'I went on the 11th, but nothing of the least importance passed, and
the same was the case with Chamberlain's interview on the 12th.
Harcourt was present on the 11th, and evidently in full support of
Gladstone.

'On the 15th Labouchere gave a dinner to Chamberlain and Randolph Churchill, but I do not think that anything very serious was discussed. There was a sharp breach at this moment between Chamberlain and Morley, Chamberlain telling Morley that his speeches were "foolish and mischievous," and that he was talking "literary nonsense—the worst of all."

'On January 21st we had a meeting of all the ex-Cabinet at Lord Granville's. Chamberlain breakfasted with me before the meeting, and he drew and I corrected the amendment which was afterwards accepted at the meeting as that which should be supported by the party on the Queen's Speech, and which was that moved by Jesse Collings by which the Government were turned out on the 26th. The adoption of our amendment was very sudden. The leaders had met apparently without any policy, and the moment Chamberlain read our "three acres and a cow" amendment, they at once adopted it without discussion as a way out of all their difficulties and differences. [Footnote: This amendment was carried by seventy-nine votes, and the Government thus overthrown.] The Government resigned on the 28th, and on the 29th I had an interview with Chamberlain as to what he should do about taking office.

'On January 30th Mr. Gladstone offered Chamberlain the Admiralty, after Hartington had refused to join the Government. Chamberlain came and saw me, and was to go back to Mr. Gladstone at six. He thought he had no alternative but to accept a place in the Government, although he did not like the Admiralty. Mr. Gladstone showed him a form of words as to Irish Home Rule. It was equivalent to a passage in Sexton's [Footnote: Home Rule M.P. for S. Sligo, 1885-1886; Belfast W., 1886-1892.] speech on the 22nd, at which Mr. Gladstone had been seen to nod in a manner which implied that he had suggested the words. The proposal was, as we knew it would be, for inquiry. Chamberlain did not object to the inquiry, but objected to the Home Rule. Chamberlain, before returning to Mr. Gladstone, wrote him a very stiff letter against Home Rule, which somewhat angered him. On Sunday, January 31st, Chamberlain wrote that for personal reasons he had sooner not accept the Admiralty. Mr. Gladstone saw Chamberlain again later in the day, on the Sunday, and asked what it was then that he wanted; to which Chamberlain replied, "The Colonies," and Mr. Gladstone answered, "Oh! A Secretary of State." Chamberlain was naturally angry at this slight, and being offered by Mr. Gladstone the Board of Trade, then refused to return to it. After leaving Mr. Gladstone he went to Harcourt, and told Harcourt that he would take the Local Government Board, "but not very willingly." On Monday, February 1st, I asked Chamberlain to reconsider his decision about the Admiralty, and found that he would have been willing to have done so, but that it was now too late. On the 2nd Mr. Gladstone wrote me a very nice letter quoted above, [Footnote: Chapter XLII., p.172.] about the circumstances relating to the trial then coming on which made it impossible for him to include me in the Ministry. Morley wrote: "Half my satisfaction and confidence are extinguished by your absence. It may and will make all the difference."'

Mr. Morley's apprehension was justified by events.

In 1880 the position of the Radical leaders, while only private members, had been of such strength that Sir Charles had been able to secure, from a reluctant Prime Minister, the terms agreed on between Mr. Chamberlain and himself. He had obtained for both positions in the Government, and procured Cabinet rank for Chamberlain. Now that the power of one of the allies was demolished, and Mr. Chamberlain stood alone, Mr. Gladstone's view of the changed situation was apparent. The 'slight' to Chamberlain was followed by that course of action which resulted in his breach with the Liberal party. Together the two men could, from a far stronger point of vantage than in 1880, have made their terms; with Mr. Chamberlain isolated Mr. Gladstone could impose his own. The alteration in the course of English political history which the next few months were to effect was made finally certain by Sir Charles Dilke's fall.

Lord Rosebery wrote on February 3rd to say that he had been appointed Foreign Secretary, an office which in happier circumstances would, he said to Sir Charles, 'have been yours by universal consent.' The letter went on to state in very sympathetic words how 'constantly present to his mind' was his own inferiority in knowledge and ability to the man who had been set aside.

'I had written to Rosebery at the same moment, and our letters had crossed. I replied to his:

'"My Dear Rosebery,

'"Our letters crossed, but mine was a wretched scrawl by the side of yours. I do not know how, with those terrible telegrams beginning to fly round you, you find time to write such letters. I could never have taken the Foreign Office without the heaviest misgiving, and I hope that whenever the Liberals are in, up to the close of my life, you may hold it. My 'knowledge' of foreign affairs is, I admit to you, great, and I can answer questions in the Commons, and I can negotiate with foreigners. But these are not the most important points. As to the excess of 'ability' with which you kindly and modestly credit me, I do not admit it for a moment. I should say that you are far more competent to advise and carry through a policy—far more competent to send the right replies to those telegrams which are the Foreign Office curse. As to questions, these are a mere second curse, but form a serious reason why the Secretary of State should be in the Lords.