(c) crown copyright Catalogue Reference:CAB/23/82 Image Reference:0001 IS p n n T ^ W T j T R ^ J H E PROPERTY OP HIS BRITANNIC MAJESTY S GOVERNMENT r Wb R E T. - COPY NO CAB $ . 35 (35.). I N E T Meeting of the Cabinet to be held at No. 10, Downing Street, S.W.1. , on WEDNESDAY, 19th JUNE, 1935, at 11,0 a.in. A G E N D A. - (if required). 1. FOREIGN AFFAIRS 2. ANGLO-GERMAN NAVAL DISCUSSIONS, (Reference Cabinet 32 (35) Conclusion 2 ) . Note by the Secretary of State for Foreign Affairs, covering Report by the British Representatives. Co P. 119 (35) - already circulated. 3. THE GENERAL PURPOSES COMMITTED. (Reference Cabinet 32 (35; Conclusion 3 ) . 4. CEYLON: PURCHASE OF TEAR GH.S APPARATUS BY GOVERNMENT. (Reference Cabinet 16 (35) Conclusion 2 ) . Memorandum by the Secretary of State for the Colonies C P . 117 (55) - already circulated. s 5. EMPLOYMENT OF WOMEN AND YOUNG PERSONS ON THE TaTO-SHIFT SYSTEM- Memorandum by the Home Secretary, C P . 120 (35) - already circulated. 6 - ASSURANCE COMPANIES OF DOUBTFUL SOLVENCY. : Memorandum by the President of the Board of Trade. C P . 115 (35) - already circulated. (Signed) M.P.A. HANKEY, i Secretary to the Cabinet. 2, Whitehall Gardens, 3.W.I., 17th June, 1935, 'HIS DOCUMENT IS THE PROPERTY OF HIS BRITANNIC MAJESTY'S GOVERNMENT), i E C R B T. COPY NO. C A B I N E T 33 ( 5 5 ) . CONCLUSIONS o f a M e e t i n g of t h e C a b i n e t h e l d a t 1 0 , Downing S t r e e t , S . W . 1 . , on WEDNESDAY, 19th JUNE, 1935, a t 11.0 a.m. PRESENT: The R i g h t Hon. S t a n l e y B a l d w i n , M.P. , ( i n the C h a i r ) . Prime M i n i s t e r . The R i g h t Hon. J . Ramsay MacDonald, M . P . , L o r d p r e s i d e n t o f the C o u n c i l . The R i g h t Hon. N e v i l l e Chamherlain, M.P., C h a n c e l l o r o f the Exchequer. The R i g h t Hon. The V i s c o u n t H a i l s h a m , Lord C h a n c e l l o r . The R i g h t Hon. S i r John Simon, G . C . S . I . , K . C V . 0. , 0 . B . E . , K . C , M.P. , S e c r e t a r y o f S t a t e f o r Home Affairs. The R i g h t Hon. S i r Samuel H o a r e , B t . , C C S . I . , G . B . E . , C.M.G. , M . P . , S e c r e t a r y of S t a t e f o r F o r e i g n A f f a i r s . The Most Hon. The Marquess o f L o n d o n d e r r y , K. G. , M.V. 0. , L o r d P r i v y Seal. The R i g h t Hon. The V i s c o u n t H a l i f a x , K . C , C C S . I . , G.C.I.E. , Secretary o f S t a t e f o r War. The R i g h t Hon. J . H . Thomas, M . P . , Secretary of State for Affairs, The R i g h t Hon. Sir Philip Cunliffe-Lister,G.B.3., M. C. , M . P . , S e c r e t a r y o f S t a t e for Air. The Most Hon. The Marquess o f Z e t l a n d , G . C S . I G . C . I . E . , Secretary of State for India. The R i g h t Hon. Malcolm MacDonald, M . P . , S e c r e t a r y o f S t a t e f o r the The R i g h t Hon. W a l t e r Runciman, M.P. , P r e s i d e n t o f the Board o f Colonies. Dominion Trade The R i g h t Hon. S i r Bolton Eyres M o n s e l l , G.B.E., M . P . , F i r s t L o r d o f the A d m i r a l t y . The R i g h t Hon. Anthony Eden, M . C . , M . P . , M i n i s t e r f o r League o f N a t i o n s Affairs. The R i g h t Hon. L o r d Eustace P e r c y , Minister without P o r t f o l i o . The R i g h t Hon. Walter E l l i o t , M.C., M.P., M i n i s t e r e f A g r i c u l t u r e and Fisheries. The R i g h t Hon. O l i v e r Stanley, M.C., M.P., P r e s i d e n t o f t h e Board o f E d u c a t i o n . The R i g h t Hon. S i r K i n g s l e y Wood, M . P . , M i n i s t e r of Health. The R i g h t Hon. E r n e s t Brown, M . C . , -^Minister of Laoour. The R i g h t Hon. W. Ormsoy-Gore, M . P . , F i r s t Commissioner o f Works. jplonel S i r M.P.A. M.P., Hankey, G . C . 3 . , G . C . M . G . , G.C.V.C, Secretary. -THE OA ?IN?". 1 1. t o the i The P r i m e M i n i s t e r v e l o o w e d a l l Cabinet. ne^ colleagu.es TFE NAVAL CONFFRENCF, 1 9 3 5 . A n g l o-G erma n Agreement . Proposed V i s i t to P a r i s by Minister for League of Nations A f f a i r s . (Previous Reference: C a b i n e t 32 ( 3 5 ) , Con­ elusion 2 .) 2 . The S e c r e t a r y made a s t a t e m e n t of State for t o the Cabinet Foreign Affairs on t h e s u b j e c t t h e exchange of Notes b e t w e e n F i s M a j e s t y ' s of Government i n t h e U n i t e d Kingdom and t h e German Government regarding the l i m i t a t i o n (Cmd. 4 9 3 0 ) . based of naval Fe p o i n t e d out t h a t on t h e p r o c e e d i n g s t h e Agreement was of the l a t e Cabinet t h e Committee o f M i n i s t e r s at t h e M e e t i n g Fe and t h e F i r s t . L o r d o f important and of t o whom t h e q u e s t i o n had b e e n r e f e r r e d by t h e C a b i n e t i n the margin. armaments the Admiralty had ^bought it which would e n a b l e us t o c o n t r o l German programmes o f n a v a l armaments, tive to mentioned instead c o n c l u d e an Agreement of the probable alterna­ o f an Anglo-German c o m p e t i t i o n i n n a v a l ments. I n r e c e n t y e a r s many o p p o r t u n i t i e s achieving seizing disarmament had been l o s t t h e f a v o u r a b l e moment. t o t h e two M i n i s t e r s that the present German s i g n a t u r e I t had been opportunity c r i t i c i s m r a t h e r than o f outraged Pie proposed t h a t t h e M i n i s t e r should proceed t o meet M. L a v a l and t o a statement possible o f France and and t h e French Government for on F r i d a y Staff of next t o Lord o f t h e A d m i r a l t y """he unsatisfactory. league explain a l l from t h e N a v a l p o i n t as one o f surprise, o^ o t h e r Powers had been not The F i r s t the "verything had s e n t a N o t e which c o u l d be d e s c r i b e d Affairs essential t h e French had s t a r t e d a Press campaign on t h e s u b j e c t , attitude could was and s e c u r e t o an A g r e e m e n t , Nevertheless, it in clear a b e t t e r Agreement had been done t o o b t a i n t h e good w i l l Italy. of through delay not be o b t a i n e d from Germany and t h a t to s e i z e arm a ­ th^ Nations Paris circumstances. gave the of v i e w , he s a i d t h a t the Naval been anxious t o b r i n g abou* an a g r e e m e n t , Cabinet i n which were s a t i s f i e d and had more especially been as they r a t h e r suspected that i f any d e l a y t h e German N a v a l S t a f f a v.-ay tried t o w h i t t l e / w h a t was p r o p o s e d . particulars advantageous our own. t h e r e had would h a v e Fe gave t o show t h a t t h e Agreement was t o t h e French Navy no l e s s than As the e x i s t i n g N a v a l Agreements to would come t o an end i n 19 36 i t was v e r y v a l u a b l e t o be able to record this Agreement w i t h Germany, and ought t o h e l p towards arrangements further but gave e q u a l i t y t h e submarine was not t o a t t a c k s by s u b m a r i n e s : less likely i t had t o be remembered t h e London Naval ^ r e a t y were r a t h e r ^he as t o submarines w e r e t h e most t o be c r i t i c i s e d , and t h a t Agreements, that i n stibmarines the defensive in addition, apprehensive it the reply Admiralty submarines today than they had been d u r i n g t h e War. In reply to questions by t h e F o r e i g n S e c r e t a r y aetual programmes the Cabinet were and t h e F i r s t informed Lord t h a t of c o n s t r u c t i o n were s t i l l d i s c u s s e d w i t h the German d e l e g a t i o n . being Questions such as t h e r a t e a t which t h e Germans i n t e n d e d build up t o t h e 35 per c e n t . , a n d of over-age u n d e r - a g e t o n n a g e , and o t h e r t e c h n i c a l to and matters, would be d e a l t w i t h i n t h e s e d i s c u s s i o n s . D e l e g a t i o n had g i v e n t h e B r i t i s h m h e German delegation to understand t h a t t h e y would s p r i n g no s t i v p r i s e s these discussions. a Fleet If, o t h e r Powers r e d u c i n g t h e Germans w o u l d , under t h i s Capital Ships do t h e same. other enter our own countries If, to later abolish or Submarines, Germany would h a v e It was q u i t e c l e ^ r , up Agreement h a v e t o make a c o r r e s p o n d i n g r e d u c t i o n . on, we w e r e t o a g r e e w i t h during Germany had b u i l t on t h e 3-5 per c e n t , b a s i s , we w e r e t o i n t o an agreement w i t h tonnage, after the both from t h e to W h i t e Paper and t h e r e c o r d if Germany s h o u l d a c q u i r e would none t h e l e s s laid down t h a t permanent of the d i s c u s s i o n s , colonies this remain u n a l t e r e d , "the r a t i o of Agreement and i t 35-100 i s was t o he a relationship", In connection with the question of the a t t e n t i o n *as Sir that drawn t o t h e f o l l o w i n g Samuel P o a r e ' s N o t e t o F e r r von ratio passages in Rihbentrop:- Paragraph 5 ( c ) : "Germany w i l l a d h e r e t o t h e r a t i o 35 : 100 i n a l l c i r c u m s t a n c e s , e . g . , t h e r a t i o w i l l not be a f f e c t e d by t h e c o n s t r u c t i o n of o t h e r P o w e r s . I f the general equilibrium of naval armaments, as n o r m a l l y m a i n t a i n e d i n t h e p a s t , should v i o l e n t l y upset by any abnormal and e x c e p t i o n a l c o n ­ s t r u c t i o n by o t h ^ r P o w e r s , t h e German Government r e s e r v e t h e r i g h t t o i n v i t e F i s M a , j e s t y ' s Government i n t h e U n i t e d Kingdom t o examine t h e ne' s i t u a t i o n thus cr eat ed , ." r Paragraph 3: "With r e f e r e n c e t o s u b - p a r a g r p h ( c ) o f t h e e x p l a n a t i o n s s e t out a b o v e , I have t h e honour t o i n f o r m you t h a t F i s Ma .j es t y ' s Government i n t h e U n i t e d Kingdom h a v e t a k e n n o t e o f t h e r e s e r v a ­ t i o n and r e c o g n i s e t h e r i g h t t h e r e i n s e t o u t , on t h e u n d e r s t a n d i n g t h a t t h e 35 : 100 r a t i o w i l l h e m a i n t a i n e d i n d e f a u l t o^ agreement t o h e c o n t r a r y b e t w e e n t h e tw o G ov er nm ent s , " o f The a b o v e , fairly m i t was p o i n t e d tight out, rendered the r a t i o a one, he attention the f o l l o w i n g "The Tiroes" o f o f t h e C a b i n e t was a l s o drawn t o passage in the leading a r t i c l e even of date:­ " I f P r a n c e i n s i s t s on i n c r e a s i n g h e r n a v a l s t r e n g t h , then t h e B r i t i s h and German Governments w i l l c l e a r l y h a v e to consider increases a l s o " . m his point, by M. L a v a l for i t was s u g g e s t e d , was bound t o be in his conversation with the league of Nations below ,) Affairs, raised Minister ^ See C o n c l u s i o n (c) m h e Cabinet a g r e e d —' (a) ""hat t h e Agreement s e t f o r t h in t h e exchange o f Notes o f June 1 3 , 1935, between M a j e s t y ' s Govern­ m e n t " i n t h e U n i t e d Kingdom and t h e German Government r e g a r d i n g t h e l i m i t a t i o n o f N a v a l armaments (Cmd,4930) was an advantageous one: (l-) take note that the M i n i s t e r f o r League of N a t i o n s A f f a i r s would v i s i t P a r i s on F r i d a y , June 2 1 s t , f o r t h e purpose o f e x p l a i n i n g t o M. L a v a l t h e a d v a n t a g e s of t h e N a v a l Agreement and t h e circumstances i n which i t had been n e c e s s a r y t o e n t e r i n t o it. w i t h o u t delay. Fe would make i t q u i t e c l e ^ r t h a t t h e r e was no q u e s t i o n o f Germany h a v i n g d r i v e n a wedge b e t w e e n t h e U n i t e d Fingdom and F r a n c e , or a n y t h i n g o f t h e k i n d , but t h a t i t had been e s s e n t i a l not t o miss t h i s f l e e c i n g opportunity f o r a f a v o u r a b l e agreement: (c) I n case French M i n i s t e r s w e r e t o r a i s e t h e p o i n t mentioned i n t h e e x t r a c t from t h e l e a d i n g a r t i c l e o f " " h e i m e s " mentioned a b o v e , t h e M i n i s t e r f o r League o f N a t i o n s Affairs was a u t h o r i s e d t o r e p l y t o the e f f e c t that supposing the French Government c o n s i d e r e d I t n e e e s ­ s a r y from t h e p o i n t of v i e w o f F r e n c h n a t i o n a l d e f e n c e t o make an i n c r e a s e t o t h e i r Navy, F i s M a i e s t y ' s Government i n t h e U n i t e d Fingdom would examine t h e e f f e c t o' t h a t i n c r e a s e on t h e i r own n a v a l s t r e n g t h and might or m i g h t not d e c i d e t o make some i n c r e a s e , t h e m s e l v e s : but t h a t under t h e new Agreement Germany was not . e n t i t l e d t o make an- i n c r e a s e e x c e p t i n t h e event o f an i n c r e a s e t o t h e B r i t i s h Navy, " h e utmost t h a t Germany coul^. do would be t o i n v o k e p a r a g r a p h 2 ( c ) o f S i r Samuel o a r e ' s N o t e , which i s quoted a b o v e : that, i s t o say . t o i n v i t e - is M a j e s t y Ms Government I n t h e U n i t e d Kingdom t o examine t h e new s i t u a t i o n thus c r e a t e d . m p T T T T T i e Cabinet (a) agreed — ""liat t h e Agreement s e t f o r t h in t h e exchange o f Notes o f June 1 3 , 19 35, between i s M a j e s t y ' s G o v e r n ­ mcnt* i n t h e United, kingdom and t h e German Government r e g a r d i n g t h e l i m i t a t i o n o f N a v a l armaments (Crad.,49 30) was an advantageous one: w (b) ^o t a k e n o t e t h a t t h e M i n i s t e r f o r League of N a t i o n s A f f a i r s would v i s i t P a r i s on F r i d a y , June 2 1 s t , f o r t h e purpose of e x p l a i n i n g t o M. L a v a l t h e a d v a n t a g e s o* t h e a v a l Agreement and t h e c i r c u m s t a n c e s i n which i t had been necessary t o enter i n t o i t without delay. Fe would make i t q u i t e c l e a r t h a t t h e r e was no q u e s t i o n o f Germany h a v i n g d r i v e n a wedge b e t w e e n t h e U n i t e d Kingdom and F r a n c e , or a n y t h i n g of t h e k i n d , but t h a t i t had been e s s e n t i a l no " t o miss t h i s f l e e c i n g o p p o r t u n i t y f o r a. f a v o u r a b l e agreement : 11 1 (c) I n case French M i n i s t e r s v e r e t o r a i s e t h e p o i n t mentioned i n t h e e x t r a c t from t h e l e a d i n g a r t i c l e o f " T i e lines" mentioned a b o v e , t h e M i n i s t e r f o r League of N a t i o n s - f f a i r s was a u t h o r i s e d t o r e p l y t o the e f f e c t that supposing the French Government c o n s i d e r e d i t n e c e s ­ s a r y from t h e p o i n t o v i e w o f "French n a t i o n a l d e f e n c e t o make an i n c r e a s e t o t h e i r Navy, i s F a i e s t y s Government i n t h e U n i t e d kingdom would examine t h e e f f e c t 0^ t h a t i n c r e a s e on t h e i r own n a v a l s t r e n g t h and might or m i g h t not d e c i d e t o make some i n c r e a s e t h e m s e l v e s : but t h a t under t h e ne " Agreement Germany was n o t . e n t i t l e d t o make any i n c r e a s e e x c e p t i n t h e event o f an i n c r e a s e t o t h e B r i t i s h Navy. T i e utmost t h a t Germany could do would be t o i n v o k e paragraph 2 ( c ) o f S i r Samuel o a r e ' s N o t e , which i s quoted a b o v e ; t h a t i s t o say to i n v i t e - is F a , j e s t y s Government" i n t h e " U n i t e d 'ing^om t o examine t h e new s i t u a t i o n thus c r e a t e d . m -F T T T 1 T T T T T T E PROPOSED AIR PACT' . 3 . ^he S e c r e t a r y m t T ( P r e v i ous Reference: Cabinet 32 ( 3 5 ) , Con­ c l u s i o n 5.) of State for r e p o r t e d t h a t he was c o n f r o n t e d w i t h difficulties Air Pact: brought for FX proposed example, as t o how Germany c o u l d be into the d i s c u s s i o n . He had d i s c u s s e d and t h e M i n i s t e r for of the A i r League o^ N a t i o n s as t o what, they would l i k e or i n an A i r the matter Affairs. Minister for League occasion of his of Agreement and I t was proposed t h a t Nations Affairs, forthcoming v i s i t exchange o f v i e w s w i t h M. L a v a l , main o b j e c t i v e both t o s e e i n c l u d e d i n an Limitation of p r o c e d u r e . of Ministry, agreement had been r e a c h e d b e t w e e n them, A i r Pact the day w i t h t h e S e c r e t a r y St a t e f o r A i r and r e p r e s e n t a t i v e s Full Affairs considerable i n making p r o g r e s s w i t h t h e q u e s t i o n on t h e p r e v i o u s Propos ed Visit to P a r i s by t h e Minister for League o f Nations Affairs. Foreign to Paris the on t h e and h i s should make i t t o o b t a i n an agreement in his as t o how p r o g r e s s was t o be made on t h e A i r Fact . Fe would as t o procedure­ t a k e some quest.ions/with him which he would l e a v e w i t h M, I aval if Admittedly, could expect occasion, t h e atmosphere appeared however, i t was douibtful w h e t h e r he t o make much p r o g r e s s especially favourable. on t h e in v i e w o f t h e French present attitude towards t h e N a v a l Agreement. , m he fa) Cabinet agreed -­ ^o a p p r o v e t h e p r o p o s a l s o f t h e Secretary of S t a t e f o r F o r e i g n A f f a i r s and t h e S e c r e t a r y o" S t a t e for Air and t h e M i n i s t e r f o r League o f N a t i o n s A f f a i r s , as t o t h e l i n e t o be t a k e n by t h e l a t t e r on t h e q u e s t i o n of t h e A i r P a c t d u r i n g h i s forthcoming .vis i t t o P a r i s : p (y) t a k e n o t e that, t h e S e c r e t a r y o f . S t a t e ' o r F o r e i g n . A f f a i r s and t h e S e c r e t a r y o^ S t a t e ^or A i r would c i r c u l a t e , f o r c o n s i d e r a t i o n by t h e Cabinet, at t h e i r next r e g u l a r w e e k l y M e e t i n g , a J o i n t Memorandum on t h e q u e s t i o n , of t h e A i r Pact and. t h e L i m i t a t i o n o f A i r Armaments. p DISPUTE BETWEEN ITALY AMD ABYSSINIA (PTTipiOPIA) . (Previous Reference: Cabinet 28 ( 3 5 ) , Con­ clusion 9.) R e a c t i o n s upon Somaliland. (Previous Reference: Cabinet 12 ( 3 5 ) , Con­ clusion 5.) 4 . The S e c r e t a r y raised, of S t a t e f o r F o r e i g n Affairs as a m a t t e r o f immediate u r g e n c y , o f t h e d i s p u t e between I t a l y the question and A b y s s i n i a . Since t h e Cabinet had d i s c u s s e d t h e m a t t e r w i t h F i s Majesty's Ambassador at Rome t h e s i t u a t i o n had deteriorated.very seriously. had t h e n been a n t i c i p a t e d , enthusiasm was w a n i n g . Italian On t h e c o n t r a r y , m who, a c c o r d i n g t o p r e v i o u s that large o p i n i o n appeared t o h a v e a c c e p t e d t h e s i t u a t i o n as i n e v i t a b l e . event t h a t M. M u s s o l i n i ' s f o r c e s w e r e p r o c e e d i n g t o t h e Red S e a , and I t a l i a n public the l a s t T h e r e was no s i g n , as h e French Government, expectations, r e s o r t h v e supported should i n t h e League i n t h e o o f a c l a s h , were s h o e i n g every sign that case they would, b e on t h e s i d e o f I t a l y , was e v e r y p r o s p e c t , therefore, i n a most i n c o n v e n i e n t have t o make a f u t i l e dilemma. d r i v e him out o f and in" " o t h e arms of Germany, 1 ^here placed E i t h e r we should, p r o t e s t , which would M, M u s s o l i n i and. perhaps protest o f our b e i n g in f irritate h e League or we should m^ke no and g i v e t h e appearance o f pusillanimity. I n t h e c i r c u m s t a n c e s h e had been s e e k i n g f o r some basis of discussion with Mussolini. was t o make c o n t a c t w i t h M. M u s s o l i n i . assumed o f f i c e One difficulty When he had he had i n v i t e d t h e I t a l i a n Ambassador t o s e e him, but found t h a t h e had l e f t Iondon. I n Rome it Majesty's Ambassador found t o make any i m p r e s s i o n on M. M u s s o l i n i . most important difficult Y e t i t was t o a s c e r t a i n what t h e D u c e s f true attitude was. The F o r e i g n O f f i c e w e r e opposed t o S i r E r i c DrummondFs p r o p o s a l s t h a t we should -p-a-rt j t - i ^ R - ^ . ^ A b y s s i n i a , w h i c h , countenance -s-ofi^ in s p i t e o f our o p p o s i t i o n , had become a Member o f t h e l e a g u e . In searching f o r other a l t e r n a t i v e s , had "been examined f o r to I t a l y . Somaliland s u g g e s t i o n , he was n o t p r e p a r e d t o . it at It ceding a part of B r i t i s h A l t h o u g h i t might he n e c e s s a r y t o come hack t o t h a t propose a proposal present. a p p e a r e d , however, negotiations that f o r some y e a r s had been p r o c e e d i n g w i t h Abyssinia w i t h a view t o the p o s s i b l e c e s s i o n t o t h a t country o f a narrow c o r r i d o r open anchorage o f Z e i l a . basis of connecting i t It w i t h the seemed p o s s i b l e t h a t on t h e t h a t p r o p o s a l M. M u s s o l i n i might be to talk. No c e s s i o n o f territory to Italy induced was involved, but i t would g i v e A b y s s i n i a the s e a ; and s i d e by s i d e w i t h t h i s t h e r e w o u l d be some c e s s i o n o f e,g. t e r r i t o r y by A b y s s i n i a r o u g h l y t h e Ogaden Country. negotiations for t h i s The had been on the b a s i s a c q u i s i t i o n of g i v e n by a r e c t i f i c a t i o n to to Italy, previous that compensation t e r r i t o r y by A b y s s i n i a w o u l d be of boundary i n f a v o u r B r i t i s h B o m a l i l a n d and, i f rectifications an o u t l e t possible, also of similar i n f a v o u r o f Kenya and t h e Sudan. In t h e new c i r c u m s t a n c e s , h o w e v e r , t h e s e demands w o u l d have t o be dropped, though the r e c t i f i c a t i o n s m i g h t be o b t a i n e d l a t e r , case o f (out not of B r i t i s h Somaliland). in p r i n c i p l e , of State subject for course in and the some such a g r e e m e n t . was ample 11 cover" ment Agreement and t h e A i r P a c t ; of Cabinet on Affairs t o Rome from P a r i s , f o r his v i s i t -8­ (some His p r o p o s a l was f o r League o f N a t i o n s should proceed s t r a i g h t the Permanent He asked t h a t t h e would empower him t o approach M. M u s s o l i n i that the Minister the the C o l o n i e s , who a g r e e d to certain conditions which a r e m e n t i o n e d l a t e r ) . the b a s i s of boundary He had d i s c u s s e d question with the S e c r e t a r y of Stale Under-Secretary of in the Naval but, in There Disarma­ addition, he c h o u l d have the m i s s i o n o f sounding M. M u s s o l i n i an agreement on the l i n e s he had s u g g e s t e d . His Ambassador i n Rome, who had been c o n s u l t e d , was t h e "best chance o f to Majesty's thought o b t a i n i n g an a g r e e m e n t . of S t a t e a p o l o g i s e d t o h i s c o l l e a g u e s as that t h i s The Secretary for bringing forward t h i s new p r o p o s a l w i t h o u t P a p e r s and a t such s h o r t notice, but the c i r c u m s t a n c e s were such t h a t he had no The S e c r e t a r y supporting of State f o r the p r o p o s a l , made i t alternative. the C o l o n i e s , clear while t h a t the most important c o n c e s s i o n t h a t had b e e n c o n t e m p l a t e d i n the e a r l i e r considera­ t i o n of to the m a t t e r had been t h e c e s s i o n o f territory south o f B r i t i s h S o m a l i l a n d so t h a t B r i t i s h Somali rights point of g r a z i n g t h e r e might be g u a r a n t e e d , and t h a t a v i t a l i n t e r r i t o r y under I t a l i a n d i c t i o n across the B r i t i s h Somaliland f r o n t i e r s . were g i v e n t o A b y s s i n i a i n the t e r r i t o r y and the r i g h t s of If the Somali trouble. Moreover, Zeila tribesmen announcement on t h e s u b j e c t that i n any p u b l i c t h a t m i g h t e v e n t u a l l y be made. T h e r e were c e r t a i n o t h e r c o n d i t i o n s a f f e c t i n g handing o v e r o f 2 e i l a and the c o r r i d o r , but w i t h which he d i d n o t t r o u b l e on t h i s the C a b i n e t . of the agreement would b e t o hand o v e r of coastline the possible which had been down d u r i n g the p r e v i o u s d i s c u s s i o n s and a c o r r i d o r he i t was e s s e n t i a l t h i s should be made c l e a r from t h e f i r s t for juris­ handed t o I t a l y were not s a f e g u a r d e d , anticipated great miles tribal i n any agreement would be t o s e c u r e g r a z i n g r i g h t s British protected tribes laid the matter, The to Abyssinia effect 18 m i l e s r o u g h l y 12 m i l e s wide by 40 long. I n the course o f the d i s c u s s i o n the S e c r e t a r y State f o r Foreign A f f a i r s agreed that i f were e n t e r e d i n t o w i t h A b y s s i n i a include provisions which was s t i l l any arrangement i t would be e s s e n t i a l to prevent f a c i l i t a t i n g being e x p l o i t e d of the s l a v e in Abyssinia. to trade, I t was pointed out t h a t a p r o v i s i o n t o t h i s e f f e c t had always been c o n t e m plated. The d i s c u s s i o n r e v e a l e d t h a t the a t t r a c t i o n s o f t h i s proposal t o M.Mussolini might prove i n s u f f i c i e n t . The Ogaden Country which it was p r o p o s e d t h a t A b y s s i n i a one which I t a l y was l i k e l y should cede t o h i m , was t o a c q u i r e i n any if she e n t e r e d on a m i l i t a r y campaign. Moreover, t h e r e would he no q u e s t i o n o f j o i n i n g Somaliland t o E r i t r e a , as t h i s was w i t h the proposal f o r a c o r r i d o r British Somaliland. event Italian inconsistent t o he ceded by On t h e o t h e r h a n d , we c o u l d s t r e n g t h e n t h e p r o p o s a l s by p r o m i s i n g support, t o t h e I t a l i a n demands f o r economic c o n c e s s i o n s in Abyss i n i a . Doubts w e r e e x p r e s s e d as t o whether t h e Italians rights c o u l d be r e l i e d of the B r i t i s h I t was s u g g e s t e d very on t o o b s e r v e t h e gracing Somali tribes. t o the Cabinet that i m p o r t a n t , i n any announcement made e v e n t u a l l y on t h i s i t was t h e s e q u e l subject, i t was t h a t might be t o make c l e a r t o long n e g o t i a t i o n s , t h e w h o l e q u e s t i o n had been s t u d i e d that and t h a t f o r years , O t h e r w i s e we might b e c o n f r o n t e d w i t h an e a r l y demand by t h e Germans f o r colonies. The C a b i n e t w e r e a t f i r s t decision part reluctant t o take a involving the possible ultimate ViallelHalf cession of o* a B r i t i s h - Colony at such s h o r t n o t i c e and without further reflection. information and o p p o r t u n i t y I t was r e a l i s e d , however, t h a t t h e only chance o f p e r s u a d i n g M, Mussolini t o d e s i s t military o p e r a t i o n s was t o t a k e a c t i o n a t A communication would h a v e t o be s e n t t o Rome s t a t i n g t h a t t h e M i n i s t e r Nations A f f a i r s t o make. the question c o r r i d o r t o A b y s s i n i a had been from once. i n advance f o r League o f would have an i m p o r t a n t Moreover, for statement o* ceding t h e exhaustively $CWJL e x p l o r e d during" s ^ t e * a l principally concerned, y e a r s by t h e Departments an^ t h e y w e r e i n a g r e e m e n t , and a l l was the information necessary t o a decision available. The Cabinet w e r e impressed not w o r l d - w i d e importance the d e c i s i o n , t o public only w i t h of t h e i s s u e s involved t u t w i t h the d e s i r a b i l i t y opinion in this and e s p e c i a l l y country, i n South A f r i c a the of in the (which i s in showing Fmpire, greatly concerned i n a war b e t w e e n a European country a coloured raje in A f r i c a ) t h a t we h a v e made a v e r y a and t o t h e w o r l d substantial effort and at large to avert catastrophe. I n t h e above c i r c u m s t a n c e s (a) the Cabinet agreed That the S e c r e t a r y o f S t a t e f o r F o r e i g n A f f a i r s s h o u l d be a u t h o r i s e d t o a r r a n g e f o r the M i n i s t e r f o r League o f N a t i o n s A f f a i r s t o proceed, from P a r i s d i r e c t t o Rome, where he would e n t e r on c o n v e r s e ­ t i o n s w i t h M . M u s s o l i n i not o n l y on t h e agreement w i t h Germany on L i m i t a t i o n of Naval Armaments and t h e p r o p o s e d A i r P a c t , but *- I s o on t h e q u e s t i o n o f Abys s i n i a t h a t the M i n i s t e r f o r Ieague of Nations A f f a i r s should b e a u t h o r i s e d t o sound. M. M u s s o l i n i as t o t h e p o s s i b i l i t y of a r r i v i n g a t some agreement whereby A b y s s i n i a should cede t e r r i t o r y t o I t a l y ,-rttu i(MHlM P,-* ,J* a d j o i n i n g I t a l i a n Soroaliland Ce . g . , t h e acU * l^ A 4 * t a e e - * * - - 0 g a 4 * n ) in r e t u r n -for a c e s s i o n by the U n i t e d Fingdom t o A b y s s i n i a t h e c o r r i d o r a t t h e w e s t e r n end o Somaliland t o connect A b y s s i n i a w i t h t h e p o r t o f Zeila. Fe should, make c l e a r t h a t an e s s e n t i a l p a r t o any such agreement would, be an u n d e r t a k i n g by I t a l y t o respect the grazing rights of B r i t i s h Somali t r i b e s i n Ogaden, In addition, h e should be " u t h o r i s e d t o p r o m i s e B r i t i s h support t o I t a l y ' s demands ^or economic a d v a n t a g e s i n A b y s s i n i a : fb) — m -0 -p (c) That t h e r e should b e no q u e s t i o n o f 6oncltiding any .agreement i n v o l v i n g t h e c e s s i o n o f B r i t i s h t e r r i t o r y e x c e p t as part o f a complete s e t t l e m e n t w h i c h would r u l e out any p r o s p e c t o f w a r : (d) That i n any announcement t h a t might e v e n t u a l l y b e made on t h e s u b j e c t i t would, be i m p o r t a n t t o make cl^ear — o^ (i) (ii) (iii) That the v i t a l p o i n t i n any agreement would "be t o s e c u r e g r a z i n g r i g h t s f o r B r i t i s h protected tribes in t e r r i t o r y under I t a l i a n j u r i s d i c t i o n a c r o s s t h e B r i t i s h Somaliland f r o n t i e r s : That e v e r y p r e c a u t i o n w o u l d be taken to avoid f a c i l i t a t i n g the slave trade: That the p r o p o s a l was one t h a t had b e e n s t u d i e d c l o s e l y f o r some y e a r s by the F o r e i g n O f f i c e and t h e C o l o n i a l O f f i c e . That the S e c r e t a r y o f S t a t e f o r F o r e i g n A f f a i r s s h o u l d a r r a n g e t h a t the C a b i n e t should r e c e i v e w i t h o u t d e l a y c o p i e s o f any t e l e g r a m s from t h e M i n i s t e r f o r League o f N a t i o n s A f f a i r s on t h i s s u b j e c t : To take n o t e t h a t whenever t h e P r i m e M i n i s t e r and the S e c r e t a r y o f S t a t e f o r F o r e i g n A f f a i r s should think i t n e c e s s a r y , the Cabinet should be c o n s u l t e d on t h e s i t u a t i o n . THE PRINCE OP WALES. 5. The a t t e n t i o n of t h e C a b i n e t was c a l l e d t h e r e f e r e n c e made t o Germany i n a speech by Prince o f Wales a t t h e Annual C o n f e r e n c e B r i t i s h L e g i o n on June the especially embarrassing b o t h w i t h Prance and d u r i n g t h e week when t h e A n g l o - German N a v a l C o n v e r s a t i o n s w e r e t a k i n g The e f f e c t the friendly t o Germany had p r o v e d somewhat and had c o m p l i c a t e d r e l a t i o n s Germany, the 11th. The C a b i n e t w e r e i n f o r m e d t h a t reference of to place. o f t h e s p e e c h was r e p o r t e d t o have been p a r t i c u l a r l y bad i n P a r i s . constitutional that b e f o r e aspect of A p a r t from t h e t h e speech i t was any such r e f e r e n c e s to f o r e i g n claimed countries w e r e made i n p u b l i c t h e P r i m e M i n i s t e r of of State for consulted. Poreign A f f a i r s The C a b i n e t left it should b e Secretary t o t h e Prime M i n i s t e r t a k e any s t e p s which he m i g h t deem a d v i s a b l e . to 6. The C a b i n e t were i n f o r m e d t h a t Mr. Lloyd George had s e n t t o t h e G e n e r a l P u r p o s e s Committee an amended copy o f h i s Memorandum i n w h i c h a number of changes i n t h e o r i g i n a l v e r s i o n had b e e n made. There was some e v i d e n c e t h a t Mr. L l o y d G e o r g e was contemplating early publication. The Prime M i n i s t e r s a i d he w o u l d summon a m e e t i n g t o c o n s i d e r Mr, L l o y d G e o r g e s T Memorandum arid t h e d r a f t as soon as h i s of t h e Government' s c o l l e a g u e s were ready. r e p l y w o u l d be c i r c u l a t e d revised t o the The Cabinet. reply draft 7. CEYLON. (CP. Purchase of T e a r Gas A p p a r a t u s by Government The C a n i n e t had b e f o r e them a Memorandum 117 ( 3 5 ) ) by the S e c r e t a r y Colonies of State f o r i n the l a t e Government s t a t i n g w i t h the a p p r o v a l of the that, the Prime M i n i s t e r , he had r e c e n t l y a u t h o r i s e d i n N o r t h e r n R h o d e s i a t h e use Northern Rhodesia. of t e a r gas r a t h e r circumstances, (Previous Reference:Cabinet 16 ( 3 5 ) Conclusion 2 ) . than r i f l e and appending f o r a Despatch from the Governor made a p r o p o s a l fire their certain information o f C e y l o n i n w h i c h he the e x a c t p a r a l l e l r e c e n t l y approved i n the case o f The l a t e S e c r e t a r y in of that Palestine. of S t a t e c o n s i d e r e d t h a t permission asked f o r c o u l d r e a s o n a b l y be the given. The Memorandum was s u p p o r t e d by t h e new Secretary Cabinet of State for the C o l o n i e s , and t h e agreed: To a u t h o r i s e t h e S e c r e t a r y o f S t a t e f o r the C o l o n i e s t o g i v e p e r m i s s i o n f o r the i m p o r t a t i o n i n t o Ceylon o f a s u p p l y o f t e a r g a s and f o r i t s u s e , i f n e c e s s a r y , s u b j e c t t o the c o n d i t i o n s m e n t i o n e d i n C P . 117 ( 3 5 ) , p a r a ­ graph 3. 1 1J 1 EMPLOYMENT OP WOMEN, YOUNG PERSONS AND O^TLDRFM AC ,1920 . m ^he Two- ShiftSystem . 8. The C a b i n e t had b e f o r e them a Memorandum by t h e Home S e c r e t a r y (0.P.-12O ( 3 5 ) ) to prepare a B i l l , for o f Rome A f f a i r s , permanent b a s i s t h e temporary i n S e c t i o n 2 o f t h e Employment 0* p l a c i n g provisions on a contained o f Women, Young Persons 1920, under which women and young persons may b e employed i n a f a c t o r y a s y s t e m o f two authority s u b m i s s i o n t o t h e Committee with the object and C h i l d r e n A c t , seeking or workshop on day-shifts, The C a b i n e t a u t h o r i s e d t h e Home S e c r e t a r y to prepare a B i l l f o r submission t o the Committee o f Home A f f a i r s as p r o p o s e d i n C P . 120 ( 3 5 ) and summarised a b o v e . ft ASSURANCE COlvrpANTES fWINDTNCr-UP) A C , 1933. m Propos ed Amendment, 9. ^he C a b i n e t had b e f o r e the P r e s i d e n t o r asking authority the Pcard Committee o f Home A f f a i r s m rade a Bill (Winding-Up.) Since the passing of that the law, of a Femorandum by (C.P.-115 t o p r e p a r e and submit A s s u r a n c e Companies (Pre^ious Reference: Cabinet 7 ( 3 5 ) , Con­ clusion 9 .) them as i t the Act, stood, to Act, 1933. e x p e r i e n c e ha^ shown d i d not p e r m i t d a t e , w i t h the r e s u l t were able to their that for action sufficiently that, i n s o l v e n t c o n t i n u e t o do b u s i n e s s liabilities, the t o amend t h e t o be taken by t h e Board o f ^ r a d e a t a early (35)) ^he P r e s i d e n t Companies and t o increase therefore proposed, t h e Board of T r a d e should b e empowered t o i n f o r m a t i o n a t any t i m e , t h e r e was p o s i t i v e hoped t h a t and not evidence of insolvency; introduction House o f L o r d s , s h o u l d be passed rapidly o n l y when t h e C a b i n e t would a g r e e t h a t which would b e s u i t a b l e f o r as p o s s i b l e , call the in He a l s o Bill, the i n t o law as and i n any e v e n t b e f o r e the Summer R e c e s s . The L e a d e r o f t h e Government of Lords entered a caveat that i n t h e House the B i l l might be opposed i n t h a t House. The C a b i n e t a u t h o r i s e d t h e P r e s i d e n t o f the Board o f Trade t o p r e p a r e and submit t o the Committee o f Home A f f a i r s a B i l l t o amend the Assurance Companies ( W i n d i n g - U p ) A c t , 1933, as p r o p o s e d i n C P . 115 ( 3 5 ) . CABINET PROCEDURE. " 10. The prime M i n i s t e r t h a t he hoped t o he a b l e , t o L i s t of Committees. informed his circulate colleagues a list C a b i n e t Committees w i t h t h e i r membership on the same evening. (previous Reference: Cabinet 6 (35) Conclusion l ) . 2, W h i t e h a l l Gardens, 19th June, 1935. 8.W.I., of