“Many thanks for your news. You know that and why I was prevented from writing these last few days.
“Sincerely yours,
“(Signed) Bethmann-Hollweg.”
In order to find out whether any foreign influence might have been at work in London, I was commissioned to meet Sir Ernest Cassel in the South of Europe early in March. Ballin supplied me with a letter containing a detailed account of the general situation. Owing to a delay in the proposed meeting, I took the precaution of burning the letter, as I had been instructed to do, and I informed Sir Ernest of its contents by word of mouth.
In this document Ballin gave a brief résumé of the situation as it appeared to him after his consultations with the various competent departments in Berlin, somewhat on the following lines:
(1) After Lord Haldane’s return Sir Edward Grey officially told Count Metternich that he was highly pleased with the successful issue of Lord Haldane’s mission, and gave him to understand that he thought it unlikely that any difficulties would arise.
(2) A few days later Mr. Asquith made a statement in the House of Commons which amply confirmed the views held by Sir Edward Grey, and which produced a most favourable impression in Berlin.
(3) This induced the Chancellor to make an equally amicable and hopeful statement to the Reichstag.
(4) In spite of this, however, there arose an interval of several weeks, during which neither Count Metternich nor anybody in Berlin received any news from the proper department in London. This silence naturally caused some uneasiness.
(5) Count Metternich was asked to call at the Foreign Office, where Sir Edward Grey commenced to raise objections mainly in reference to the Navy Bill. “I must add in this connexion—as, no doubt, Lord Haldane has also told you verbally—that on the last day of his stay in Berlin an understanding was arrived at between the competent quarters on our side and Lord Haldane with regard to the building dates of the three battleships. As you will remember, it had been agreed not to discuss the proposed establishment of the third squadron on an active footing and the increase in the number of the crews connected with it, but to look upon these subjects as lying outside the negotiations.” Quite suddenly and quite unexpectedly we are now faced with a great change in the situation. Grey, as I have said before, objects—in terms of the greatest politeness, of course—to the increase in the number of the crews, asks questions as to our intentions with regard to torpedo boats and submarines, and—this is most significant—emphasizes that the Haldane mission has at any rate been of great use, even if the negotiations should not lead to any definite result.
(6) The next event was a further interview with Count Metternich during which it was stated that, according to the calculations of the First Lord of the Admiralty, the increase in the number of the crews amounted to 15,000 men, whilst it had been thought in England that it would be a question of from 4,000 to 5,000 men at the outset. It appeared that this large increase was looked upon with misgivings, and that it was desired to enter into fresh negotiations which would greatly interfere with the arrangements made by the German competent quarters with regard to the navy. Hence Metternich replied that, in his opinion, these explanations could only mean that the Cabinet did not agree to the arrangements made by Lord Haldane. Grey’s answer was full of polite assurances couched in the language of diplomacy, but, translated into plain German, what he meant was: “You are quite right.”