800.51W89 Great Britain/358: Telegram

The Ambassador in France (Edge) to the Secretary of State

704. In view of MacDonald-Herriot’s conference in Paris yesterday on debt situation I called this evening on Lord Tyrrell to secure any details regarding the French position he felt like conveying.

The British Ambassador was very frank and stated Herriot had decided to wage the fight before Parliament Monday for authorization to make the December 15 payment but had frankly stated he would be unable to secure a confidence vote without some proviso or qualification that the whole debt situation must be reviewed before any further payments should be made. Tyrrell stated that Herriot was quite uncertain as to being able to carry Parliament even with this qualification but that the situation there had somewhat improved since the British had practically agreed to make their December payment.

Tyrrell felt that if Herriot could be given even confidential assurance that such a disposition would be acceptable in the United States it would help him greatly.

The British Ambassador was particularly concerned that the United States Government might misinterpret the interest the British Government had shown in consulting with France as collusion or as presenting the European debt front the United States frowns upon. He asked me to assure you that it was absolutely essential to consult with France in order to preserve the Lausanne Pact81 and must not be considered as any action directed against us. For that reason, he continued, Great Britain had repelled all efforts to go it alone in [dealing?] with the United States following suggestions that by so doing they could secure better terms. Using his words, “in view of the fact that the Lausanne agreement re German reparations at least has the blessing of the United States that his Government hoped that we would understand that Great Britain must keep on speaking terms with France”.

In fact Tyrrell felt so strongly about the possibility of misunderstanding that he expressed the hope Washington would let Lindsay know that they thoroughly understood. I endeavored to assure Tyrrell that if both countries made the December payment there would not be any reason for American resentment but he insisted in view of the strained and uncertain position in France assurance to his home government would prevent possible misunderstandings.

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Among the projects which Herriot was seriously considering was the suggestion that the debt question be referred to arbitration basing the French case on the changes wrought by the moratorium and the Lausanne Pacts. The British succeeded in talking him out of this idea pointing out that there might be a case in equity but none in law.

Edge
  1. Great Britain, Cmd. 4126, Misc. No. 7 (1932).