'the Queen, who had been informed that she was still a free agent with regard to me, had hesitated with regard to the Duchy of Lancaster, which had, of course, been conditionally accepted by me on the understanding that I was to be man-of-all-work in the Cabinet. It was understood on this day that Childers was to be Chancellor of the Exchequer if his health allowed it, and a delay was granted for his decision or that of his doctors; and it was understood that Lord Derby was to come in in Childers' place. Evelyn Ashley was suggested for my place; and Edmond Fitzmaurice, Henry Brand, or Brett for Ashley's' (that of Parliamentary Secretary to the Board of Trade).

On December 7th it was settled that

'Hartington was to go to the War Office if the doctors pronounced
Childers well enough to take the Exchequer, and this would leave the
Under-Secretaryships for the Colonies and India, as well as for
Foreign Affairs, open between Fitzmaurice, Ashley, Brand, and Brett.

'Harcourt wrote on the 7th about Mr. Gladstone: "The resignation
project is for the present adjourned sine die."

'On Saturday, December 9th, Childers came to me from Mr. Gladstone to ask if I objected (as we had settled that it would be improper for me to invite a contest in Chelsea on the old register in the last month of the year) to letting my appointment be known before it was made, and I consented, although this would have had the effect, in the event of opposition, of giving me a twenty days' fight instead of one of only seventeen.'

Mr. Gladstone now put forward a different proposal:

'On Monday, the 11th, I saw the Prince of Wales with regard to my appointment. On the same day Mr. Gladstone had some trouble with the Queen about the Primacy, as he told me on December 12th…. On the 12th I wrote to Chamberlain that Austin Lee had told me that the Queen had some days earlier told our friend Prince Leopold that she was willing that I should be in the Cabinet, but not in the Duchy, and it was this that she had said to Mr. Gladstone on the 11th about which he sent for me on the 12th. He said that he thought it would be possible to get over this objection in time, but that there was another possibility about which he asked me to write to Chamberlain, but not as from him. I wrote: "Would you take the Duchy and let me go to the Board of Trade, you keeping your Bills? This would be unpleasant to you personally, I feel sure, unless for my sake, though the Duchy is of superior rank. It would, of course, be a temporary stopgap, as there must be other changes soon. It is not necessary that you should do it, else I know that you would do it for me. So that please feel you are really free. I told Mr. Gladstone that I could only put it to you in such a way as to leave you free. You had better perhaps write your answer so that I can show it him, though I suppose he will suppose himself not to have seen it!"'

On December 13th the Prince of Wales sent for Sir Charles to advise his pressing this course on Mr. Chamberlain. But on that same day Mr. Chamberlain replied from Highbury:

"MY DEAR DILKE,

"Your letter has spoilt my breakfast. The change will be loathsome to me for more than one reason, and will give rise to all sorts of disagreeable commentaries. But if it is the only way out of the difficulty, I will do what I am sure you would have done in my place— accept the transfer. I enclose a note to this effect which you can show to Mr. G. Consider, however, if there is any alternative. I regard your immediate admission to the Cabinet as imperative, and therefore if this can only be secured by my taking the Duchy, cadit quaestio, and I shall never say another word on the subject. Two other courses are possible, though I fear unlikely to be accepted: (1) Mr. Gladstone might tell the Queen that I share the opinions you have expressed with regard to the dowries, and intend to make common cause with you—that if your appointment is refused I shall leave the Government, and that the effect will be to alienate the Radical Party from the Ministry and the Crown, and to give prominence to a question which it would be more prudent to allow to slumber. I think the Queen would give way. If not we should both go out. We should stand very well with our party, and in a year or two we could make our own terms. Personally I would rather go out than take the Duchy…. (2) Has the matter been mentioned to Dodson? He might like an office with less work, [Footnote: Mr. Dodson was President of the Local Government Board.] and he might be influenced by the nominally superior rank…. Now you have my whole mind. I would gladly avoid the sacrifice, but if your inclusion in the Cabinet depends upon it, I will make it freely and with pleasure for your sake."