Effective Cruisers to be substituted for the present varying types of vessels forming all these squadrons.

Personnel.

Reduction in entry of Boys, and increase of entry of Non-continuous Service Men and of “Northampton” lads.

Introduction of new system of Reserve (long service tempered by short service!)

Nucleus Crews.

Two-yearly commissions to be instituted, and with no material change of officers and men during the two years.

All the fighting vessels in Reserve to have an efficient nucleus crew of approximately two-fifths of the full crew, together with all important Gunnery ratings as well as the Captain of the ship and the principal Officers.

The periodical exercise and inspection of the ships by the responsible Flag Officer who will take them to the war.

This Flag Officer will suffer for any want of efficiency and preparation for war of these vessels. These vessels to be collected in squadrons at Portsmouth, Plymouth, and Chatham, according to the Station to which they are going as the reinforcements.

Signals.