On my arrival in Berlin I saw the Chancellor and told him that I considered the state of our foreign relations very satisfactory, as we were on better terms with England than we had been for a long time, whilst in France also the government was in the hands of a pacifist Ministry.

Herr von Bethmann Hollweg did not appear to share my optimism, and complained about Russian armaments. I sought to reassure him, emphasising the fact that Russia had no interest in attacking us, and that such an attack would never receive Anglo-French support, as both countries wanted peace. Thereupon I went to Dr. Zimmermann, who was acting for Herr von Jagow, and he told me that Russia was about to raise 900,000 additional troops. His language betrayed unmistakable annoyance with Russia, which was "everywhere in our way." There were also difficulties in economic policy. Of course, I was not told that General von Moltke was pressing for war; but I learned that Herr von Tschirschky had been reprimanded because he reported that he had counselled moderation towards Serbia in Vienna.

On my return from Silesia to London I stopped only a few hours in Berlin, where I heard that Austria intended to take steps against Serbia in order to put an end to an impossible situation.

I regret that at the moment I underestimated the importance of the news. I thought that nothing would come of it this time either, and that matters could easily be settled, even if Russia became threatening. I now regret that I did not stay in Berlin and at once declare that I would not co-operate in a policy of this kind.

Subsequently I ascertained that, at the decisive conference at Potsdam on the 5th July, the Vienna enquiry received the unqualified assent of all the leading people, and with the rider that no harm would be done if a war with Russia should result. Thus it was expressed, at any rate, in the Austrian protocol which Count Mensdorff received in London. Soon afterwards Herr von Jagow was in Vienna to consult Count Berchtold about all these matters.

At that time I received instructions to induce the British Press to adopt a friendly attitude should Austria administer the coup de grâce to the "Great Serbia" movement, and to exert my personal influence to prevent public opinion from becoming inimical to Austria. If one remembered England's attitude during the annexation crisis, when public opinion showed sympathy for the Serbian rights in Bosnia, as well as her benevolent furtherance of national movements in the days of Lord Byron and Garibaldi, the probability that she would support the intended punitive expedition against the murderers of the prince happened so remote, that I found myself obliged to give an urgent warning. But I also warned them against the whole plan, which I characterised as adventurous and dangerous, and advised them to counsel the Austrians to moderation, as I did not believe that the conflict could be localised.

Herr von Jagow replied to me that Russia was not ready; there would probably be some fuss, but the more firmly we took sides with Austria the more would Russia give way. As it was, Austria was accusing us of weakness and therefore we dare not leave her in the lurch. Public opinion in Russia, on the other hand, was becoming more and more anti-German, so we must just risk it.

In view of this attitude, which, as I found later, was based on reports from Count Pourtalès that Russia would not move under any circumstances, and which caused us to spur Count Berchtold on to the utmost energy, I hoped for salvation through British mediation, as I knew that Sir E. Grey's great influence in Petrograd could be used in the direction of peace. I therefore availed myself of my friendly relations with the Minister to request him in confidence to advise moderation in Russia in case Austria, as seemed likely, demanded satisfaction from Serbia.

At first the English Press preserved calm and was friendly to Austria, because the murder was generally condemned. But gradually more and more voices were heard insisting emphatically that, however much the crime merited punishment, its exploitation for political purposes could not be justified. Austria was strongly exhorted to use moderation.

When the ultimatum was published, all the papers with the exception of the Standard—the ever-necessitous, which had apparently been bought by Austria—were unanimous in condemnation. The whole world, excepting Berlin and Vienna, realised that it meant war—indeed, "the world-war." The British Fleet, which happened to have assembled for a naval review, was not demobilised.