“Berlin.
“2.3.1912.
“Dear Mr. Ballin,
“Our supposition that it is the contents of the Bill which have brought about the change of feeling is confirmed by news from a private source. It is feared that the Bill as it stands will have such an adverse influence on public opinion that the latter will not accept a political agreement along with it. Nevertheless, the idea of an understanding has not been lost sight of, even though it may take six months or a year before it can be accomplished.
“In consequence of this information the draft reply to London requires to be reconsidered, and it has not been dispatched so far. I shall let you know as soon as it has left.
“Sincerely yours.
“(Signed) Bethmann-Hollweg.”
“Berlin.
“8.3.1912.
“Dear Mr. Ballin,
“This is intended for your confidential information. Regarding the naval question Great Britain now, as always, lays great stress on the difficulty of reconciling public opinion to the inconsistency implied by a big increase in the Naval Estimates hand in hand with the conclusion of a political and colonial agreement. However, even if an agreement should not be reached, she hopes that the confidential relations and the frank exchange of opinions between both Governments which have resulted from Lord Haldane’s mission may continue in future. The question of a colonial understanding is to be discussed in the near future.
“It is imperative that the negotiations should not break down. Success is possible in spite of the Navy Bill if the discussions are carried on dispassionately. As matters stand, the provisions of the Bill must remain as they are. Great Britain has no right to interfere with our views on the number of the crews which we desire to place on board our existing units. As far as the building dates of the three battleships are concerned, I should have preferred—as you are aware—to leave our hands untied, but His Majesty’s decision has definitely fixed 1913 and 1916 as the years for laying them down. This is a far-reaching concession to Great Britain.
“Discreet support from private quarters will be appreciated.