345. Telegram From the Embassy in the United Kingdom to the Department of State0
3795. Rome for Liaison Officer. Embtel 3598.1 I had opportunity today to speak separately with Harold Watkinson, Minister of Defense, and Selwyn Lloyd about Cyprus negotiations. Political Counselor discussed problem with Foreign Office Assistant Under-Secretary Ross.
Watkinson expressed himself as quite optimistic. He said meetings had discussed and decided “everything” except extent of sovereign areas. UK intended stand firm on this point; from standpoint of defense requirements HMG could make no further concessions. On other matters Makarios’ principal concern appeared to be to avoid agreements about British facilities outside sovereign areas which would appear to give away Cypriot sovereignty. Watkinson believes Makarios can sell arrangements as they now stand.
I found Selwyn Lloyd optimistic but a little less confident than Watkinson. He believes next ten days are pretty crucial. In Lloyd’s opinion time is running against both British and Makarios but more strongly against Makarios. It is hard to see where Makarios can go if agreement not reached. Lloyd stressed that HMG has made considerable concessions. Re sovereign areas agreement has been reached on jurisdiction, administration of Cypriots residing there, taxation and so forth. HMG has offered to give Greek Cypriots sterling pounds 7.5 million over next five years and additional sterling pounds 0.5 million to Turkish Cypriots (although Lloyd was not specific funds are presumably for development purposes). HMG has undertaken reexamine possibility further aid at end of five years.
Lloyd found Makarios much more reasonable than his advisers whom he described as “small-town lawyers.” These advisers, especially Rossides, were unable to take broad view, concentrating instead on minuscule points. For example, Lloyd believes things are pretty well agreed to except for extent of sovereign areas. UK plans keep 20,000 troops on Cyprus. He thinks Makarios wants to sell agreement back home and that he can do so. Makarios can count on support from Turkish Cypriots and Greek and Turkish Governments in putting agreement over. Some of Makarios’ advisors apparently think there remains some more give in British position. Lloyd hopes he has convinced Archbishop [Page 814] this is not so. Governor Foot is convinced Makarios calls the shots on Cyprus and can put agreement over.
Lloyd said he had been turning over in his mind whether we could be of any help. I commented that I had felt we should stay out of the matter; that it was his business. Lloyd said he appreciated this attitude and agreed it had been the best tactic. However, next week it might be desirable for us to make clear to Greek Cypriots that we think HMG has gone as far as possible. In response to my inquiry he said he was not putting this to us as a request at present. He would let me know if after thinking it over he concluded it would be a good idea. Lloyd expressed himself as convinced Greek Governor could not do much more with Cypriots. Averoff already has exerted considerable pressure on Makarios and further efforts on his part would be counter-productive. Perhaps Karamanlis could have some useful effect. Also Turks might still have some influence they could bring into play. Greek Cypriots are afraid of Turks.
On timing, Lloyd referred to Parliamentary problem, saying agreement must be concluded in ten days if March 19 independence date to be met. He said he had not realized at beginning of present phase of talks how much paperwork remained to be done.
Lloyd commented press has been giving unduly pessimistic account. This line apparently fed by Greek Cypriots. To contrary, Lloyd believes talks have made a lot of progress and impasse not reached. Kutchuk has departed for Ankara and Makarios may be leaving today for Cyprus via Lausanne, apparently to see where draft of constitution stands.
Ross, who less optimistic than Minister, confirmed that this morning Times account (Embtel 3793)2 of discussions virtually correct (except as noted below). Ross was rather tired and discouraged following two weeks almost uninterrupted and thus far inconclusive negotiations, and admitted going had been difficult. Rossides had been particularly trying, requiring British repeatedly to go over ground already covered.
Main problem still extent and administration of British sovereign areas. British had now offered to delegate virtually all normal civil administrative functions to Cypriots, but could only offer to delegate, i.e. rather than transfer, since latter would mean British no longer sovereign in these areas. So far Makarios had refused this proposal, and also still holding out for reduction in size sovereign areas. Commenting on Times story, Ross said British had not in fact offered to reduce areas by “some three square miles”; Lloyd had remarked that whoever started use of [Page 815] term “so and so many square miles” had certainly not been helpful to negotiations.
Ross said another outstanding difference related to demand by Greek Cypriots for annual payment in nature of “rent” (of sterling pounds three million) for British presence. British object in principle, i.e. not just to amount demanded, though quite prepared to pay for any actual services required.
In contrast, Ross said agreement virtually reached on British military facilities outside sovereign areas.
In reply to queries, Ross said Turkish Cypriots had been most cooperative and clearly anxious bring negotiations to prompt and successful conclusion. Greek and Turkish Governments had made clear their attitudes similar, and also seemed rather fed up with tactics of Greek Cypriots. Greek Government had indicated it felt British requirements as now stated entirely reasonable, and was even willing to indicate this publicly.
While discouraged, Ross said he believed there was still good chance negotiations may be successfully completed shortly. However, if not wound up by February 7, delay of at least two additional months in independence date almost certain. Ross admitted impossible tell what Makarios will do next; not clear whether his continued opposition based on political considerations in Cyprus, his conviction time working for him, or just what.
Meanwhile, London joint committee will resume work on various unfinished details, with hope that, once remaining major problems settled, agreements can be finalized promptly.
- Source: Department of State, Central Files, 747C.00/1–2960. Secret; Priority; Noforn. Transmitted in two sections. Repeated to Ankara, Athens, Nicosia, Paris for USRO, and Rome.↩
- See footnote 1, Document 344.↩
- Dated January 29. (Department of State, Central Files, 747C.00/1–2960)↩