485. Telegram From the Embassy in the United Kingdom to the Department of State1
369. Foreign Office spokesman announced today that HMG was withdrawing its offer to assist Egypt in Aswan Dam project. Spokesman explained that main factors which led to this decision were economic ones and added “we have been in continuous consultation with the USG and the position at the moment is that we have concluded that in the present circumstances it is not feasible for us to participate in the project. The factors which have influenced the USG and ourselves are the same in this matter”.
This afternoon I discussed subject with Assistant Under Secretary Ross, who expressed gratification over identity of US and UK positions. He told me that Caccia had just informed Egyptian Ambassador2 officially of HMG’s decision. Ambassador expressed to Caccia his “great disappointment” but added that he could understand why, in view of US decision, UK had likewise withdrawn its offer.