Don Pacifico, a Portuguese Jew who had settled in Athens, was, as a native of Gibraltar, a British subject. Having had his house pillaged by a Greek mob, he appealed to the Home Government, and Lord Palmerston sent the Fleet to the Piraeus to enforce his demand for settlement of the claim put in. Greece appealed to Russia and France, and part of Don Pacifico's claim was referred to arbitration by a Convention of the Powers signed in London. Our Minister at Athens continued to take measures which resulted in the Greek Government giving way, and, in consequence, the French Ambassador was recalled, while Russia threatened to recall Baron Brunnow. It was in the Don Pacifico debate that Lord Palmerston made his great speech of five hours, containing the famous Civis Romanus sum, which turned the House of Commons in his favour, and saved him from defeat by a majority of forty-six.] and others mentioned in a memorandum printed for the use of the Foreign Office in August, 1877; but the inquiry afterwards held broke down our case.
'On July 14th the Admiralty and War Office fell out; the Admiralty maintaining that they could put down all the trouble in Egypt by the employment of a few marines commanded by an Admiral, whereas the War Office had set their hearts upon a great expedition under Wolseley.
'On July 16th the German Ambassador complained of my having stated in the House of Commons that Germany approved our action, not denying the fact that she did, but saying that such "announcements made confidential communications impossible," and I had to reply that, while Austria had approved and Germany not disapproved, I was not justified in stating that Germany had approved, although there had been "circumstances calculated to make me believe that such had been the case." On July 16th Wolff wrote to me from the country: "I suppose Bright has resigned. Si sic omnes except yourself." Bright had resigned, and there were some who were anxious that I should be put into the Cabinet in his place, but I was not one of them. On July 17th Wilfrid Blunt was at the window of the St. James's Club in Piccadilly, and, seeing me pass, cried out to Lord Blandford and others who were with him: "There's Dilke that has done it all." That seemed to me to be an answer to those who wanted me put in in the place of Bright. "The great peace man goes out, and they want-Mr. Gladstone to put in a man who is looked upon as a war man, although he thinks he is not and thinks he is right." …
'On July 18th I received a letter from Labouchere which was characteristic: "Dear Dilke,—I am one of those who regretted that the late Government did not seize Egypt…. Many on our side—being fools —regret that we ever interfered in Egypt…. Personally I think … unless you seize upon the opportunity … to establish yourselves permanently in Egypt, you all deserve to be turned out of office. Success is everything. This is the 'moral law' as understood by the English nation. Bombard any place, but show a quid pro quo." There was, however, no member of the Government, unless it was Lord Hartington, who held these views, and not one who at this moment even contemplated a permanent occupation, though I was fearful that unless the matter was fairly faced, in advance, upon the lines which I had suggested, a permanent occupation would be set on foot.
'Late on July 18th there was a Cabinet to discuss a proposal from me to tell Dufferin in a "personal" telegram that we should not object to Italy being third with England and France; which was afterwards expanded into a direct invitation, upon my suggestion, for Italy to go with us without France, which Italy declined. [Footnote: The reason for Italy's refusal will be found explained in the Appendix to this chapter (p. 477) in a letter from Baron Blanc, who was Italian Ambassador at Constantinople.]
'After the sitting Lord Granville told me that Mr. Gladstone's letter to Bright about his resignation was far from pleasant in tone, and had put an end to a very long friendship. Morley, in his Life of Gladstone, states the contrary, but he is wrong. [Footnote: Life of Gladstone, iii. 83-90.]
'On July 19th I suggested that Arabi had probably told the people in Cairo that he had defeated us at Alexandria, and that it would be well to inform the Khedive, and through him the Governor of Cairo, that intervention was about to take place on a scale which would make resistance ridiculous, and Lord Granville asked Sinadino to do this.
'On July 20th the German first secretary came to me about Bismarck's complaint of my speech, and Lord Granville wrote back in reply to my report of the conversation: "I do not think much of Stumm's observations…. There is something in Bob Lowe's maxim, never to admit anything; but if you do, I have always found it better to shut the admission against any rejoinder." After all, Count Münster admitted that we had the "moral support" of Germany, and I could not myself see much difference between "moral support" and "approval." Lord Granville even reported in writing that we had Bismarck's "good wishes, good will, and moral support," and I certainly could not see that I was wrong. The last position of all of Bismarck was that we were not justified in saying even "moral support," but that we had his "best wishes," I think he must have had a touch of gout at the moment when he read my speech.
'A Cabinet was to have been held early on July 20th to decide to send out an army corps; Mr. Gladstone forgot to call it, and it had to be brought together suddenly (some members being absent), and agreed to the proposal for a vote of credit. Mr. Gladstone informed his colleagues that he should not meet Parliament again in February, but should leave the House of Commons after the Autumn Session, if not before it. Late at night there came the news that Arabi had turned the salt water from the Lake into the great fresh—water canal, and I had to go to inform Mr. Gladstone and Childers in their rooms. Their replies were full of character. Mr. Gladstone dramatically shivered, and said with a grimace: "What a wicked wretch!" Childers said: "How clever!"
'Early in the afternoon of Saturday, July 22nd, when the House of Commons sat, I was two hours in Mr. Gladstone's room with Lord Granville, Northbrook, and Childers. There had been a mistake in the vote of credit, really a blunder of £1,300,000; not of £1,000,000 only, as was afterwards pretended, for the estimate had been cut down in the meantime. It was entirely Northbrook's fault, … but Childers, like a good-natured fellow, in spite of their many quarrels, let it rest upon his shoulders, where the public put it. In the course of our conversation it came out that Childers was in hot water with the Queen, and had sent her a letter of apology on the Friday night, Mr. Gladstone writing at the same time that he himself had nothing to add to what Childers said. Childers broke out against the Duke of Cambridge, who "went chattering about the place, refused to behave as a subordinate, and wrote direct to the Queen." I guessed that the trouble had been either about the employment of the Duke of Connaught or about the sending of the Household Cavalry; both of which had been decided. The Queen likes the Duke of Connaught to be employed, but never to run the slightest risk; and in dealing with soldiers this is a little awkward. The Duke of Cambridge was always a great source of trouble to Governments, Liberal or Conservative, for even Conservative Governments have, from the necessity of the case, to desire military reform. He is essentially not a grandson, as history tells us, but a son of King George III., just such a man as the royal Dukes whose oaths and jollity fill the memoirs of the time of the great war. But the Duke of Cambridge … knows how to stop all army reform without incurring personal responsibility or personal unpopularity with the public. A distinguished General once said to me: "When we are invaded and the mob storm the War Office, the Duke of Cambridge will address them from the balcony, and, amid tumultuous cheering, shout, 'This is what those clever chaps who have always been talking about army reform and brains have brought us to,' and lead them on to hang the Secretary of State for War."