, at all events, in taking up that attitude, are at the same time convinced that the best of all things that could happen to the world and to Germany would be, that she should now, at this psychological moment, face her responsibilities. What is that responsibility now? I am not disposed to, nor I cannot, criticise the figures which has been fixed. At one time I am free to confess I was very unhappy about the terms of the Peace Treaty, because they imposed upon Germany an unrevealed liability. We are no longer in that position. The Reparation Commission has gone into all the facts, has considered no less than 120 documents from the Germans themselves—I think that is what the Prime Minister said. The Commission has been aided by experts collected from France and from this country, and I think possibly from Germany as well, and it has come to the conclusion that it is within the limits of Germany's capacity to pay a sum of £6,600,000,000. I am not disposed to challenge that. I cannot challenge it because I have not the information and they have had the information, and after hearing everything that could be said on behalf of Germany in mitigation they have decided that Germany is able to pay this sum. Therefore I accept the figure. I want to say furthermore that if Germany had availed herself of the opportunity open to her under the terms of the Peace Treaty, to make an offer within four months, approximately—for I do not suppose the exact time would have been pressed by the Allied Powers—the chances of coming to an agreement before now would have been better. We are not to blame in that respect. The Allied Powers are not responsible for the fact of no agreement having been reached.
I am not going into the method by which this is going to be imposed upon Germany, but I sincerely and ardently hope, now that Germany is faced with the dread alternative of force being used, that she will face her responsibilities under the terms now open to her. Might I venture to back up the appeal which has been made from the other side of the House to our French comrades and Allies? I can quite understand the feelings of a Frenchman. I have been through the devastated areas and I have seen some sad sights there. I have seen a poor woman visiting the scene of what had been her home at one time, and turning over the débris in the hope of finding some of her household gods. Such things as that must have sunk deeply into the minds and consciences of the French. That has no doubt made them a good deal more disposed to be hard than we in this country are, but if my words can carry any weight I would ask the French people to have regard to the condition of the world to-day; to have regard to the fact that labour in all countries is taking more and more what might be called the international view. French people ought to have regard to that, in their own interests and the interests of the world generally. I should also like to back up what has been said in regard to disarmament, and, first of all, the disarmament of Germany, which is the key to disarmament throughout the world. It has been said by the right hon. Gentleman who spoke last that we cannot have peace and the assurance of peace while there is an excess of guns lying about all over the world and men being trained to use them. That is true. While there is an excess of guns there is always a chance that they will go off. I am heartily glad to hear from the Prime Minister that even since the Paris meeting of a few weeks ago some 5,500 guns have been delivered up by Germany and substantial progress has been made in the way of disarmament. I hope that will continue.
My last words are in regard to the trial of War criminals. I have been criticised a good deal for what I said during the election of two and a half years ago on this matter, but I shall repeat to-day what I said then. There used to be some regard at one time for the dictates of humanity, if not for international law, but when the War came there was no regard for either one or the other on the part of the Germans. Such deeds were done as shocked the moral conscience of mankind, and had the effect of putting some 15,000 to 16,000 of our merchant seamen into the sea. Many other things were done which should be brought home to those responsible for them. I remember during a meeting I was addressing on behalf of my right hon. Friend who is now the Minister of Agriculture someone asked a question about the trial of the Kaiser, and in an unguarded moment I ejaculated, "Hang the Kaiser!" What I meant at the time was that I was favourable to the trial of the Kaiser, and I was favourable to it, not because of any spiteful feeling so much as because I thought it would have the effect of bringing out the full facts in regard to who was responsible for the War. That was all I had in my mind. There are, however, these people who are not responsible for the War, but who are responsible for the manner in which the War was conducted, and I have always hoped that these people would be put upon their trial. I am sorry they have not been; I am sorry the Germans have allowed three out of the seven mentioned by the Prime Minister to escape, and I hope the other four will be speedily put on their trial. I have nothing to retract in regard to what I said during the General Election on that subject, but I got up to-day to put myself right in consequence of what the Prime Minister said in regard to the responsibility of some who had made speeches of such a character as might have led the Germans to believe that we were not going to press our claim. I want to put myself right in placing myself outside of that category, and with these few words to back up what has been presented now to the Germans, and to express the sincere and ardent hope that it will be accepted by the Germans.
For two and a half hours I have been listening to a series of speeches, one from the Prime Minister, one from the ex-Prime Minister, one from the Labour leader, one from another occupant of the Front Opposition Bench, and last from an ex-Minister of the Crown, and I have listened to them with an amazement which no words that I am capable of using can express, and which I think will have the most disastrous effect when they are read in Germany to-morrow. If we were dealing with honourable, high-minded folk, then the things that have been said might conceivably go home to them, but I will endeavour to satisfy the Committee that ever since the Armistice, the British Government and the British people have been fooled to the top of their bent by Germany, and that they are being fooled to-day, and I only regret the great expenditure of time and energy on the part of the Prime Minister at this last long series of conferences, which, I venture to predict, risky as it is to predict, will have no different effect from the other conferences, and that whilst the Allied Army, mainly the French Army, is now asked to stand at attention for a few more days, as sure as the sun will rise to-morrow, when those few days are up, the march of that army will commence. The Prime Minister has said more than once in this House that there is no real public opinion in Germany, and that Germany does not to-day understand her responsibility for this War; and such is the psychology of the Hun that until you give him some practical, ocular demonstration of the fact that he is a beaten and helpless foe, you are wasting all your time in these negotiations, these Notes, and these overtures.
There has been a general note running through all these speeches to which we have listened, a note of tearful solicitude for this depraved, barbarous, infamous nation, which every one of us was execrating two years ago, and yet the Labour Leader to-day asks us to set an example to the small nations of the world. Those who made that appeal, perhaps a little less accustomed than I am to listen carefully to the words of the Prime Minister, failed to grasp the fact that at this eleventh hour he has become a convert to the doctrine of retribution and reality. His speech, with all its heroics, led up to the declaration that the time has come when Germany must understand that she has either got to pay or do something which will be worse for her. That, if I may say so, was a touch of the old Lloyd George; it was a touch of the old Minister of Munitions, who once took me down a basement in the Metropôle Hotel and, with eyes fired with Celtic, martial spirit, with nostrils dilated like a war horse, with hair full of electricity, pointed to those shells, bullets, and other weapons of destruction, and said, "That is the sort of stuff we are getting ready for Germany.' One may laugh, one may weep at it, but that was the spirit which won for the right hon. Gentleman the confidence of the British public in the time of war, which put him on his pinnacle. He will very soon come off it if he continues to preach to us about loving our neighbour, as he did the other day, all unmindful of the fact that our nearest neighbour to-day is Ireland. That, however, was the peroration, the end of the speech of the right hon. Gentleman. It comes to this, that under the influence of Monsieur Briand, whose words were heavily imported into the speech of the Prime Minister—I have heard them in France, and I have read them in French papers—he has said, "We must not be fooled any longer." May I point out to the Committee how futile it is to go on with these negotiations? Take one respect in which Germany is in default, namely, the punishment of the criminals. I do not want to weary the Committee, but I have extracts here, and I could show them how the Prime Minister on several occasions came to this House and said that we must insist at least on the punishment of the Kaiser, how he came down one day and kept it to the last moment in his speech, when there had been something of a mutiny amongst his supporters over there, under the leadership of the hon. Member for Hornsey (Mr. Kennedy Jones), and said, "We have arranged to try the Kaiser in London." When asked a week afterwards if any negotiations with the Netherlands Government had taken place, the Leader of the House said, "No serious negotiations, but the matter is well in hand." Again and again the Attorney-General told us that the plans were complete, that the gallows had been prepared, that the hangman had been engaged; the only thing was that there was no Kaiser.
As regards the other criminals, I have ventured to suggest in this House more than once what will happen whenever the time comes for them to be tried in Leipzic. To-day we have the ominous admission that three out of the seven, and the worst three, have already been allowed to escape. Is the Government aware that during the last year there have been trials of alleged War criminals in Germany? I will give an illustration, and I want to ask a serious question about it. Last year there was a man called Patrick Moran, a British prisoner of war in Germany. He was a man who had declined to join Roger Casement's Irish Legion. He was a marked man. He was in a prison camp with many other British prisoners. One night he seat for the sentry and asked to be allowed to go to the latrine. The sentry said, "It is too late now, and it would be against the regulations." The man became wild and furious, and kicked a hole in the door of the camp. In came the sentry, who, in his evidence before the Court, admitted that he pulled out his revolver and shot the man dead through the stomach. What happened? The highest Court in Germany held a trial—and this is the sort of thing that is going to happen under your Treaty now—and the only witness called was the sentry. Not one British prisoner was allowed to give evidence, but only the sentry, and he was acquitted, on the ground that he fired and killed the man in self-defence—the unarmed British prisoner. That is not the whole thing—I could give fifty such cases—but the British Military Mission was represented at that trial by an officer and an interpreter, and the French Military Mission was represented by two officers and an interpreter. What report has the Government received about that trial? Any? We have never heard of any. Why did not the British representatives insist on other prisoners of war being called to give evidence? That is the kind of trial that has been going on again and again in Germany, the sort of thing that is going to happen here if ever you get the other four men into the dock.
I will go to another aspect of the subject. Are we once more going to call in America as our "guide, philosopher, and friend" in this matter? I want to say this with every respect, and fully conscious of the moderation with which I ought to speak of a great friendly Power, but the whole of our trouble since the Armistice dates back to the time when we allowed the ex-President of the United States to dominate the situation. Throughout the whole Peace Treaty the first name mentioned was that of the late President of the United States; in every Clause where the high contracting parties are mentioned it is always the late President of the United States first. I wish the Prime Minister were here now, but I wonder if he remembers this, that when Mr. Wilson formulated his Fourteen Points, on which he said he was prepared to recommend the great world peace, the Prime Minister made a speech—I think at a luncheon at the American Club—in which he said: "Let Germany understand she can have peace to-morrow on the terms of President Wilson's Fourteen Points." Those Fourteen Points do not say one word about reparations; they do not say one word about indemnities; they do not say one word about the punishment of the war criminals. So eagerly did we swallow everything which the retired professor from the other side of the Atlantic prescribed for us, that even the Prime Minister took holus bolus the Fourteen Points, and said: "These are the terms on which we are prepared to sign peace." Do you blame Germany if she thinks she can still go on fooling us, as, of course, she will? Is it worth while going on with these sanctions? There is the Kaiser in Holland. I have in my hand the Note which the Allied Powers addressed in January, 1920, to Holland, in which the Government said: "We hold the ex-Kaiser responsible for the loss of 10,000,000 human lives and the maiming of three times as many," and they ended up the Note by as clear an indication as any diplomatic Note ever contained that it would be regarded as an unfriendly act on the part of Holland if she did not surrender this man to take his trial before the tribunal of international justice. I am not in the secrets of Anglo-Dutch diplomacy, but I know that Holland did not even trouble to acknowledge that Note. The same with the punishment of the other war criminals. When Germany made the excuse that she could not get them to send them over here, a Note was sent, in January, 1920, in which it was said, "Provided it is understood you immediately institute these proceedings, we will consent to their being tried in Germany." As I said a minute ago, if one were dealing with an ordinary honourable foe it would be different.
All these elaborate calculations we have heard to-day, I undertake to say, no Member of the House yet understands. Everybody who has spoken has said candidly he does not. I am certain Germany will say she cannot understand them, and that will be one excuse for delay, to get some mathematical professor to explain them to her. It is all waste of time. A month or two ago the Prime Minister ridiculed the idea of levying a tax upon German customs or exports. He ridiculed the idea of getting anything out of Germany except shiploads of marks, which, he said, would not be enough to pay my passage back if I went there, forgetting, of course, that anyone who goes abroad on a special mission has a special boat. All these things were ridiculed. Now they are being dished up. We have not seen the German soldier on our shores, just as Germany has not seen the Allied soldier on her shores. Germany does not understand anything about the present position. We have got to teach her. We shall have to advance to the Ruhr. We were told the other day by the Prime Minister that any advance would be impossible, because of the difficulty of protecting the lines of communication. But that will not be enough. You will have to do this. We all loathe it, but it will be the quickest thing in the end. You will have to give a demonstration of the combined power of the Allies, go to Germany and say to her, not "Can you pay?", and "When would you like to pay?", but in her Treaty she acknowledges her liability for the total cost and damage of the War, and it is our duty to say to her, "That is what you owe us"—not "How can you pay?", and "When can you pay it?" In 1870, I do not remember that Germany said to France, "How much can you afford to pay?" I do not remember a single discussion in the German Parliament as to what time, what concessions, should be given to France. The emissaries of Germany went to Versailles, met the French representatives, presented a bill, and said, "That is what you have to pay. If you do not say 'yes,' we will talk German to you."
That is the spirit in which we have got to deal with these people. It is no good talking in any other way. All these heroics, all these appeals to international sentiment, are no good. I go to France a great deal, and I realise, as no Member can realise who does not go there, the different point of view, and let us be plain—not, I hope, undiplomatic—in saying that there is a line of demarcation, clearly marked and definite, between the view of France and the view of Britain in this matter. Do not let us shut it out. It is no good coming here and in eloquent phrases sympathising with France, and saying we realise their point of view, and then putting some "but" at the end of it. You cannot go over France without realising the depths of her sufferings at the hands of Germany, and, so long as you have an ally like that, with a border almost indistinguishable, but which ought to have been the left bank of the Rhine under a proper Armistice, you have to do one of two things. You have to say, "Our position is different, and we cannot go all the way with you," or—and I appeal to this Committee in words as earnest as any I have uttered in my life—it is the bounden, the solemn, the sacred duty of this country to back up France through thick and thin in their policy on this occasion. It is the only way you are going to get peace. Heaven knows France has suffered! She does not want more war; she does not want more trouble. But she looks by in amazement. She looks wistfully across the waters, and cannot understand what we are doing. Consider how the speeches we have heard to-day will be read in France to-morrow. There will not be a French paper to-morrow that will not express dismay that, with my insignificant exception, no word has been spoken in this House to-day in support of her righteous attitude. I put it to this Committee, that we are dealing with an enemy cunning, sinister, subtle. All these high ideals will fall on absolutely deaf ears. May I, before sitting down, venture to say these words, which come from my heart and my soul, having heard these speeches to-day, and looking at the shields, on both sides of the clock, of gallant gentlemen who once sat here, who have given their lives for their country, I pray it may never be said that they look down on the House of Commons of a nation, which, valiant and glorious in time of war, is craven and timid in the hour of peace.
The hon. Member for South Hackney (Mr. Bottomley) has, with his usual eloquence, stated a point of view which will always be associated with his name, and, after the reference of the Prime Minister to the Minister of Health, and his attitude towards the question of reparations, I am inclined to think that the best thing the Government could do would be to appoint a commission of two persons, the hon. Member for Hackney and the Minister for Health, to act as receivers for the Allies. Be that as it may, I hope that the Secretary of State for War, who is representing the Government upon the Front Bench, will convey to the Prime Minister the fact that, up to the present, there is solid support of the Government in their demand that Germany shall foot the reparation bill. Speeches have been made by right hon. Gentlemen on both sides of the House. There has been no wavering, so far as I noticed, in the attitude at all. That is a very significant fact, and it is a fact that ought to be brought as forcibly as possible to the attention of Germany. It seems to me that, since the Armistice, and particularly during the course of the last Allied Conference, three very different facts have emerged. In the first place, the German default; secondly, the overmastering need for Continental peace; and, thirdly, the very grave anxiety of France with reference to the possible renewal of the acts of 1870 and 1914. Let me say a word or two upon each of those three facts. First of all, the fact of the German default. After the speeches which have been made to-day, there is no need to argue that very obvious fact. The hon. Member for Hackney has just stated it with great force and eloquence—the failure of Germany to carry out the reparation clauses, the failure of Germany to carry out the disarmament clauses, and the failure of Germany to make any serious attempt to secure the trial of war criminals. In view of that, it is quite unnecessary for me to argue the point further. Indeed, the case against the German Government has been recently stated by a former Chancellor of the German Empire, Erzberger, far more forcibly than by any hon. Member of this House. The fact is indisputable.
7.0 P.M.
What I venture to think is the second fact is the overmastering need for European peace. The Noble Lord the Member for Hitchin (Lord R. Cecil) emphassied with great eloquence this overmastering need. He has pointed to the state of Europe—Russia in chaos in the east, Central Europe still in the atmosphere of martial law, Germany drifting aimlessly, without any apparent policy, into what looks like an aggressive Russo-German alliance, and so on. It is obvious to every hon. Member, to whatever party in the House he belongs. I agree to some extent with certain comments that the Noble Lord made in this connection. I cannot help thinking, as a private and irresponsible Member, who has none of the Ministerial responsibilities, that France does not always realise quite as clearly as we do this overmastering need for peace. France in a military nation; we are not a military nation. France is mainly an agricultural country; we are an industrial nation. France, self-supporting in the greater part of its food, does not perhaps fully realise the strain to which we are put by the closing of our overseas markets.
Nor the Prime Minister, either.
In the interests of our own trade, just as much as in the interests of Continental civilisation, we must have peace in Europe. Without peace the commercial and financial prosperity of this country will come to ruin. I think, in view of that very obvious fact, that the Prime Minister has been right in urging, as fully as he could, caution upon our Allies before any irreparable step is taken. I come to the third fact to which I drew attention at the beginning of my remarks—the very real fact of the nervousness of France of a renewal of German aggression. Already in the Debate a great deal that is very true has been said about the French position. Very rightly, emphasis has been laid on the very different position in which, after the War, we and the French find ourselves. We, an island, are left in a very secure position with the German Navy destroyed and the chief threat to our security removed. France, on the other hand, has lost in killed no less than 1,500,000 of her sons, and the greater part of the industries upon which her munitions of war depend have been destroyed. Germany is, in man power, relatively stronger in relation to France to-day than she was in 1914, while her industry has been left practically scatheless at the end of the War. As the Prime Minister said in his speech, the German debt, owing to the depreciation of the mark, rests lightly upon the shoulders of the Germans, whilst the debt of France is almost destroying her economic life.
There, again, I think hon. Members will agree that one of the definite factors in the problem is this very justifiable French anxiety. How have the Allies at the recent Conference dealt with these three facts? They have found Germany in default in the matter of disarmament, in the matter of war prisoners, and in the matter of reparations. I hold very strongly that in view of that default they could not have rested inactive and have allowed the Treaty to fall into ruins. Unfortunately the events of the last two years have shown that Germany having lived for a century and a half by force, is still only inclined to recognise force as an argument. I wish that that were not so, but it is no good disguising the fact that during the last two years, upon almost every occasion when the Germans have had to give way in the matter of the Treaty, they have only given way as the result of a direct threat upon the Allied part. In view of that I feel, much as one regrets the reopening of any military operations, that the Allies are perfectly right in sending the ultimatum to Germany with reference to the occupation of the Ruhr.
I should like to ask the Secretary of State for War if, before the end of the Debate, he can give the Committee some further details as to what that occupation really means. I hope, for instance, it does not mean that we intend ourselves—by ourselves I mean the Allies—actually to operate the German mines. The immediate result of that would be a strike of the German miners and that there would be not the least likelihood of our getting any of those coal payments to which the Prime Minister made allusion. If the Secretary for War can, without divulging any military secrets, give us some details as to what this occupation means, and what part the British nation will play in it, the Committee will be grateful. I hope the occupation will not be necessary. I hope that during the next ten days Germany will face the reality of the situation and will accede, honestly and sincerely, to the Allied demand. If this is the case, there is no reason why we and the Germans should not in the future live at peace, and why our trade relations should not be resumed.
I come to a further allusion to the third factor in the situation, the nervousness of our French allies. Here I shall venture to make a definite suggestion. Even if the Germans accede to the Allied ultimatum, the French nervousness will still, I believe, continue to exist. There is nothing so dangerous to the peace of Europe as the nervousness of a great Power. There cannot be peace in Europe till France is confident that her frontiers are secure. French nervousness tends to make the French demands appear to us often to be somewhat extreme. The Noble Lord (Lord R. Cecil) alluded to this fact when he emphasised the need of the continuance of the Anglo-French Entente. I agree with him. I go further and say that, in the interests of European peace, it would be well to renew the Anglo-French Defensive Treaty of 1919, a Treaty which, as the Committee will remember, was passed by ourselves but not by the United States.
Let me remind the Committee of the genesis of that Treaty. During the peace negotiations, France, time after time, expressed her anxiety as to the German menace in the future, and with that in her mind she made one or two definite suggestions to the Allies. She asked, in the first place, for an international force to be formed by the League of Nations for the defence of the integrity of the territories of members of the League. That was refused, but, because it was thought to be a reasonable demand that her frontiers should be kept secure, an alternative proposal then became prominent, that we and the Americans should together guarantee French territory from an unprovoked German attack. In 1919, the House agreed to that Treaty on condition that the United States agreed to it also. Congress, as hon. Members will remember, refused to ratify it. Looking at the events that have taken place since then I say that in our own interest, quite apart from the collaboration of the United States, and in the interests of European peace, it would be an excellent thing for us to ratify that defensive Treaty now. Its scope was very narrow; it was limited to an unprovoked attack by Germany. Moreover, the Treaty was to be deposited with the League of Nations, and to be subjected to the public opinion of every member of the League. I know it will be said that to undertake the obligations of a Treaty of that kind would be to plunge this country into all sorts of European complications.
And conscription, too.
I do not hold that view. We have so many obligations already existing under the Treaty that it is quite impossible for us, at any rate in the near future, to return to a policy of splendid isolation. If French territory were attacked by Germany we should inevitably be drawn into the war. Is it not better that we should publicly accept this obligation, and let it be known that if Germany makes an aggressive attack on France, we shall stand by France as we did in 1914? It is inconceivable to me that this country could ever stand by, whether there was or was not a treaty, and allow the Channel Ports to be occupied by the Germans. If that be so, I suggest that it would be far better to have this obligation stated in black and white. The British public will then know what the obligation really is. From the other point of view, France will feel that her frontiers are secured, and Germany will know that to renew the attack of 1914 will be to court as an absolute certainty another defeat at our hands. What better safeguard for the peace of Europe?
Moreover, by ratifying a defensive treaty of this kind it seems to me we should have a locus standi in talking to France if, and when, our policies were divergent. As it is, it is extremely difficult for us to press a divergent policy on France as we are met by this obvious retort of the French: "You have made yourselves secure by the destruction of the German fleet; we, on the other hand, have the German menace still upon our frontiers. You leave us now undefended, and the only thing you are thinking about is the revival of British trade." If we can make France absolutely secure from German attack we can say frankly to her, as one friend to another, "We have now made your frontiers secure, there is no need, therefore, for military movements, there is no need for military displays, you are secure, and the peace of Europe is secure, and because it is secure let us now have that peace." On a question of this kind I do not desire to press the Government for an answer, but I would ask hon. Members who have been kind enough to listen to me to think the question over. It is a question which obviously cannot be settled unless public opinion is very definitely behind my view; but I do believe the more the question is ventilated the more it will be generally admitted that a defensive treaty of this kind really would be a solid foundation for European peace. With such a treaty behind us we can press on with the restoration of peace in Europe. By the restoration of European peace I mean certain very definite things. I mean the restriction of armaments. I mean the encouragement of trade, commerce, and intercourse. I mean the cancellation of the inter-allied debts. I mean a wise and discriminating support of the League of Nations. The Conference, which has finished its sittings to-day, has, it seems to me, many lessons to teach us on each of these subjects. Let us take them to heart.
I had not intended to intervene in this Debate, but the speech of the hon. and gallant Gentleman who has just sat down leads me briefly to support the view which he has put forward, for it has, I believe, many opponents. I wish to plead not only with the Government but with the Committee that they should see the extraordinary position in which we stand as a country and as a House of Commons unless we do accept the view which has been put forward so eloquently by my hon. and gallant Friend.
Conscription!
No, no!
I do not think it is necessary to assume the absurdity of such a position, or to say, because you are prepared to stand by a people in their trouble, that you must necessarily conscript your own population.
Does it not come to that?
The exact opposite is the case. I shall endeavour, if my hon. and gallant Friend will permit me for a moment without intervention to address the House, to deal with that point. The first point I want to put to the Secretary for War opposite, which I hope he will convey to the Prime Minister, is this: That every Member of this House is bound in honour by the fact that, without a single exception, we said that in the event of an unprovoked attack upon France, which country did suffer the most in the late War, and is far and away the most liable, for strategic reasons, to unprovoked attack of any country in the world, we should protect her to the best of our powers. We made no conditions, for reasons which anybody can themselves read.
I opposed it!
On the occasion to which I refer the reasons given in Debate were simply these: that France was the country most liable to attack, had suffered most terribly in the late War, and that we were bound as honourable men to endeavour to avoid the same terrible catastrophe in the future. Congress, for reasons which I am told have nothing whatever to do with the merits of the case, have refused to ratify the agreement come to, and object to the League of Nations being forced upon them. What position should we be in, after having said that on every ground of high-minded principle we must prevent a great wrong being done, that just because somebody else backs out, that we too should back out? I cannot imagine how any single Member of this House could ever stand up and face his constituents or, what is of still more consequence, his own conscience if he did that! Surely the truth must be that the very fact that America has backed out of this matter makes it all the more incumbent upon us as honourable men to say: "We have pledged ourselves to try and prevent a terrible wrong occurring again: that terrible wrong is impending, and in any case there is more danger now that a great and powerful nation is not supporting us"—to avert that wrong there is all the more reason for us to renew our pledge. It might be said by the Germans that "instead of the vast power of the United States and England against us we have only got England."
We are not a military nation. Probably we shall not have enough soldiers to send one single man, but we will always have and must have a powerful Fleet, and we shall probably have a considerable force in the air; to the best of our ability, therefore, we ought to stand by our friends. Let us say that to France. Let us say, "We have been called 'Perfide Albion' in the past; you shall never call us 'Perfide Albion' in the future." My Noble Friend (Lord R. Cecil) may say that this is a regrouping of the Powers. It is nothing of the kind. It is the best alternative we can get to the League of Nations, in which he has done his best, but which so far has not come to fulfilment. It is all very well to say that so long as the United States stands out that we will do the same. I do not plead here for France because she is our Ally or because we have such ties as we have with France. But look at the map of Europe. Look at the history of the world. It follows that wherever there is a clash of arms it is on French soil—
Or Belgium?
On French or Belgian soil that the fight must be won. It always has been and always will be. It is also true that Prussia continues to have ideals and ideas which are not yet eliminated. That being the fact, and we having promised to try and avoid a great wrong, I earnestly plead that we shall say that if others fail we at least shall stand by our Friend.
I merely rise to support in a few remarks what has been said by the last two speakers. It is only right and proper that we should give France some guarantee against aggression in the future. She has a population of some 40,000,000 against over sixty millions of her neighbour. I believe she has some grounds for fear in the future unless we can give her a guarantee against aggression by entering into a defensive alliance. If we could get the League of Nations to function that would possibly offer the best solution, but until the League of Nations is brought into effective operation it would be useless. I agree with what the right hon. and gallant Gentleman has just said, namely, that without America's participation the guarantee of the League would be valueless. This is the more regrettable as undoubtedly the League of Nations is the proper machinery for the protection of France. With reference to the speech of the hon. Member for Hackney I have a word to say. I regret that neither he nor the other members of his Independent Party are in their places. So far as I could gather his views and indeed his prediction was that we should firstly march to the Ruhr Valley and subsequently and progressively have to go on occupying more and more of Germany until eventually we took charge altogether in Berlin. Having some military experience, I should like to say that in my opinion his suggestion is not only undesirable but impossible to carry out with the forces available. If the procedure could have been carried out at the time of the Armistice, that is another story, and even then I doubt the feasibility of putting it into execution, but to suggest it now, apart from the rights and wrongs, is utterly unpractical. I pass it by with the remark that I do not think it is worth further consideration.
I am convinced that the proper course and principle to follow is to do all we can to restore trade and to allow nothing which may prevent this. It is essential that Central Europe should be able to trade. Nations cannot work independently of each other. The whole machinery of trade and commerce is affected if the cogs in one of the wheels break. My view is that so long as France is guaranteed against aggression that will satisfy her on the most important point, and that beyond that it is in the interest of the whole world that trade and peaceful activities should be restored at the earliest possible moment.
It is indeed delightful to sit on these benches and listen to our militarist friends and generals flapping angelic wings in their desire and anxiety to establish the peace of Europe for the benefit of trade. How changed are these days compared with the time when the hon. and gallant Member for Chelsea (Sir S. Hoare) supported the White Guards in Russia, and was deter mined to put an end to Bolshevism. I am glad indeed that after realising that the reconstruction of Europe is perhaps more important than the clashing of the hon. Member for Hackney's sabre and his mailed fist, the hon. and gallant Member for Chelsea has drawn forth from his repertoire the idea of a firmer alliance with France. I feel that before we get back to the real subject of discussion it would be well just to put the other side to the hon. and gallant Member.
The right hon. Gentleman (Major-General Seely) who spoke as an official member of the Independent Liberal party seemed to me to go straight back to the days of the eighteenth century when alliances formed an essential part of high politics. Now we are going to scrap all these stale ideas of leagues of nations. I would, however, warn the House that that sort of stuff, although it may do very well for Chelsea drawing-rooms, will not go down in Staffordshire. The ordinary working people do not want any more risks of war or conscription, and they have had enough of that sort of thing for the present. I would also warn hon. Members who are such firm friends of the French Government that by constantly supporting France they are encouraging just that spirit in France which does not tend to European peace, and they are encouraging all these military adventures which in the interests of trade and peace had better be reduced rather than exaggerated.
It seems to me that hon. Members are losing sight of one of the great results of the War. Before the War there were seven or eight great Powers—England, Prance, Germany, Italy, America, Austro-Hungary, Russia and Japan. Does anybody pretend that there are eight great Powers now? Everybody knows that the last War has emphasised more than any previous war the enormous importance of sea power and of mechanical resources, and that now at the end of the War there are no longer eight great Powers, but only two. There are only England and France in the world that count, and the others are no longer great Powers. We do not want to rub it in, but those are the only two Powers that count now. The French, quite rightly from their point of view, have to concentrate their forces on land because their fleet is no more. We will back our Allies and help them, but it is no longer an alliance between two great Powers, because we are the protecting Power. So much for that side of the question. I think it will be just as well on this question if we exercise a restraining influence, remembering that France is dependent upon us, and not we upon France.
With regard to the Prime Minister's speech, I think his scheme was simply admirable. Every time he comes here to deal with this question he whittles down the indemnity a little bit more, and every time the question is raised he persuades everybody except the hon. Member for South Hackney (Mr. Bottomley) that we are living up to the ideals of the 1919 Election, and every time he gets nearer to business. He still calls the indemnity £6,600,000,000, but it turns out to be in German gold bonds. They are going to be printed in Germany and sent over to this country to be floated. I wonder what they will float at. I expect 40 will be the outside figure. The next issue may be higher, but we will assume that they are floated at 40. That reduces the £6,600,000,000 to £3,300,000,000. I do not know many people who would buy them even at 40.
Of course this indemnity looks very well on paper, but I strongly recommend this country to try and get this new indemnity floated somewhere else. It seems to me that this is a victory for the Prime Minister, for he has now got the indemnity down to a reasonable figure which Germany can pay, and he has managed to please everybody who supported him at the Election at the same time. I am glad to see the Secretary of State for War here, because it seems to me that there is one part of the scheme which may be improved upon. Remember that in the statistics which came from Germany a fortnight ago they suggested taking over the Inter-Allied Debt. I thought that would take £1,000,000,000 off our shoulders. The £1,000,000,000 we owe to America is hard cash, and we always pay our debts. I think that is a very real slice of money, and I should be very glad to see us get rid of it in that way. That was the original German suggestion, and now we have got these gold mark bonds. Would it be possible to suggest to America that they might take these gold mark bonds for our debt?
That is the stuff to give them.
Suppose we take these bonds and float them at 35 or 40. I am surprised that the hon. Member for Hackney was not pleased with this idea of premium bonds, because it is one of the most speculative investments on the market. I suggest that it might be worth while to approach America to see if it is possible for them to take up these bonds backed by the British guarantee, because I do not want to have them in this country. It will only mean that we shall have an endless clamour for Anti-Dumping Bills and restrictive legislation to prevent imports coming into this country. The Prime Minister has managed to diddle all his followers by making them believe that he is now making Germany pay for the War with all these paper marks, but next week he is going to introduce restrictive legislation.
Under these circumstances I think it would be a great convenience if we could pass this paper money on across the Atlantic because it would relieve our Exchequer of a very real responsibility. It would also carry out the proposals which the German Government made a fortnight ago, and it seems to me that something might be done by way of getting America to accept them. It would, in fact, cut down our debt to America, and it might even solve the difficulty as between France and ourselves. France also owes America money, and she owes us money as well. This movement in favour of can- collation of the Allied debts fits in very well with the issuing of these bonds. I think this scheme should be accepted by Germany, and if it is we shall get everything we are ever likely to get, and we shall get what is far more important, a real chance of re-building Europe.
The difficulty is that we may fail to get Germany to accept this ultimatum. They may refuse, and if they do then the Prime Minister's threat is to be carried out. The Ruhr is to be occupied and we are to proceed to enslave a further portion of the German people just as in the part of the Ruhr now occupied by France, the military authorities made it illegal for the German miners to strike. What they have done on the Saar they will do in the Ruhr, and you will have all the miners and the metal workers there working in a condition of semi-slavery. People are beginning to realise in this country that when you do this kind of thing to German workmen it will not be very long before the same system will be applied to your own workmen. The fact that this was done on the Saar and in Alsace in regard to German labour to reduce cheap export coal will cut out our export coal and destroy our coal trade, and it will be used as an excuse for bringing down wages here below a subsistence level. These are facts which are persuading the ordinary man in the street that the cause of labour is an international cause, and that what hits German working men will soon affect the French and the English workmen. We on these Benches protest against the enslavement of German workmen on the Ruhr, not merely because we know their oppression means our oppression, but because it is criminal injustice to punish vicariously the working classes while the criminals are still in high places.
Perhaps it will be convenient to the Committee if I now reply to some of the questions raised on that part of the discussion which relates to reparations. Let me say I am extremely glad that the Committee is in general agreement with the course that the Government, with our Allies, have decided to take. It is true my hon. Friend the Member for South Hackney (Mr. Bottomley) is not in complete agreement, and I am not quite sure whether, in his more serious moments, my hon. and gallant Friend who last spoke (Colonel Wedgwood) was or was not agreed. He seemed to approve the amount of the indemnity, but there were other things to which he appeared to take exception. Let me first deal with the criticism of the hon. Member for Hackney, who said that the Government and the British people were being fooled, that we ought to take much more forcible measures, that we ought not to be negotiating at all, and that we ought to go to Germany and say, "This is what you owe us; pay it." How does that differ, except in the matter of emphasis, from the course which is actually being taken? For 10 months past there have been negotiations. We started those negotiations at Spa for the first time since the Armistice. Germany was invited to send representatives to meet the Allies at Spa, in order that at a round table an endeavour might be made to come to an agreement on the question of reparations. That failed. I will not go into details of the negotiations. The only thing that eventuated from them was the actual delivery to France of 2,000,000 tons of coal per month, in accordance with the Treaty. That was some advantage gained from the Spa Conference. It was, at any rate, a fulfilment of one portion of the Treaty.
After that, experts from all sides investigated the position at Brussels, and then shortly afterwards there was the Paris Conference, where the Allies agreed to formulate a demand which, as hon. Members will remember, was not accepted by Germany. She was then given another chance of coming to an agreement with the Allies in regard to fixing the amount and method of paymet of the reparations. At the Conference in London, fresh offers were made, which were unacceptable and which were refused. I repeat all this, because I want the Committee to thoroughly understand that it has been the policy to settle this question by agreement, if possible. It has not been possible, and consequently the Treaty plan is now being put into force. If the hon. Member's criticisms had been made during the last ten months, there might have been something to be said for them, but to-day negotiations are closed, and the operation of the Treaty is being carried out.
I made the suggestion in a Debate when Parliament first assembled.
The Treaty provided that a Commission should be set up by the Allied Powers, on which each of the Allied Powers entitled to reparation was represented. That Commission examined the question as to the amount of damages. The Prime Minister said to-day that they had innumerable meetings with the representatives of Germany, and that they considered innumerable memoranda presented by them, and came to the conclusion that a sum of £6,600,000,000 in gold was due from Germany. The Reparation Commission fixed the amount, and also fixed the method of payment which had been described by the Prime Minister to-day. There is, therefore, no question of negotiation at all. The Treaty is operating through the Reparation Commission. The amount is fixed, the method of payment is fixed. All that has been communicated to Germany, and Germany has got to reply.
May I deal with two questions put by the Noble Lord the Member for Hitchin (Lord R. Cecil), who quite quickly caught hold of one of the best points, it seems to me, about this scheme, and that is to get these Bonds distributed in order that, instead of their being ex-enemy Bonds, they become part of the external debt of Germany in which many neutrals will also be interested, so that Germany cannot in future repudiate these Bonds without repudiating her liabilities, not merely to ex-enemies, but to the world at large. My right hon. Friend, seeing that that was an attractive feature of this scheme, asked how the A Bonds, bearing interest of only 5 per cent., with 1 per cent. for the sinking fund, could ever get on to the market. Let me describe one method by which that may happen. These £6,600,000,000 Bonds will be issued by Germany with coupons attached. They will be handed over to the Separation Commission, and the Reparation Commission will, at the request of, and with the consent of, the Allies begin to realise these Bonds—
At a discount?
Yes, at a discount. I do not pretend that they will be worth par, but I put a higher value on them than did my hon. and gallant Friend (Colonel Wedgwood) who, after depreciating them as much as he could, suggested that they might be offered to America in payment of a good debt. I do not for a moment suggest that they will be worth par, but if you want to get cash—and I do not think there is much doubt that all the Allied nations want to get cash—they will have to be put on the market at a discount. It will be wise, in my judgment, for the Allies to put them on the market even at a considerable discount, in order that they may get into the hands of neutrals, and cease to have the character of enemy debts, and as quickly as possible become the external debt of Germany in which the whole world is interested.
My Noble Friend (Lord R. Cecil) also wished to know when the C Bonds were to be issued, and whether it would be by a majority decision of the Reparation Commission or not. Let me remind the Committee first of all what the C Bonds are. The A and B Bonds, aggregating together £2,500,000,000 sterling, are going to be issued at short intervals from now. The C Bonds, for the residue of the debt, are only to be issued by the Reparation Commission when the Reparation Commission is satisfied that the payments being made by Germany are not only sufficient to pay the interest and Sinking Fund on the A and B Bonds, but also sufficient to pay interest on some of the C Bonds. It does not mean that £4,100,000,000 of C Bonds will be issued at one and the same time. They will not. It may well be that the margin of income will permit £100,000,000, £200,000,000 or £300,000,000 to be issued by them, acting as agents for the Allies, through a sub-Committee which will be set up for the purpose, and which will come to a decision when they shall be issued. At that time coupons will be attached, and payment of these coupons will form part of the annual payment which Germany is to make. There is an automatic protection in this. If the Reparation Commission were tempted to issue the Bonds prematurely, they would be of no use to the Allies. It is to the interest of the Allies that there should always be a considerable margin behind the Bonds, so that the Bonds shall not be waste paper, but have considerable value in the markets of the world. I think when my right hon. Friend comes to look at the documents in detail he will see that we have at least endeavoured to meet that point which very naturally occurred to him when he heard the description of the scheme for the first time.
Although quite a number of very interesting speeches have been made, it is curious that at the end there are only two specific questions with regard to reparations which I have been asked to answer, and to these questions I have endeavoured to give a reply.
May I ask whether the Rhine will remain occupied until the last settlement is paid on the C Bonds, or is there any specified time for it?
Can the right hon. Gentleman give any estimate of the length of time over which the issue of the C Bonds will be spread?
In answer to the hon. and gallant Member for Newcastle-under-Lyme (Colonel Wedgwood), there is no suggestion, and never has been any suggestion, that the occupation of the Rhine—
I meant the Ruhr.
that the occupation of the Rhine has anything to do with this matter. The other question is as to how the C Bonds will be issued, and the period of time over which the issue will be spread. Of course, that is a question the answer to which depends entirely upon Germany's capacity to pay, and when the hon. and gallant Member (Colonel Wedgwood) spoke just now about the Prime Minister having "successfully whittled down the reparations," that really means nothing, because my right hon. Friend has always said that he would enforce the Allies' claims to the utmost of Germany's capacity to pay, and he would find a method by which that capacity could be gauged. We believe that method is found by linking the payment of the interest and sinking fund on the Bonds with a duty on the exports of Germany. When my right hon. Friend asks how long it will take to issue the C Bonds, I can only say it must depend on Germany's capacity to pay the interest and sinking fund.
What about the Ruhr?
That is a question of wide policy with which I would far rather not deal at this moment, but I know the Prime Minister will see what my hon. and gallant Friend has said, for nothing escapes his attention, and no doubt this particular point can be made the subject of a special question.
Is it proposed that we should back with British credit the proportion of the Bonds that we receive, and so increase their face value?
No such suggestion has been made, and I should have thought that it was extremely unwise to do anything of the sort.
8.0 P.M.
The right hon. Gentleman took exception to the criticisms raised by the hon. Member for Hackney (Mr. Bottomley). He acknowledged that if the hon. Member had advanced these criticisms ten months ago, he would have had some reason for doing so. What were those criticisms? First, that Germany had defaulted—that she had not complied with the terms of the Treaty of Versailles—and, secondly, that being the case, the strictest measures should be introduced to enforce obedience. Not only the hon. Member for Hackney, but I and other Members, not ten, but twenty months ago, consistently criticised the Government in a similar manner, and plied the Leader of the House with questions which only to-day have been answered. I listened to the speech of the Prime Minister, and although I did not think his pronouncement quite so clear and lucid as his speeches generally are, yet it was only to-day that a definite answer was given to our repeated questions. He told us that Germany had defaulted on many subjects. She had defaulted, he said, with regard to armaments, with regard to reparations, with regard to the trial of prisoners, and also with regard to the trial of the Kaiser himself. Why were we in the House of Commons never informed of this? The hon. Member for Hackney and myself, and many others, as I said, have time after time asked the Prime Minister and the ex-Leader of the House questions on these very subjects. We have asked whether they were sure that the Germans were not defaulting—that they were surrendering their prisoners, their rifles and their guns at the moment stipulated by the Treaty of Versailles; that the Kaiser would be brought to justice, and that those men whom we considered to be criminals would also be brought to trial. To these questions we either got a perfectly evasive answer, or we were told that it was against the best interest of the country to introduce this subject at all.
The Prime Minister has told us that Germany at the present moment is in default with regard to the surrender of prisoners. He said that the House of Commons ought to understand that France and Belgium especially were in a very invidious position, because the danger to them was far greater than to us. We were protected by tempestuous seas—I think those were the words that he used. He told us, however, that there were certain bodies of men masquerading under various misnomers who constituted a great danger, and danger to France because they might form the nucleus of an army. He said that we (England) had nothing to fear from them to-day, and that even France was in no imminent and immediate danger, but I would ask him this. It is well known that Germany is exploiting Russia to-day for everything she is worth. Supposing that there were an alliance between these very bodies of men in Germany that the Prime Minister has mentioned, and the Bolshevik armies—millions, I believe, in number—supposing that there were that alliance formed to-day, would not that constitute a master-menace to the peace, not merely of Europe, but of the world? I did not hear the speech of the right hon. Gentleman the Member for Paisley (Mr. Asquith), but I should have liked to know how he can reconcile his speech at Paisley, which, I think, has done incalculable harm, and in which he said to his constituents that he believed it was nonsense to talk of anything like £10,000,000,000 over a number of years as the amount that Germany could pay. His estimate of the sum total that could be expected from Germany amounted to less than £2,000,000,000. While he was making these pernicious statements, and while we private Members were being gagged in the House because we were told, as I said, that it would be contrary to the interest of the country then to discuss these important subjects—while the right hon. Gentleman was speaking at Paisley, the ex-Leader of the House rose in this Chamber and stated openly that he was one of those who believed, and had always said, that Germany could never contribute anything substantial in the way of indemnities. I may mention to the House also that he mentioned to me privately that £1,000,000,000 was as much as he expected Germany could pay. But, this was not only the expressed opinion of the Leader of the House, but it was also the opinion of the Secretary of State for War—and their views were shared by the present Secretary of State for the Colonies.
What was the natural effect of such words, emanating as they did from one ex-Prime Minister and from two ex-Chancellors of the Exchequer? What was their natural effect upon Germany? This, and this alone!—that Germany pleaded poverty, penury, Bolshevism—that the more she pleaded, the more she shed crocodile tears—the more sympathetic she saw was the attitude towards her in this country. And, further, as a natural corollary, more than half the Members of the House of Commons began to believe that all the election talk of making Germany pay for the War was a mere chimera and myth. This I will acknowledge—that the Prime Minister always said that Germany should be made to pay to the utmost of her capacity. Yes—but at the same time it cannot be denied that he sought refuge at times behind the exact meaning of the words "Germany's capacity to pay." Now he comes to us, and presents as the sum total of Germany's debts—apart from geographical acquisitions—£6,600,000,000. Why did he not say so before? Why has he taken two and a half years before he gave us this most important information? Why did he wait till ten months ago for the Spa Conference in order to beg vanquished Germany to state what she would like the Bill to be—and finally why has not the bill been presented—and presented in full—according to the Allies' estimate during the last two and a half years?
Personally I do not believe that £6,600,000,000 is all that Germany can pay—and I feel that those who live long enough, will deplore the fact that the Supreme Council have not presented that very rich country with a bill covering the whole cost of the War. I, among others, am very sorry that we have not left the whole matter in the hands of our gallant French Allies. They have never wavered from the beginning. They said that Germany can pay and that Germany shall pay. I am afraid—and I am sure my hon. Friend will bear me out, because, like myself, he is often in Paris—that the feeling there is now one of much bitterness, because the French think that they have been badly let down by us, with whom they fought side by side, and that our Government has always been influenced by the pessimists in this country, and has never paid proper attention to the decisions of optimistic committees who gave their verdict on this subject. If it is not too late, I hope that the Allies Bill may be reconsidered. Let us accept this £6,600,000,000. Let us accept it even in the way suggested—if the Prime Minister or others can conceive no better way of payment—but could we not insist that in the event of the prosperity of Germany being equal to it—let us say in ten, twelve or fifteen years—that Germany should be met with a further bill of £4,000,000,000, which it should be left to the discretionary powers of the Allies to present as they thought fit, just and right.
The financial and commercial development of this country, and, in fact, of the whole world, depends fundamentally on the German reparation being definitely settled. Our domestic policy here, whether it be taxation or whether it be housing, depends on that reparation being secured; and the crux of the situation is that we should have a definite economic figure which can be realised, and with which traders can confidently deal when the necessity arises for having this definite security. There is a great similarity between the conditions after the Great War and those of the Peace of a hundred years ago. You get the same curve in trade; you get the same industrial upheaval. Great wars always bring discontent, and, after Waterloo, Wellington and Castlereagh let down France very easily. In spite of that, however, France went bankrupt, and what was the position? In three or four years' time the French trade improved, while we in this country were fighting our Peterloo. The war of 1870–71 was referred to by the hon. Member for Hackney. That, however, was not a world war, and even in that case, although the Germans took Alsace-Lorraine and £200,000,000 as an indemnity, they did not realise the ease with which France would pay her debt. That ease was due to the fact that France was able to borrow outside in countries like our own. Bismarck realised the value of the iron-ore of Lorraine, but in those days the Lorraine ore could not be dealt with. It was an Englishman who invented a process of dealing with that ore which made it valuable in 1874, and in 1875 Bismarck endeavoured to bring on a war again with France.
Large indemnities can only be paid in three ways, either in gold or gold securities, by services, or by kind. We know that Germany has about £54,000,000 of gold. I understand we are going to take £50,000,000. I think from the economic point of view I should have left that gold with Germany. I should have taken a lien on it, but I should have left the gold there, because it would tend to make her exchange go up in value. The only real value of gold, when you get large quantities, is to improve your exchange. Take services. I am sure, except for dealing in the devastated area, we do not want the Germans to work anywhere in any other country. Kind means exports, and we have to be most careful how we deal with exports from Germany. It was very difficult to win the War, but it may be very easy to lose the peace, and we have to realise that although these exports may come into this country in payment of this indemnity we as a country may be out of employment owing to the consequences of those exports. In pre-War days the German debt was £1,000,000,000. Our exports were £525,000,000, of which £201,000,000 went to Europe and £41,000,000 went to Germany. The German imports were £540,000,000, and her exports £505,000,000, in 1913, showing that in those days her imports were £35,000,000 greater than her exports. Between August, 1914, and December, 1918, her exports were £815,000,000 and her imports were £1,540,000,000, showing a deficit of her exports against imports of £725,000,000. That was paid partly in gold and partly in foreign securities. Helfferich estimated that the value of the German capital invested abroad in August, 1914, was £1,000,000,000. In December, 1918, there were £750,000,000 left, but that was chiefly Austro-Hungarian, Rumanian, and Turkish, which were not of any great value.
By the Treaty of Versailles, what have we taken from Germany? I am all for taking everything we can, but I want the Committee to realise what we have already taken, and from an economic point of view whether it is possible for her to meet this large amount which is due as soon as these bonds come into force. We have taken Alsace-Lorraine, we have taken the Saar coalfields, which she has the option of purchasing back from the French in 15 years, we expect to take part of Silesia, all her colonies, 74 per cent. of her iron ore—and that is a strong point. An hon. Member mentioned that there were eight great Powers. So there were in pre-War days, but there were only three Powers who could afford a great war like we had in 1914—America, Germany, and ourselves. As we have taken the iron ore, Germany is crippled as a fighting force. We have taken 32 per cent. of her hard coal, 20 per cent. of her potash, 21 per cent. of her producing land, 7,000,000 citizens, and a good deal of her mercantile marine. I quite approve that all these things should be taken, but, apart from this, what has France taken? In livestock, she has taken 500 stallions, 30,000 fillies, 2,000 bulls, 90,000 milch cows, 1,000 rams, 100,000 sheep, 10,000 goats, and so on. What is the present position of Germany? The revenue by the last Budget was 30 milliard marks, and her expenditure was 100 milliard marks, showing a deficit of 70 milliard marks. This year the estimate is that there will be a deficiency of 33 milliard marks. Her currency position is, that in July, 1912, she had a currency of 1,000,000,000 marks. In 1914 it was 1,892,000,000 marks, in February, 1920, it was 37,988,000,000 marks, and in April of this year it was 68,786,000,000 marks, all showing that her security was going down with the issue of paper money. Her imports for 1920 were 8,000,000,000 marks, and her exports 5,000,000,000 marks, and her chief exports were bar-iron, iron plates, steel, machinery, coal, woollen and cotton goods, all showing that they were competing greatly with ourselves.
The statement is frequently made that the German taxing system has not been put into anything like the same state of efficiency as our own. Will the hon. Member deal with that in view of his very great knowledge?
I am afraid I have not the figures here, but if you take the mark at the par of exchange, 20·43, the German you get 250 marks for it. You have to country. It is just the same as the sterling. If you deal with it in Germany is taxed nearly as much as we are. [ Interruption. ] That is the fault that is made. You must deal with it in the deal with it in the country. Possibly many hon. Members have seen that two South African emissaries, Reynolds and Chapple, were sent to Germany by General Smuts to look into the future of Germany and to endeavour to negotiate trading. They arrived there, and received the usual hospitality, but all of a sudden that hospitality ceased, and in their Report they state as follows:
"It was not the German Government policy to allow imports or exports on a large scale because of the indemnity. We have come to the conclusion that Germany is, no doubt with the co-operation of the banks, keeping the industrial development of the country back as far as possible just now, so as not to give an appearance to the outside world that Germany can or could pay a large indemnity, and we therefore think it quite possible that the mark is artificially kept at the present depreciated value for obvious reasons. In other words, we think that directly the indemnity question is settled the country will be allowed to develop on national lines, and will quickly improve, despite the present very great difficulties."
That shows that we as a country have not to be humbugged. That report was dated 20th December, 1920. I am not quite certain how much Germany is expected to pay us every year, but I gather that the 2,500,000,000 gold bonds will be issued first, and the interest on that, quite apart from the redemption, comes to £150,000,000 a year.
That includes 1 per cent. sinking fund.
That is £150,000,000 a year, which includes 1 per cent. sinking fund. Her pre-War exports in 1913 were £505,000,000, and her imports £540,000,000. Even if you take her exports at the increased prices of to-day, the most you can expect is possibly £650,000,000 a year in exports. With regard to imports, she would have to buy more than she did in pre-War days, owing to the fact that under the Treaty of Versailles, quite rightly, we have taken a great amount of her raw material. It is only when her imports come to £500,000,000 and her exports to £650,000,000 that the interest on A and B Bonds, and the sinking fund, could possibly be met. From an economic point of view it will be very difficult for her to meet that amount. I well remem- ber in Paris in 1919 telling my right hon. Friend the Member for Hitchin (Lord R. Cecil) that the £1,000,000,000 which was due on the 1st May, 1921, was not an economic problem for the country to face after such a War. If the figures which I have given are facts, and we insist on great amounts of indemnities, it means that we must take a great amount of German goods from Germany.
I suggest that the one great thing is to disarm Germany, and then we shall be certain of security in Europe. Secondly, I suggest that we should divide up Germany. Prussia has dominated the German Empire ever since 1870, and I contend that Southern Germany has quite a different population and is a different country from Prussia. It would be greater security for ourselves and for the French—and I am all for keeping on the best terms of friendship with France—if we divided Germany, and there would be the greater security for the whole of Europe. If Germany disarms, let her join the League of Nations. If she is in the League of Nations you have control of her. I have a letter which was written to me in 1919 by President Ebert, when I was in Berlin, and his great plea was that they should be allowed to join the League of Nations. We have to remember that Great Britain is an industrial country, depending upon her maritime power. I hope that the amount suggested by the Prime Minister will be realised So far as I am concerned, I will vote with the Government, and support them as far as I possibly can, because I want this German reparation question settled for good and all, and for the benefit of British trade, British employment, and British interests.
There is one point on which there appears to be very little difference of opinion in the Committee, namely, that Germany should pay to the extent of her capacity. Beginning from that standpoint, with which I agree, may I try to explain some doubts that assailed my mind whilst listening to the Prime Minister's statement, and to the statements that have been made since? The proposal is for a payment of £6,600,000,000 in gold. I have been told by a high authority that that represents in our present paper values £7,500,000,000. I thought it would represent considerably more than that, but taking it at £7,500,000,000, as we now have the currency, let me say what that means to people who are thinking, not in terms of pounds, but in terms of francs and marks. The £7,500,000,000 in English money represents to the French idea, at 56 francs to the pound, taking a rough number, something like £16,400,000,000, and for the country that is to make the payment, thinking in terms of marks, at 240 to the pound, it means to Germany something like £90,000,000,000, as the Germans are accustomed to look upon money. When we are told by hon. Gentlemen that the demands of the Allies are not great enough, I want them to think for a moment what their position would be if they were faced with the problem which now confronts the German people, and if they saw that problem in terms, not of £6,600,000,000, but in terms of £90,000,000,000. Assuming the population of Germany is 60,000,000, this sum represents a payment of 28,000 marks by every man, woman and child in Germany. As to whether it will be possible for this, or any other Government, to get that payment is a matter of doubt; but that it would be possible to enormously increase the burden admits of no doubt whatever.
While the majority of the people of this country are keenly desirous that Germany should pay to the utmost of her capacity, and while the international labour movement, generally speaking, is of the opinion that there ought to be only two guiding circumstances which affect any stoppage of payment by Germany, namely, that reparation should not be driven to a point which will bring the German people into semi-slavery or moral breakdown, there should be at least some regard to probability; and we ought to be told quite frankly all the facts and what are the arguments on which this sum of £6,600,000,000 gold, £7,500,000,000 paper and £90,000,000,000 in the German mind has been laid down.
There was one part of the Prime Minister's speech to which I listened with the greatest attention and sympathy. That was the part in which he dealt with the Germans paying for part of the damage done by them by material, and then he went on to refer to German labour also being used. It seems to me to be peculiarly fitting that German material and German labour should replace what German arms have destroyed, and I hope that the policy of the Committee and the Prime Minister will be to make the most friendly recommendations possible to France to accept that method as part of the whole reparations repayments. There is a possibility of huge developments in the work of reconstruction in France by this method. An agreement has been arrived at between the building trades' unions of France and Germany by which the definite principle has been laid down that the French workmen will not only not object, but will collaborate with German workmen who with German materials are rebuilding what Germany has destroyed. I hope that that method of reparation will grow in use.
As to whether it is possible to collect duties of 25 per cent. in Germany effectively on all German exports, that is a matter of opinion. Some of us may hold that when you have collected them the people who will pay them will be the people who buy the goods, and if we buy the goods we may find ourselves in the unpleasant position of paying the indemnity ourselves in the price of the goods which we purchase. With regard to disarmament, there is no one in my party who does not agree heartily with the Clauses of the Peace Treaty that mean disarmament. Frankly, we should have liked to see the Peace Treaty go further and bring about disarmament, not only in Germany, but in France and England. We were promised the trial of War criminals. One will await developments in the matter, but it appears to be certain now that the great criminals will not be brought to trial, and I am afraid we are going to find the old experience repeated, that the small fry, and the small fry alone, will be brought to trial and the great criminals, the cause of the War, will be allowed to go scot free.
I am rather afraid of the possibility of a march into the Ruhr. The Prime Minister described with that power of description which is peculiarly his own, exactly what the Ruhr meant to Germany. He referred to the colossal production of coal, to the fact that all kinds of coal were mined in the district, that two-thirds of the iron and steel production of Germany took place in the Ruhr Valley, that the Ruhr was the great arsenal of Germany before the War and finally—and the most striking picture of all—that with the Ruhr taken away Germany as an industrial nation must decay. I have seen the devastated regions in France and Belgium. I can understand what a Frenchman or a Belgian must think, but there is such a thing as the swing of the pendulum. The danger in my mind is that the pendulum should swing to such an extent in France that France, now the strongest military power in Europe, with the possible exception of Russia, once enthroned in the Ruhr could not be got out. One would indeed regret if in trying to collect these indemnities we ran the danger of setting up another Alsace-Lorraine which, in its turn, would inevitably bring about a war at some future date.
I am not optimistic about what will take place if once the French troops get settled in the Ruhr district. The readiness of France to march is a thing that fills me with the greatest apprehension. We have seen rather a lot of the military spirit in France during the last 12 or 18 months. We have seen it in Poland and in Rhineland. In France the pendulum has swung until now France is a military nation again, and there is the gravest danger that the condition may be determined by this military power, and determined in such a manner as to make a future war inevitable. I would suggest to the Government that when there is a difference of opinion as to facts between the Allies and Germany, it is wise and statesmanlike to refer the questions of fact to an impartial tribunal. Surely, if ever there was a time when the offices of the League of Nations might have been used that time was when the Allies and Germany disagreed to a considerable extent as to the payments Germany had already made. Germany insists that she has paid a much larger sum than the Allies admit. Is it strictly fair that one of the parties to the bond should be the determining factor as to what the value of the payments has been? Surely that was the case in which impartial arbitration might have been resorted to. Every nation in the world would then have had a bonâ fide guarantee of our good faith. There the difference is, and if it has occurred already as to the payments which Germany has made, how much more likely are we to have these differences in future when Germany is called upon to pay more and more.
I hope that the principle will be definitely laid down by the Government that, wherever a dispute occurs as to facts, that dispute shall be referred to an impartial tribunal, the verdict of which shall be loyally accepted by both sides. The hon. Member for South Hackney (Mr. Bottomley), in rather scathing terms, with his eyes in fine frenzy rolling, talked about the people who had come to certain decisions in Amsterdam, and wondered who they were. I happen to have been one of them, and it gives me the greatest possible pleasure to inform the Committee that, strange to say, both the German offers and the Allied position on broad general principles are strikingly similar to the decisions of the people who met at Amsterdam. I have spoken of the danger of a new military power in Europe. I believe it is against the custom of the House, in Debates of this kind, to jump from one subject to another, but last night the Under-Secretary of State for Foreign Affairs informed the House that the question of Upper Silesia, in which Germany is vitally interested and the settlement of which will have a considerable influence on her capacity to pay, might be discussed in the House. I would be the last person to try to break through a well-recognised custom honourably followed by others, but I wish to say something on this subject. The German position is that had the ballot gone in favour of Poland the whole of Upper Silesia would have gone undoubtedly to Poland. On the other hand, the Poles say that the returns were such that it is quite easy to split Upper Silesia into the parts which belong respectively to Poland and to Germany. We have, however, in Poland, taught warlike methods by France, perhaps another danger similar to that which I am afraid will exist if French troops get into the Ruhr. I would like the Under-Secretary for Foreign Affairs to have the courtesy to state the latest information he possesses as to the position in Upper Silesia, to give some indication as to what is to be done with regard to the Polish irregular troops so-called, and to say whether there is any possibility of a settlement of that vexed question and whether any tentative understanding has been arrived at as to what is to be done with Upper Silesia. I have a strong feeling that the only people who have a right to say to which country they shall belong are the people who live in a country.
I am sure the Committee has listened with great interest to the last speech. The subject of Upper Silesia and Poland seems to me most pertinent to this Debate. The trouble is that the Prime Minister makes his usual brilliant speech to a very full House, and then everyone retires from the Chamber, with the result that subsequent speeches are unheard. I think it a great pity that the speech of my hon. Friend who has just sat down and that of the hon. Member for Ilford (Mr. Wise) were not heard by more Members. I make no complaint of my own speech not being heard, because I do not think it is worth hearing except by a few enthusiasts. The last time we discussed this matter I made certain proposals with regard to reparations, and thanks to a very good Press-cutting company to which I subscribe, I received the cuttings from the French newspapers. I was gratified when I saw that the comments on my own speech were not unfavourable. After reading them with great care, I think the comments on my speech were no less favourable than those on the speech of the Prime Minister; in fact the Prime Minister was attacked very much more than myself because I suggested that on terms, for certain understandings, the French debt to ourselves should be wiped off the slate. I agree with what has been said about the natural indignation of France because of her suffering and her weakened position commercially.
I believe that one or two Socialist papers in France may report what I say, and those papers are read by the working classes which will one day have political power in France. In case my words again reach French ears, I repeat that it would be well worth the while of France to cultivate the friendship of the English people. Suggestions have been made for a formal military alliance. Such an alliance without good will behind it would be utterly useless. We saw that in the case of Austria and Italy during the War. More than such an alliance is a danger. It is a stimulus to the militarists in each country to pursue their wicked adventures. One of the principle causes of the late War was the system of alliances. I hope hon. Members will fight most vigorously against any attempt by the Government to run us into formal alliances with France or with Spain, or even to renew certain alliances which now exist. We ought to pin ourselves to the pledges made to the electorate at the General Election. The hon. Baronet opposite (Sir J. D. Rees) probably gave no such pledge, but 90 per cent. of the Members of this House promised their electors that they would do their best to bring into being a real League of Nations. This system of alliances will kill that absolutely. If the Government do not believe in the League, let them say so and we shall know where we are. As one who feels that this Government is altogether mischievous and is doing much harm abroad, I hope they will persist in their present attitude towards the League, adopt the suggestion of the hon. Baronet and enter into military alliances with continental nations, for thus will they hasten their overthrow, which will be the best possible thing for this country.
I really rose to ask one or two questions, and my first question is the old one: How is Germany going to pay? I have read the paper which has been issued, and I have listened with great diligence and interest to the Prime Minister's speech. I heard a good deal about this bond proposal before it was published. When the bonds are issued they will only be bought by people who are prepared eventually to cash them for German goods. The scheme will be of no use to us, except as a means of buying German goods. The Under-Secretary knows very well what has happened with regard to Russian trade. The gold brought over here has been of no use to merchants, and this gold will be of no service either, lying in the vaults of the Bank of England. It will only give employment to two or three porters who will handle the cases or crates containing the coin when they are being conveyed to the vaults of the Bank. The same thing applies to these bills. The Prime Minister has told us we are to get £50,000,000 sterling of bills. No one will buy these bills, as we know perfectly well, unless he wants them to send to Germany, or to meet some debt he owes to a German trader. They are of no use except to buy German goods, yet here we are, as the hon. and gallant Member for Newcastle-under-Lyme (Colonel Wedgwood) has pointed out, going to introduce a far-reaching measure on Monday next to keep out German goods. Except as dust to throw in the eyes of hon. Members of this House and the electorate, this complicated system of issuing bonds is really useless. You can only transfer wealth by goods or by service. That is a truism, and we know there is no use trying to get away from it. We had a certain amount of German goods. We had ships, the most easily transferred property in the world, and they produced great unemployment in our shipyards while half of them are now lying up useless. The French got coal from Germany, with the result that the Lens coalfields had to go on short time. Our whole export trade in coal has been upset by the payments of German coal, and one of the results is seen in the terrible industrial stoppage in this country and the creeping paralysis which is overtaking our industry.
There is one way the Germans can pay. They may pay a little in dyes, in timber, and things of that sort not objected to here, but the best the most fruitful, and the most satisfactory way is to make them reconstruct these devastated communes. The principal opposition comes from the French contractors, but the Confédération General de Travail has withdrawn its opposition to German labour coming into the devastated provinces. That is the best way they can pay, and it will not do any damage to us. If we can receive payment later on in goods we want from Germany, well and good, I shall be the last to complain, but, after all, we have not yet seen the compensation promised to the British widows of British sailors sunk in the submarine campaign. It is all very well to talk about keeping pledges, but there was a solemn pledge made in the early part of 1919, on the strength of which the boycott on German goods was removed by British sailors, and nothing has come of it yet.
I wish to say a word on the occupation of the Ruhr. If it is occupied, it is going to create another Austria in Europe. We have one Austria already, and as the Under-Secretary knows, we are paying good British money to feed starving Austrian children. The hon. Member for Ilford (Mr. Wise) has referred to this. It is not only partitioning Germany, it is Balkanising a part of Europe, and to invade and occupy and to stir up a Silesia there simply means complete ruin to Germany. It may be the policy of a certain party in France; it is not a policy which in the long run can benefit Prance at all, and already French commercial circles are complaining about the restrictions imposed by the Custom House barriers between the occupied districts and the French markets. It means no benefit to France, and eventually it will injure this country most terribly.
9.0 P.M.
With great respect to the French people for whom I have the greatest regard as the literary and artistic leaders of Europe, I think it is nearly time that we pursued a pro-British policy. We were called pro-Germans when we moved the Adjournment of the House on the question of the occupation of the Ruhr. I do not know whether we are pro-Germans or not, but we are certainly pro-British on this side of the House, and not ashamed of it, and we will defend that in any industrial city or any centre of population in this country, and the people who cheer us most of all are the soldiers and sailors as I know for the last two years. The pity of it is that very few Members of this House are in a position to criticise the Government's reparation proposals. Only those who opposed the original Peace Treaty are really entitled to do that, because these reparation proposals, with the sanctions which may be applied and the injury that may be done, all result from the Peace Treaty. I am proud to say I opposed the original Peace Treaty, and I have been fully justified. After two years of trial and 10 months of negotiation we are not at an end yet, and the speech of the hon. Member for South Hackney (Mr. Bottomley), no less than the speech of the Prime Minister, proves how right I was when I pointed out the unworkability of the original Treaty of Versailles. The whole trouble with Germany has been that we did not keep to our terms. We agreed at the Armistice to 14 points, with one reservation, about the freedom of the seas. The Germans surrendered on the understanding they would make good the damage of the War which was very just and right. The Noble Lord the Member for Hitchin (Lord Robert Cecil) and other hon. Members on this and previous occasions have said we must make Germany pay to the uttermost limit of her capacity. That was not the undertaking we entered into; it was that she must make good the damage. We shall be lucky if we get within 30 years what we are seeking for, and we shall only get it if Germany recovers her export trade and increases her prosperity. If we could get back to the region which we were at the time of the Armistice and if we had kept to the terms made on that occasion, her full capacity might be much more, and therefore it is a mistake to talk about her paying to her full capacity.
The Germans surrendered on those terms, and then, contrary to our promise, we kept on the blockade for several months with terrible injury to the child-life of Germany. That was the beginning of an atmosphere of distrust and suspicion. At the Armistice there was an anti-militarist wave in Germany. German officers scarcely dare appear in the streets in uniform; arms were thrown away, or sold for next to nothing; the Kaiser fled for his life; and the people were sick of militarism. If we had kept up that atmosphere we would have got more money than we are going to get for a long period to come. Trade would have revived, the whole of Europe would have settled down, and the smaller peoples, who are only too ready to ape and copy the large Powers, would not now be sharpening their swords and glowering at each other across their frontiers. That was the original mistake, and if we are really going to get a settlement and get this necessary payment and compensation and reparation for France, we have got to get back to a position of trust. It is no good getting German representatives and waving a sword over their heads, for we are not going to settle this matter until we can meet as equals and discuss it and settle it on the basis of reason. The best leaders in Germany realise that the Germans have got to make good the damage they committed. That is a basic truth, and on that basis we can again build up the shattered edifice of Europe.
May I ask if the cost of the army of occupation comes out of the sums which the Prime Minister mentioned, and which were, I think, about £3,000,000? If the hon. Gentleman who represents the Foreign Office replies, I fancy he will say that the German payments will include the cost of the army of occupation, and that means that we are really paying it, and we cannot afford it. The military occupation of these districts interferes with trade and commerce immensely, and I seriously suggest that the armies of occupation at the earliest possible moment should be withdrawn. We can still put pressure on Germany by naval and other means, and the French Army are just as ready to strike from their own frontier fortresses as they are from the Rhine provinces. These armies are using up man-power that ought to be doing productive work. They are very expensive, and the only advantage is that the French and British soldiers are beginning to understand the Germans a little better, and are thus doing something to bring about the friendship between these three nations which is so essential for the future peace of the world. I am told that a number of young British soldiers are marrying German girls, and that is a pity in one way, because there are a number of girls in this country who, I am afraid, will never be able to find husbands, and I would rather see our soldiers marrying English girls at any time.
If the sanction is applied, if the French get into the Ruhr, and if the Poles get the upper Silesian coal mines, France will have something like an economic hegemony of Europe through their control of coal and iron, and we are going to feel the draught very quickly. They will be able to dump steel goods and everything in which smelting coal and cheap iron ore plays a part, produced by sweated labour at a depreciated rate of exchange, and they will be able to put these goods on the market at prices with which we cannot compete, and although we may put up all the anti-dumping barriers we like in this country, we cannot put them round Scandinavia or Spain or our own Colonies, and they will cut us out in our own markets. An hon. and gallant Member says that we and America are the only two great Powers, but it must be remembered that if France gets this economic advantage in Europe, we may feel the effects very seriously. It is a most significant thing that there is in Germany actually springing up a pro-French party, a party of realists, who see that France is going to be immensely strong if she pursues her present policy, always supported by ourselves. They see there is not much to be got from England, and they are turning to France. I believe the Prime Minister in the last ten days has made a very good fight for British interests. I had intended to move the reduction of the Vote, but I believe the Prime Minister has played his part in these last few days very well, and when I see any signs of reformation, when I see the reckless gambler of the election of 1918 beginning to sober down and look to the best interests of the British people, and not to the temporary emotions of the hour of victory, then I think be should be supported, and therefore I wish to renounce my idea of moving the reduction of the Vote, and if there is a division I shall vote for the Government.
My hon. and gallant Friend who has just addressed the Committee dwelt upon the necessity for inspiring Germany with a feeling of trust in the British Government and the British nation. I am sure my hon. and gallant Friend will take it in the spirit in which I give it, in all courtesy, if I suggest that he should begin to show the Germans an example by showing more trust himself in the British Government and the British nation.
I said I would vote for them.
He and the penultimate speaker, the hon. Member for Preston (Mr. T. Shaw), though striving to stick to reparations, found themselves driven by stress of circumstances to the League of Nations—any port in a storm. That was the natural and appropriate port, and I take it to be indisputable that the League of Nations, as a subject of discussion to-night, is quite as much in order as reparation. The two subjects are inevitably correlated. Indeed, I do not know what branch of the activities of the Foreign Office will not in future have to take into account the views, wishes, or orders of the League of Nations. In regard to reparations, however, I should like to say that my hon. Friend the Member for Preston, speaking, I presume, for the Labour party, made what, I think, was a rather unfortunate statement in suggesting that France had now become a militant as well as a military nation and that he was a little afraid of France's intentions. The French have always been a great military nation; they have always been prepared to show gallantry in the field; they have been an example, indeed, to the world in that respect, but never were they less inclined to a policy of adventure and of fighting than at the present moment. France is absolutely bled white, and she has no more desire to embark on warlike adventures now than we have in this country. I noted that remark, and as my hon. Friend, speaking from the Front Bench, is supposed, to some extent, to commit his party, I take the opportunity, on behalf of those in my party who may happen to be of like mind with myself, totally to repudiate the suggestion that France is in this adventurous mind at present, or, indeed, at all likely to be. My hon. Friend the Member for Preston outlined practically a policy which, putting aside, if one can for the moment, the terrible bloodshed, loss of life, and suffering of the War, I would describe as an attractive method of making the punishment fit the crime. If I understood him correctly, he contemplated the use of forced German labour to wipe up the mess the Germans made in Northern France, and that the French should treat the Germans as the Soviet Government treats labour in their country.
I do not mind the hon. Baronet misrepresenting what I said one time, and making a speech upon it, but I rather object to the second time. I never spoke of forced German labour at all.
I think I have done my hon. Friend a service in giving him an opportunity of explaining what others, like myself, may have misunderstood. Then, as regards the payment of the German indemnity, my hon. Friend, again speaking, I suppose, for the Labour party, condoned, shall I say, the exaction of an indemnity, but could not approve of any method of getting it paid. It seemed to me—and it has seemed to me in the case of other speakers on this subject—that while the principle of an indemnity was conceded, the exaction of the indemnity was altogether deprecated. I do not ask the Committee to be so kind as to listen to me while indulging in any discussion of political economy. Indeed, in my youth, like many others, I sat at the feet of renowned professors of that science, and I do not know one principle or one doctrine on which they decided which has not proved to be utterly false in the short space of my life. But leaving that, there must be something wrong in the theory that, though an indemnity is a good thing, it cannot be right to get it paid, and that the payment must be disastrous to the nation that receives it. I wish some capable exponent of political economy, other than Mr. Keynes, would explain this matter, but it is perfectly certain that, as we all labour in this country to make it rich and to provide products and money, it cannot be to our detriment that we should receive money and products, which the Germans have sweated to create, and I really wish speakers who take that line would be good enough to explain their attitude.
As regards the present position on the Continent, I do not at all understand what is being done about expenditure in Austria. It seems to me that the present theory held by the Foreign Office is that, having fought our enemies, we are now to feed them. That is an expensive treatment. It costs a great deal to beat your enemies, and that you should then proceed to feed them, and put them on their legs again, seems to me to carry altruism to impossible heights, and I really hope my hon. Friend will give this matter serious consideration. Let him not think—and I pray the Committee not to think—that I am animated by any feeling against Austria. I realise, as I am sure no Member of this Committee can more realise, that they were never our enemies, that they were brought in by our enemies the Prussians, that they are a gallant and friendly people, and I deeply deplore the fact that they were ever forced to be our enemies. I am only dealing with this matter from the point of view of an elected Member of a constituency who thinks far more of the pockets of his own supporters than of the wants of even so friendly, so admirable, so charming a people as that of Austria-Hungary. I want to press my hon. Friend once again, because I confess the financial aspect of every question, including the Foreign Office Vote, seems to me to be immeasurably the most important that can demand our attention. He did not answer me. I am sorry for it. He is not responsible for what is being done; he is only responsible for defending it. I want to ask him again—if he does not know, will he find out?—whether France has announced that it will not any longer feed refugees?
I have information to the effect that the French Government has intimated that it has reached the limit of the French taxpayer's pocket, and that there is no more money there for feeding refugees, however pitiable their circumstances, however much we sympathise with them, however much their sad case wrings our hearts. I believe we have reached the same pitch in England. We have no more money to expend upon this lavish, fantastic scale. The period is running to years in which we have maintained large numbers of refugees at the expense of the British taxpayer. The matter is in the hands of my hon. Friend, and I ask him again to bring it to an end. My hon. and gallant Friend the Member for Hull (Lieut.-Commander Kenworthy) in the course of his speech, and also my hon. Friend the Member for Preston (Mr. T. Shaw), touched upon the question of trade in Germany, and I gathered that the hon. and gallant Member for Hull objected to what is called the Dumping Bill. If, in addition to feeding our enemies, we are also to be condemned in future to receive their goods, produced at less price than we can produce the same goods, and if we are also to penalise the workmen in Nottingham in order that glove and other fabrics can come in from Germany, then I want to say, on behalf of my constituents, we want that Bill. I quite realise I was rather trespassing on the rules of Order, and, indeed, if I had not been misled by my hon. and gallant Friend, I would much rather I had not strayed so far from those rules of Order, to maintain which is the ultimate aim of my life in Parliament.
Leaving the question of reparations, as to which I support the Prime Minister, whose speech, I thought, was most satisfactory—I deeply deplore the delay, but we have to consider not only our own nation, but other countries had to agree, and I congratulate the Prime Minister and the Government on the pass to which they have brought matters—it is, I think, undesirable that this Vote should pass without some reference to the bearing upon the present political situation, especially as regards foreign affairs, of the League of Nations. Whenever you seize upon an Article of the Covenant, and ask a question about it, you are invariably informed, in so many words, that that particular Article is not to be taken seriously, or that that which you put forward is not an illustration of the case with which that Article is supposed to deal. For instance, if words have any meaning, I ask the Committee to consider for a moment Article 10, which says: half the year, and it used to live in Calcutta for the other half of the year. One summer when the Government returned to its offices above it was discovered that the caretakers in the office had used the public records to keep the fires going all through the winter. Something quite similar, a scrapping of a similar character, would be entailed by Article 20 if, which Heaven forbid! it were taken seriously.
Sure this is worthy of some attention. I do not think we should treat the League as though it were clarum et venerabile nomen, some Ark of the Covenant on which we are not to ask any questions. Nor should we assume that everything is going on satisfactorily in Geneva, whew I think nobody can agree even as to a pious resolution on the reduction of armaments, though they have recommended reductions of the armaments of the following nations: Armenia, Costa Rica, Esthonia, Finland, Georgia, Iceland, Latvia, Lichtenstein, Lithuania, Luxembourg, and Monaco-San Marino.
I do not think the hon. Baronet is entitled to imply responsibility to the Foreign Office in regard to the League of Nations.
I submit, Sir, and I stated when Sir Edwin Cornwall was in the Chair, that I was deliberately picking out one or two of the Articles of the League of Nations in order to get a pronouncement from my hon. Friend as to whether they are to be taken seriously, and, if so, in what sense and to what extent. I have only chosen one or two. I submit, with all respect, that the League of Nations of itself and the Covenant are quite as much in order on this Vote as is reparations, and that I am really quite as much in order as was the Prime Minister. If I am wrong, I will immediately drop the subject.
On a point of Order. Is there not a separate Vote for the League of Nations in this House? Is that Vote put from the Chair at this moment?
I think the hon. Member (Mr. Ormsby-Gore) is right. In so far as this country contributes towards the League of Nations, there is a separate Vote. I do not think criticism of the League of Nations is in order on the Vote before the Committee.
I quite accept that. I had gone rather far. I had gone so far as to point out that the League had only recommended a reduction of armaments in the case of nations which had no armaments, and that in the case of nations that had armaments they had not yet succeeded in arriving at a pious resolution that such armaments should be reduced. I leave it there. Upon the point raised by the hon. Member for Stafford (Mr. Ormsby-Gore), I submit that the fact that a discussion would be in order on another Vote does not render it out of order on this Vote. My hon. Friend's anxiety that even the most friendly criticism of the League of Nations, such as mine, should be suppressed has led him to take a rather untenable view. Perhaps I have been betrayed rather into detail. I shall, however, be, quite in order in putting this to the Under-Secretary for Foreign Affairs. Take the case of a territory which is a mandated territory alongside of a territory which is not a mandated territory. Take, for instance, British East Africa and late German East Africa, now called Tanganyika, as ours is called Kenya. It will be a very interesting experiment, and it would exercise the Foreign Office to no small degree in the case of British East Africa, to manage it directly or through the Colonial Office in the ordinary way, and in Tanganyika not to do anything without the leave of my hon. Friend (Mr. Ormsby-Gore) and the League of Nations. If the Under-Secretary can enlighten me he will help me very much, as the subject arises elsewhere, and is one which nobody seems inclined to tackle.
The financial aspect of the question is most important. I want to elicit from, my hon. Friend some explanation of the extent to which the pocket of the British taxpayer may be emptied by an oblique approach of the League of Nations of which he is in this House the spokesman. That makes him the proper person whom to approach on this subject. I understand that at present money has been spent for sanitation for Poland. That seems to be a little remote from the British taxpayer. Is it right that the League of Nations should be able to spend £50,000, which my hon. Friend has subsequently to defend upon the Estimate, though he is in no way responsible for that expenditure? If that can happen in respect of £50,000, it can happen in respect of £500,000. When I read, as I have, the Covenant and the all-embracing character of its undertakings, it is perfectly obvious, if it takes any one small part or any small fraction of its obligations, that there may be no limits to the amount of Supplementary Estimates, or of irregular payments subsequently regularised by Supplementary Estimates which will come before this House.
To what £50,000 is the hon. Baronet referring? Is it in the £112,000 to be granted to His Majesty, or is it an amount of which the Foreign Office has the spending? I am afraid I do not see how it is relevant.
I do not know that I can answer those questions; I want an answer to my query from the Undersecretary of State. I do not wish at all to take up the time of the Committee in raising matters which you may think do come within the scope of the discussion. It is my submission that the points I have raised are in Order; and I do not understand the ruling of them out. I am content, however, to leave the matter there, and only to hope that some day when the matter is more in order—though I believe it is that now—perhaps I should say more germane to the chief subject under discussion—I shall get from the hon. Gentleman more reply and explanation than I anticipate to-night, when the mind of my hon. Friend seems to be so much occupied with reparations that I do not think he is prepared to deal with the subjects which I have laid before him.
I am somewhat surprised at the hon. Baronet who has just sat down straining the rules of Order almost to breaking point to bring in his now favourite subject, namely, an attack upon the League of Nations. As a matter of fact, the hon. Gentleman who represents the Foreign Office on the Front Bench to-night has, I regret to say, very little say concerning the League of Nations, because the representative of the League of Nations in this House is the right hon. Gentleman the Lord President of the Council. He is advised, not by the Foreign Office, but by a special department of the Cabinet Secretariat. In regard to the £50,000 to which the hon. Baronet has alluded, and which we voted on a Supplementary Estimate before the close of the last financial year, I remember he was present on that occasion. Parliament was asked if they would be willing to give a grant to help to stop the advance of the typhus epidemic, and they unanimously decided to do so. The money was spent, and the Supplementary Estimate came after. It seems to me entirely out of order on an occasion of this kind to question expenditure passed unanimously by the House of Commons in the interests of the public health of the world. I say I am surprised that even the hon. Member for East Nottingham (Sir J. D. Rees) should rake it up on this occasion, and object to it. I do not propose to follow his many questions. I only wish to suggest that he should become, for half a crown per year, a member of the League of Nations Union, in which case he would be provided with full answers and adequate information month by month of what the League really is doing. Then he will not need to attempt to imagine the sort of mirage which he conjures up, or, so to speak, put up ninepins to knock down for his own edification, perhaps, but not for the edification of this House. He and the right hon. Baronet the Member for the City of London are amongst the few who object to the League of Nations, which, after all, is the one hopeful thing that came out of the Peace Treaty of Versailles.
I wish to come back to the main subject of debate this afternoon. The speech of the Prime Minister dealt mainly with two subjects, namely, the amount of reparations, including the method of collection, and the sanctions. It is on the second of these that I would like to submit one or two questions. Is the occupation of the Ruhr industrial area the only sanction which has been proposed? Is the British Government quite satisfied that this is truly a sanction and not an independent policy advocated and proposed on its own merits, as it were? Personally I believe the only sanctions which are justified are sanctions which will in fact compel Germany to come to agreement. I entirely agree with everybody who has spoken to-night and said that the Reparations Agreement is fair and just, and ought to be agreed to by Germany, and that every attempt should be made to settle this question once and for all. For that purpose I quite agree that it is essential to show to Germany that there is to be no further discussion of these figures and amounts, that this is the final settlement, and that the Allies are determined that it shall be the final settlement. That, I gathered from the Prime Minister, is the Allies determination, and they have issued an ultimatum. What I want to make quite certain of is that the sanctions are truly effective, because we had much better get this thing over.
The idea that you will have further discussions, further sanctions, further military expenditure, and further military advances before you get a final settlement is, to my mind, most unsatisfactory. We already have had the occupation of Dusseldorf and the imposition of the 50 per cent., which has brought in very little. We have had already the imposition of sanctions. If we are quite satisfied that this is the final reparations settlement then I do implore the Government to enforce sanctions which are overwhelming and which are really effective. I have at the back of my mind that the sanction of the mere military occupation of the Ruhr Valley is in some peoples' minds not a sanction with the view of making Germany agree, but merely with the view of obtaining so much coal and so much iron; that it is not truly a sanction, but an indirect way of getting reparations—and a very unsatisfactory one!
The only satisfactory way of getting reparations is to get this funded debt, to get these Bonds in some form or other yielding interest which can become payable year by year when Germany collects her revenue. Are we always going to have further and further military advance into Germany, taking first the products of this town, the customs of that town, and the revenue of this or the other area? I am quite sure that will not be satisfactory. That is why I should like to see an overwhelming display of force if you are going to use it at all. If you are, make it absolutely effective. As to these sanctions, I do hope if there are to be such—and I hope they will not be necessary—if they are necessary, I hope that it is not only the French that are going into the Ruhr Valley—because already it looks to the outside world as if it were a French plan—and the one thing one wants to prevent is the perpetuation of the sentiment, both in France and Germany, that this is, as it were, the two Kilkenny cats continuing to fight. You want to get out of that vicious circle. Therefore, in the interests of peace among the Allies as a whole, if France is going into the Ruhr Valley, we must go in, too.
There comes next the question of withdrawal. If France has the onus and responsibility of going in alone, then France will have the sole deciding voice when the withdrawal is to take place. If we go in as well we continue to have a voice in the matter. I hope that in any force that is necessary to compel Germany to agree to the reparations, it will be united Allied action, and will not be left to the sole responsibility of France. I wish to say something with regard to the proposal which was first made this afternoon by my hon. and gallant Friend the Member for Chelsea (Sir S. Hoare). Personally, I have always been shy of these separate alliances, but I do think that his proposal, in the light of the events of the last few weeks, deserves further consideration. Anybody who has read the French Press during the last three weeks must have seen perfectly clearly that in the minds of a great many of the French people there has been an idea that England and English opinion has always got to be worked up against Germany because they believe that we are always sliding away, and therefore all the appeals to sentiment to support France and all the old war atmosphere is brought back again. Very often attacks are made in the French Press on the public men of this country, and all that could be avoided by coming out into the open and having not a secret Treaty but an open frank Treaty limited to the specific purpose and laying down that in the event of actual aggression by Germany on France under the terms of Article 10 of the League of Nations we should not back out of the obligation we have entered into to come to the aid of France. In that way we might gain enormously.
We have been asked in recent Debates on the coal stoppage to consider the psychology of the miners. I think we have got to consider the psychology of France. It is no use throwing over the Entente with France if as a result we are again plunged into war. I firmly believe that the Entente with France is really necessary to preserve the peace with Europe, and it is absolutely necessary that all who are working for peace must maintain that, and must ensure that France and Belgium are not again attacked by Germany and that there is no way of revenge possible by Germany. I am quite sure that that must be done, and would it not be better, taking into consideration the psychology of France, if we were prepared once more to consider whether it would not be more in the interests of peace to have a purely limited defensive alliance. I believe it would. Personally, for the same reason, I am in favour of continuing in a modified form in consonance with the League of Nations the Anglo-Japanese Alliance, which is limited to a definite purpose, I believe that makes for the peace of Asia and the Pacific; and on this point I agree with the Australian and New Zealand point of view that it does make for peace.
Similarly, if there is a moral alliance between this country and Prance, I am sure public opinion here would not stand idle and see France overrun. I am certain that whatever Government is in power, even if it were an extreme Labour Government, if the German hordes arrived at Calais or Boulogne, or along the opposite shores of the English Channel, it would not be able to resist the popular opinion of this country, because they would be unwilling to see an aggressive Germany taking possession of the Channel ports. I think it is well worthy of consideration whether it would not be better to have for a limited number of years a perfectly open treaty in the nature of a defensive alliance with France in order that there should not be this perpetual suggestion in the Press of this country, and in the Press of France, that we are always wrangling over this matter, and suggesting that secret diplomacy is necessary, together with suggestions of perfidious Albion, and all the rest of it. I think this suggestion is well worthy of consideration. I say that from the point of view of one who really does believe that the League of Nations in time can be made effective, and will be able to supersede to a considerable extent—
Is my hon. Friend quite in order in referring to the League of Nations?
The hon. Gentleman may be following the vices of his predecessor, but I think some allusion to the League of Nations is not altogether out of order.
I want to urge that the Committee should not give the Government this Vote to-night. I hope that this is not going to be the last discussion in this Committee on foreign affairs, because there are a good many other subjects which it is very important that we should discuss, and I have long looked forward for an opportunity to move a reduction of the salary of the Secretary of State upon the question of a general management of foreign affairs. It is impossible to raise that question on a Debate upon reparations, and in view of the critical situation, if I were to move a reduction it would look as if the nation was not solid, and as if there were a division in our ranks, and I am sure there is not on this question. Therefore I think it most important that this Vote should be carried over, in order that we may discuss certain other topics of foreign affairs.
I urge that more attention should be given by the Committee to some of the equally important questions which are bound to come up in the near future. I notice that the Canadian House of Representatives and the Australian Chamber have had discussions on the renewal of the Anglo-Japanese Alliance, and I do not think that in this House we ought to lag behind Canada and Australia upon this question. It is most essential that the whole of the questions connected with the Pacific should be properly discussed. There is the question of our policy in China, in the Pacific Islands, and the Anglo-Japanese Alliance. We want far more information from the Foreign Office than they have given us. We are slipping back more and more into the old ways when the Foreign Office used to be regarded purely as the preserves of the officials. It is absolutely essential that without much longer delay—for we have been asked to put off question after question—we should come to grips with the question of Egypt. We must ascertain what the Government are going to do there in view of the changed situation and of the divisions of opinion now existing. We want a declaration as to what the Government are proposing to do and when the matter is going to be settled. The Foreign Office puts off all these questions. Since the Armistice we have suffered too much from delay in dealing with foreign affairs. There have been rumours regarding a possible attempt by Serbia on Bulgaria—
Following our example.
We do not want another Bulgarian war. Bulgarian wars have too often proved in the past the precursors of big wars. Differences have arisen between Greece and Turkey in Asia Minor. We want to know something about Greek policy. These questions are of vital importance. This country is passing through a period of industrial depression. It depends for its salvation and the restoration of its prosperity on a sane, clear foreign policy. Unless our foreign policy is right, you are never going to get industrial prosperity back in this country. Foreign policy is of vital importance to us. We have had questions put about Mexico. We can get no reply. Yet there is a country with great trade potentialities. To my mind the Foreign Office is inept, because some foreign affairs are dealt with by the Foreign Minister, others by the Prime Minister, others by the Lord President of the Council, and others by the Colonial Secretary, and there is no effective co-ordination for dealing with these subjects. More and more is being taken from the Foreign Office and handed over to other Departments, and the result is that the foreign affairs of this country are not being conducted in the way they should be. Therefore I hope we shall have an opportunity of carrying on this Debate on another day. I am sure, at the same time, that the Committee wish to be unanimous in supporting the Government in their determination to secure the reparation decided upon from Germany, and to get effective sanctions.
10.0 P.M.
I am tempted to wander into many of the points raised in the course of the Debate to-night, but I have risen for the purpose of concentrating myself and, if I can, the attention of the Committee on a broad point which is not quite closely associated with the main discussion of the evening. My hon. and gallant Friend who has just sat down has begged us to insist on another day for the discussion of this Vote, and I most strongly support the view he has expressed. If some stranger came into the House this evening and saw its present condition, and was informed that the subject before the Committee was the whole foreign policy, at the most critical moment, of this vast Empire, and if he noticed that there were only about 20 Members present to discuss it, I think he would wonder how the British Empire got along. I can imagine nothing which is a greater reproach to our present Parliamentary system in this House than the fact that this great question of our world-wide Empire and world-wide foreign policy should bring together a far smaller audience than would be present if a mere personal question arose between two Irish Members. Therefore, I do appeal to my hon. Friend who represents the Foreign Office this evening, and I appeal also to the Secretary of State for War, to arrange for another day's discussion on this Vote. Now I come to the topic which I rose to bring before the Committee. I dare say it will be a surprise to hon. Members present to know that we are the only Legislature in the world which has not a body of Committees or Commissions to keep us in touch with our Departments, and especially with our Foreign Office. Even in the days of the worst form of Prussian autocracy there was in the Reichstag of Germany a Committee of Foreign Affairs. France has had a Committee of Foreign Affairs—they call it a Commission there—both in the Senate and in the Chamber of Deputies for years. In the United States of America the Senate has almost co-equal powers with the President for the discussion and decision of foreign affairs. Italy for a long time held out against the appointment of these Commissions of control of public departments, and especially of the Foreign Office, but Signer Giolitti, who is more alive than almost any Prime Minister to public opinion, recently found it necessary to yield to the Parliament of Italy and to appoint Commissions there for the purpose of holding communication with public departments, and especially with the Foreign Office. I put it strongly to this House that we should insist on having in this Parliament of ours the same system of Parliamentary Committee in connection with public Departments as exists in every other Legislature in the world.
Why do I say that? I am speaking in connection with the Foreign Office Vote. I know there is no Committee which would be more opposed than a Committee in connection with the Foreign Office, which is regarded as the sacrosanct tabernacle of the bureaucracy, into which the private Member of the House of Commons must never enter. We fought in the late War against the decision of great questions, and especially against the decision of the greatest question of all, namely, peace or war, by an autocrat. I have always said that if a plebiscite could have been tried in Germany the majority of the German people would have voted against the War. But the difficulty was that the question of peace or war was not left to the German people; it was kept in the hands of the Kaiser and the militarist gang by which he was surrounded. The point which I think we in the House of Commons always ignore is that, if you leave the decision of peace or war to an individual, it does not matter whether that individual is called a Kaiser or a Minister of Foreign Affairs—it is an individual in either case. All this talk against secret diplomacy, and the other things that have come out of this War, is mere nonsense as long as you leave to the Foreign Office of this or any other country the decision of the question of peace or war.
I am in agreement with my right hon. Friend (Sir F. Banbury) in what, I think, is the fundamental position with him, and with me also. I will put it in a way in which he would not put it, because he is a business man, and I am a journalist. I do like things to be talked over. I think that, if people will discuss things out long enough, they will find that their differences are much less than they thought, and the result will be some common compromise. That is the reason, I presume, why my right hon. Friend so frequently impedes the progress of legislation without due consideration, but to that extent, curious though it may be, my right hon. Friend and myself are in absolute agreement. Let me apply that to the present situation. If we have an opportunity of discussing matters internationally, I am perfectly sure that we should be much more likely to get to a reasonable sentiment than if we left it to a single individual, or even an individual surrounded by the ablest and most efficient bureaucracy. Let me examine how some modern wars have come about. How did the previous Franco-German War arise? Of course there were causes like the stupid racial hatred between France and Germany, but, while there were many sections of French opinion that were in favour of the war, there were many sections—I think the majority—of the French people who were against such a war. I am not sure that the poor old, tortured and invalid French Emperor was not against the war. I have seen lately that the Empress Eugenie always denied that she was in favour of war. But in the Memoirs of M. Ollivier, who was the Prime Minister of France at that time, he attributes the break-out of the war largely to the fact that a Council was held at St. Cloud in his absence, and that he did not know of the declaration of war until he learned it the next day; and some writer of a later period declares that the Franco-German War of 1870 arose from the fact that the telephone did not exist in those days, and that the Prime Minister, perhaps, had not the opportunity of being consulted.
Then, take the case of the War that has recently broken out. I have heard from a very high authority that, when the Austrian ultimatum to Serbia was presented to the German Emperor for the first time, he was a little embarrassed with apprehension. That was before his luncheon. He took his luncheon—and luncheons in Germany, as we know, are somewhat bounteous—and I understand that his point of view after luncheon was quite different from what it was before, and that one of the results was that he gave a rather cordial sanction to that ultimatum to Serbia, at which he had given a very apprehensive glance before luncheon. It was the ultimatum to Serbia that dragged Europe into these horrible four or five years of war. Nearly all wars in the history of mankind will be found to have been the result of the stupidity or the ambition of some particular individual who happened at the moment to be at the pivot of world affairs. It is vain for us to hope for the termination of war if we allow individuals, either in our country or in any other, to have the decision of the great question of peace or war.
How does that apply to my proposition? In the French Chamber they have a series of what are called commissions. All the great departments of State— War, Munitions, the Foreign Office, and the rest—each of these departments has a commission of, I think, 25 members. These commissions are formed by proportional representation, and in the fairest and most equitable manner. I have seen, Mr. Hope, a commission in which men of your own ardent religious faith sat side by side with the most ardent freethinkers, and they were on the best of terms one with the other. These commissions have the right of summoning the Minister and of asking for papers, and they have the duty of being in constant consultation. The result is that every single act of the Foreign Office, as well as of other departments, before it is finally taken, has to be submitted to the consultation, and to a large extent the direction, of its particular commission. That has two consequences. The first is that there is control of the Foreign Minister, which I think is as necessary in the case of an individual whether you call him a Foreign Minister or whether you call him a Kaiser. The second result—and this I press very strongly upon the attention of the Committee—is that every member of the Chamber of Deputies or of the Senate has his due share in the conduct of the business of the country.
I was a member—I was even a vice-president—of what we called the Inter-Allied Parliamentary Committee during the War. We went over to meet a committee of the French Parliament and a committee of the Italian Parliament. I hope it did some good, but, so far as the British members were concerned, the only way in which we could do good was by wining and dining with our colleagues of the French Parliament. What was the position of the French members of our committee? There was the rapporteur, as he was called, from the Munitions Commission, from the Foreign Commission, from the Admiralty Commission; and these members knew nearly as much of what was being done by their great public departments as the heads of those departments themselves, and we poor Britishers sat there silent and abashed.
Not abashed.
My right hon. Friend was not there, and he has a harder self-confidence than any of us more modest Irish Members. We sat there abashed, because they knew everything of what their Government was doing and we knew nothing. It was an experience that showed the defect of our system as compared with the system in France. The rapporteur of the Munitions Commission was there. He informed the Committee that every morning on his desk there was a return showing the number of rifles, the number of shells, the number of cartridges that were issued by the munitions establishments of the country. There was the rapporteur of the Foreign Affairs Commission, who told us of the different notes that had been passed between the Foreign Office of France and the Foreign Offices of other countries. Of every Department of Parliamentary life these rapporteurs knew as much as the Minister who was the head of the Department, and we came there knowing absolutely nothing. That is humiliating. But it has another effect. There is nothing that I regard as a more serious defect of our present Parliamentary system than the waste of time and still more the waste of intelligence there is in this House. In my 40 years' experience of this House I have known all sorts and conditions of men, and one of my experiences that I should like to leave to those who study our Parliamentary institutions after I have passed away is the amount of obscure and unused talent there has been in every House of Commons I have ever been in. I have made the acquaintance of their personalities and minds rather in the smoking room or the dining room than on the Floor of the House. I have known men who had vast experience of many parts of the world, who had been great Viceroys or great public servants, and who had never addressed the House of Commons, and whose names were absolutely unknown either to the newspaper reports or to the Members of the House of Commons. I had a friend, no longer, I am sorry to say, a Member of the House, who was Chairman of the Education Council of the great County of Lancashire. He was not of my way of thinking. He was. a strong, convinced Conservative. I asked him one day in the smoke-room, where he had spent most of his time in the House, and he said, "In this seat," where he was smoking a strong briar-wood pipe. That man's enormous experience and immense ability were absolutely going to waste in this House of Commons. Make him a member of a Commission connected with the Foreign Office and you could have had all the benefit of his great intelligence and knowledge.
I want real democratic control in this House. Democratic control will never come to be a reality in this House until its Members get a larger share of the administration of the country. We are talking all the time of the greater control that the Executive gets over the House of Commons. What is the use of making these whining complaints of the omnipotence and usurpation of the Executive, when we do not assert our rights as Members of the House of Commons, as representatives of the people, to take a proper share in the Government? That cannot be dome by public discussion in this House. This evening we have had a discussion. What does it all come to? We have only touched the fringe of the great subjects that are present before our minds. Practically we have only discussed one subject, namely, reparation. An allusion has been made to the suggestion of a defensive alliance between this country and France. I am tempted to fro into that subject but I resist it because a discussion of that subject would lead me to that theme with which all discussions end with me, namely, the Irish question
Ireland is not a foreign country yet.
The right hon. Baronet says that Ireland is not a foreign country, but I can tell him that it has a great deal to do with the foreign relations of this country. When allusion was made by the hon. and gallant Member (Sir S. Hoare) to an alliance between France and this country he referred, as did other hon. Members, to the difficulty of that alliance which has been produced by the fact that America has stood aside. I would point out that there was a moment in the history of President Wilson's régime when he was ready to enter into a defensive alliance between France, England, and America. That opportunity was allowed to pass. That proposal of the President became impossible, and one of the reasons was because our treatment of Ireland made it impossible for the American President to make any alliance with England for that or any other purpose. I have allowed myself to be drawn away from my subject, and all I would say further on the point is that when my right hon. Friend and others are discussing the question of Ireland, they should remember the effect of the Irish question on our relations overseas. Finally, I maintain that we shall have no control over the foreign policy of this country which is in any sense of the word democratic until we have in this Parliament, as there is in every other Parliament in the world, a Committee, carefully chosen and proportionately representative of all parties of the House, which shall have the right to see documents, to hear the declarations of the Foreign Secretary, and to submit their views and judgment to the people and Parliament of this country.
I apologise to the Committee for diverting its attention to an entirely different subject, which I have very much at heart, and that is the failure of the Foreign Office to give proper recognition to the Republic of Mexico. The policy of non-recognition is unreasonable, and is injurious to British interests. I have bothered my hon. Friend with many questions on this subject. Perhaps it will not be out of place to refer to an answer which he gave me on the 1st of March. The question was as to the reasons which prompted the Government to give recognition to this Government. The reply was that His Majesty's Government are, and have been, prepared to recognise the Government of Mexico as soon as they are convinced of its stability, and they are not aware that such a policy is prejudicial to British interests. In that lies really the kernal of the question—the stability of the Mexican Government. In this matter I have a certain amount of personal experience. For some time I had the honour of being well acquainted with Mexico, and its people, as well as with many other Spanish-American States, and it is a fact generally accepted by all those who are acquainted with those peoples that foreign recognition of a Government is essential for the stability of the Government.
Those Governments are Republican in form. They rely very largely upon the personality of their Presidents. Whether he be popularly elected or be a general who has risen to such a state of power that he can assume the Government, or from whatever other cause the personality of the President is a very important factor in the stability of Spanish-American Republics. We may not care for that particular form of Government, but that is no business of ours. A Government such as that has been chosen by the the people for reasons best known to themselves, and so long as they wish to have a Government of that kind they are entitled to it. The only point with which we as a country are concerned is to see that such a Government does not prejudice British interests in the country where it holds sway. It is well known to people interested in those countries that if foreign recognition is withheld from one of those Governments, it tends to make it weak and unstable. A man has risen to power by the means which I have described, but unless he is supported, once he gets into power, by foreign recognition, his many rivals—and there are a great many of them in those republics—turn upon him and say, "You are no better than we ourselves. We will turn you out of office." But a Government that has the recognition of foreign Powers carries with it also the respect of the citizens of that country. They feel that, having been recognised by England, France, or any other Powers, that Government is in the sight of the world a duly and properly accredited Government, and they hesitate before they attack it and turn it out of office or embark on what are very often miscalled revolutions.
For some time the Mexican Government was in an unstable position. It is now I think in a much more satisfactory and stable state than it was, but the fact that it has been unstable is due largely, for the reasons which I have given, to the stand-offishness of our own Foreign Office. I know my hon. Friend will excuse me if I use rather strong expressions about a matter on which I feel so strongly. It is a vicious circle. The Government say, "We will not recognise the Government of Mexico until it is stable." The Government of Mexico stands no chance of becoming stable until it gets foreign recognition. It is for us to take the first step. If we recognise the present Government of Mexico it will very soon stabilise itself, and from the reports which I have had—I have gone very carefully into the subject—the present Government of Mexico will very soon prove to be a most admirable Government and will do credit to the country. I do not know whence my hon. Friend gets his information as to the state of affairs in Mexico, but I think I may take it that he gets it partly from those who have interests in the country and partly from the gentleman who is now acting in the capacity of what is known as Chargé des Archives. I am sure that on many occasions representations have been made by those interested in Mexico, by those who have financial interests there and those who know the country well, urging the Foreign Office to recognise the Government of Mexico. I am also informed, whether correctly or not I do not know, that this gentleman who is Chargé des Archives at the British Legation, has been inclined to report that conditions in Mexico are not satisfactory. I am a little puzzeled to know exactly what a Chargé des Archives is. I looked at the Foreign Office list to see exactly what he was. I find that the Foreign Office list denominates him a Chargé d'Affaires. My hon. Friend the Under-Secretary seemed to think the other day, when he replied to me, that there were several Chargés des Archives in the Diplomatic Service. I asked, was this gentleman only Chargé des Archives. He replied, "No, I do not think that is so." I do not know what he really is, but I do know that this gentleman is not the fully accredited representative of this country in Mexico, and that he is not recognised by the Mexican Government. I have little doubt, in fact I am certain, that the reports he makes he makes to the best of his ability and knowledge. But I would tell the Committee one thing to prove that his reports are not always very well founded.
I understand that while General Carranza was still President of Mexico there had been considerable pressure, by British interests desirous of getting the Republic of Mexico properly recognised, brought to bear on the British Government, that that pressure had been so successful that the Noble Lord who was then the Undersecretary for Foreign Affairs had been persuaded of the justice of the views expressed, and measures were actually being taken to put in form the recognition of the Mexican Government. I believe a letter patent was actually on its way to Mexico. Before that letter arrived I understand that a report reached the Foreign Office from the gentleman to whom I have referred stating that the Mexican Government could not possibly last. The Noble Lord was not unnaturally put in a very difficult position, for he said to himself, "What is the good of recognising a Government which is going to fall immediately?" What were the facts of the case? That Government did not fall instantly. For two and a half years it continued in power, and during that time British interests remained unrepresented in Mexico City. I believe the Foreign Office does not always behave—if I may say so with great deference—with much tact towards the Mexicans, and I am going so far as to quote an instance. I have no doubt my hon. Friend will correct me if I am wrong, and I should be obliged if he would give me his attention.
In July, 1920, after the Carranza Government had fallen, a duly accredited representative was sent over to this country from the Mexican Government. He was empowered, I am assured, to treat with His Majesty's Government upon outstanding questions between this country and Mexico, and notably upon the question of honouring the obligations of Mexico to bondholders in this country. This gentleman called at the Foreign Office and made himself known there, and thought he had opened negotiations. After the first interview nothing happened. He went to his hotel in London and waited, and continued to wait, and after he had waited for a fortnight, during which time no attention whatever was paid to him, he decided he was merely wasting time in this country, and thought Tie had better go. I may mention that this gentleman stood particularly well with this country. He had been a strong pro-Ally during the War, and so great had his services to this country been, that he was the recipient of a distinguished honour. Yet no attention had been paid to him after a fortnight's waiting—his official call was not even returned—and accordingly he decided to proceed to France, to which country he was also accredited. It was only on the eve of his departure that his call was returned.
Those who have any knowledge of the mentality of Spanish-Americans will realise how tactless was such an act of discourtesy—as I venture to term it. I am given to understand this gentleman went away deeply mortified at the treatment he had received. He had arrived in this country with the impression that it was the greatest and most friendly country in the world, but he went away with a very different opinion. I grant that the question of returning a call is a small matter, but small matters have a very important part in the diplomatic world. It is not so much the returning of the call, it is the significance of it and the fact that a man who comes here duly accredited by his country should be treated with a certain amount of courtesy and civility.
When I questioned my hon. Friend as to whether the delay in the recognition of Mexico was not causing prejudice to British interests, he replied that His Majesty's Government were not aware that such a policy was prejudicial to British interests. I venture to join issue with him on that point. I respectfully submit he is entirely mistaken, and I believe I am stating a fact when I say that 90 per cent. of those who have interests in Mexico in any shape or form hold that the policy of the Foreign Office in declining to recognise Mexico is doing deadly harm to British interests in that country. It stands to reason. How can we expect the Mexican Government to honour her obligations to us, to enter into an arrangement to pay off any obligations which she has contracted, unless we give her the ordinary status of a recognised Government? How can we expect, furthermore, that our manufacturers and traders will be able to do business in a country where we have not got a properly accredited representative? I am assured that, as far as that is concerned, the delay in the recognition of the Mexican Government is indeed prejudicial to British interests.
I do not pretend to know—I have no means of knowing—what are the reasons that actuate my hon. Friend. It has been suggested that in this matter the British Government should not act before the American Government has acted. It has been suggested that the American Government would view with disfavour what they might term the premature recognition of the Mexican Government by ourselves. I do not believe the American Government holds any such opinion at all. I may be wrong, but from the information that I have, it would be a matter of no concern at all to them if this country recognised the Mexican Government. They have their own questions, which are in no way connected with us. Whether they recognise this Government of Mexico or not will depend entirely upon their policy, upon their point of view as regards Mexico, and will, as I understand it, in no way depend upon us. Therefore I urge that the hon. Gentleman shall consider—I know he is most patient and considerate on all these matters—but I would urge that he should give even greater consideration to this question than he has done in the past, and I would suggest that he should call together representatives from the City of London of those who have interests in Mexico, that he should hear their views, that he should ask them to put their views, if he pleases, upon paper, but that, in doing so, he should assure them that he will consider the question with an open mind and with a view to serving, to the best ability of the Foreign Office, the British interests in Mexico, which is at least one of the functions of the Foreign Office.
I wish there had been more time at the end of this long Debate to deal with the miscellaneous questions that have formed the subject of discussion this evening.
There are many more.
Doubtless there are many other topics that might be raised, but whether an opportunity will occur for a further discussion on the Foreign Office Vote is a matter, I think, for arrangement, and not one on which I am competent to make any definite statement. I should like to be permitted, in the few minutes that have been left to me, to devote a few remarks to the very interesting question raised by my hon. Friend the Member for the Scotland Division. (Mr. O'Connor). It is a question which, as I know, he has had long at heart, and it is one that, whatever side one may take in regard to it, must engage the interest of hon. Members. My hon. Friend has described to us the system that obtains in the French Chamber, where they have a Com- mittee on Foreign Affairs, and the same system obtains also, in a more modified form, in the United States of America. There is, at the first glance, something very attractive in a proposal of that kind. But I am myself a little doubtful whether this House, even if the system were proposed to be established by the Government of the day, would accept it. This House, in my experience, is very jealous of the delegation of its powers and privileges to small groups chosen from its number, and without for a moment going into the merits of this question, because I am not charged with any Ministerial statement on the subject this evening, I very much doubt whether the House of Commons would feel any more satisfied than it does at present with regard to the conduct of foreign affairs, if, say, 44 of its numbers, even though chosen by a process of proportional representation, were entrusted with special confidences in regard to foreign affairs. I very much doubt it myself. I see nothing in my experience of the House to lead me to suppose that the other 660 Members of this House would be in the least gratified if 44 of their number were treated with a special privilege by the Government of the day in regard to questions of foreign affairs.
There is this consideration, and my hon. Friend adverted to it at the very outset of his speech. He said, what a remarkable thing it is; what a commentary it is on this House, charged as it is with ultimate responsibility for the Government of a great Empire with vast foreign interests, that we discuss these matters at the latter end of the day, in a House with not more than 20 Members present. Surely part of the remedy for the present situation with regard to foreign affairs rests with the Members of this House themselves. If they would exhibit in regard to foreign affairs the same interest that a few Members do, I venture to think there would be very little need, even if you grant the premise, for constituting a Committee of foreign affairs. There are some Members of this House who devote a great deal of their time to foreign affairs, and who acquire an almost complete knowledge, in my experience, of the questions of the day, without any access at all to those secret sources of information which are at the disposal of the Foreign Office, and which so often mean very little indeed.
We get no knowledge on Foreign Office policy.
In my experience, anyone who chooses to follow the trend of foreign affairs from Questions and Debates in both Houses of Parliament, and from the information in the Press, can get to know almost everything there is to be known about foreign affairs. If a larger number of Members of this House devoted more of their time, much preoccupied as most Members of Parliament are, of course, they could exercise an almost indefinite influence on the course of foreign policy. As I say, I have not been entrusted with any Ministerial statement on this interesting subject, and I must, so far as this evening is concerned, leave it at that.
I should say that another difficulty in regard to the conduct of foreign affairs in these Debates is the fact that so many hon. Members—this evening does not show it as plainly as other evenings—raise questions on Foreign Office Debates, but find that their social engagements or other preoccupations render it impossible for them to remain in the House to hear any reply to the points raised. I had some quite useful remarks to make on the Question of Upper Silesia, although I very nearly exhausted that topic last night, but my hon. Friend who raised that question appears to be no longer in the Committee.
Please go on, I am here.
My hon. and gallant Friend is not yet the only Member of the House of Commons.
I also raised the question of Upper Silesia.
Only incidentally. Let me take the hon. Baronet the Member for East Nottingham (Sir J. D. Rees), who managed to be exceedingly amusing on a subject which appeared also to be totally out of order.
May I ask my hon. Friend whether he does or does not reply in this House to questions dealing with the League of Nations? If so, how can it be out of order to ask him to deal with questions in regard to a matter for which he is the spokesman here?
Until recently I occasionally replied to questions relating to the League of Nations, but I am not now in that position. My hon. Friend (Sir J. D. Rees.) asked for an interpretation of many passages of the Covenant of the League of Nations. He was very fully answered by my hon. Friend (Mr. Ormsby-Gore), who recommended him to become a member of the League of Nations Union. I would go a little further than that, and say that if the hon. Gentleman should find any difficulty in the matter of a subscription I will look after that for him.
I was a member and resigned.
I believe the rules of the union permit a member who has resigned to rejoin, on the understanding that he takes an interest in the proceedings of the union.
On the question of Russian refugees, a topic that my hon. Friend raised, and which he frequently raises, I have explained to the House before on several occasions that we undertook an honourable obligation in regard to a number of the forces of General Denikin. I have never disguised my regret that that obligation was undertaken. It is a very costly obligation, and it is quite likely that I may have to come to the Committee again for money in connection with these Russian refugees. We have undertaken this obligation, however, and must fully discharge it. We are now in negotiation with the Soviet Government with a view to the return of these refugees to their native country. The question of Mexico has been raised. There can be no question that it would be an advantage, not only for Mexico but for this country, if recognition could be afforded. I must not enter into any elaborate discussion on this question, because I can scarcely do so without causing, perhaps—certainly inadvertently—misunderstanding. It is easy to be outspoken about our own affairs, and for hon. Members to be more outspoken about the affairs of other countries than I can be. I can only say this, that, speaking for myself, I ardently desire that the time may come when recognition can be afforded.
Are you taking any steps?
It is not so much a question of our taking steps. I am not sure whether hon. Members really appreciate the point, and I do not want to enter into any controversy, but I can only say that I regret that the reports that reach us as to the lack of security and of stability which still exists in Mexico have rendered it impossible for His Majesty's Government to comply wth the suggestion of recognition. There need be no doubt in the minds of the Committee that, as soon as recognition can be granted, it will be granted by the Government, for it is recognised on all hands, and nowhere more clearly than at the Foreign Office, that it is a disadvantage, not only to Mexico but to the commercial and other interests of this country, that our relations with Mexico cannot be more regular and cordial than they are at the present time. I should add that I think the hon. and gallant Gentleman is mistaken in suggesting that the gentleman to whom he referred met with anything like discourtesy at the Foreign Office. There is only one other point which was raised by the hon. Member for Stafford (Mr. Ormsby-Gore). He said that Egypt was one of those matters that the Foreign Office is always putting off. I admire immensely the exuberance of my hon. Friend's style, which, I think, sometimes carries him beyond the borders of absolute fairness. If he were familiar with all that has taken place in the last few weeks—and I can scarcely suppose be is—I am confident that he would not say that the delays were due to the procrastination of the Foreign Office. I much regret that I have no more time now to discuss general questions of foreign policy.
Might I ask whether we can have it made perfectly clear that the Polish Government are going to insist upon their policy?
I do not know that I have time to answer that question, but my hon. and gallant Friend will see that this has only taken place on the 2nd of this month, and it is not customary for the Government—
It being Eleven of the Clock, the Chairman left the Chair to make his Report to the House.
Committee report Progress; to sit again upon Monday, 9th May.
Mr. Speaker's Retirement Bill
Read a Second time, and committed to a Committee of the Whole House for Monday, 9th May.—[ Colonel Leslie Wilson. ]
Housing [Grants]
Resolution reported,
"That, for the purpose of any Act of the present Session to amend the Law relating to housing of the people, and for purposes in connection therewith, it is expedient to authorise the payment out of moneys provided by Parliament of grants under Section one of the Housing (Additional Powers) Act, 1919, in respect of houses completed within two years and six months of the passing of that Act, or such further period, not exceeding four months, as the Minister of Health may in any special case allow."
Motion made, and Question proposed, "That this House doth agree with the Committee in the said Resolution."
I wish to draw the attention of those hon. Members who have expressed themselves so much in favour of economy to the fact that every Resolution for money for a Bill is now regarded as a matter to be taken after Eleven o'clock, when no proper Debate is possible. Our Standing Orders have been so amended that the Report stage can be taken despite the Eleven o'clock Rule. I consider that this is a matter which should be kept before the notice of hon. Members, and if they really feel what they constantly profess, that is, a desire to retain Parliamentary control, I hope they will join with me in the protest I now make.
Question put, and agreed to.
The remaining Orders were read, and postponed.
Adjournment
Resolved, "That this House do now adjourn."—[ Colonel Leslie Wilson. ]
Adjourned accordingly at Five Minutes after Eleven o'clock.