LABOUR CUTS NAVY BUILDING

Sun (Auckland), Volume III, Issue 724, 25 July 1929, Page 1

LABOUR CUTS NAVY BUILDING

Mr. MacDonald’s Announcement AMERICA FOLLOWING SUIT? (United P.A.—By Telegraph — Copyright) fAustralian and N.Z. Press Association) Received 9.30 a.m. LONDON, Wednesday. A STATEMENT with important bearing on the attitude of the British Government toward international naval disarmament has been made by the Prime Minister, the Kt. Hon. Ramsay MacDonald. He announces the curtailment of the present naval building programme and the intention to call a conference of Powers as soon as an Anglo-American agreement has been reached.

Mr. Ramsay MacDonald, in a state- ; meat in the House ot Commons on ] naval negotiations, stated that the Ministry had decided to suspend the i construction of two cruisers, cancel contracts for one depot ship and two mbmarines, and slow down dockyard work and other naval construction. He added that as soon as an AngloAmerican agreement had been reached, other Powers would be invited to a preliminary conference. Mr. MacDonald said that the Singapore Base would be included in a i ,-pecial survey of the naval position. PRIME MINISTER’S ADDRESS Mr. MacDonald said he was now in a position to make a statement of the immediate intentions of the Government regarding a naval building programme. The Government's general position was that defence of the country must be devised with two main considerations in view, first, the chances of defences having to be used, then efficiency and economy shown in their magnitude and character. The Government had kept in view a change in policy and the problem of national! security as affected by the Peace Pact. If that pact were to be made' effective the influence of International relations to make it so was the con- j trolling purpose of the Government! and a systematic policy was being I developed which would take a little j time to complete to carry out that intention. It is well known that in the midst of mulifarious concerns which the formation of a new Government entailed, especially In view of the pressing and complicated nature of its tasks, conversations had been actively carried on between the United States and the new Government for the purpose of opening a way for an agreement on naval matters which hitherto defied settlement. By a happy coincidence the new Government’s assumption of office had corresponded with the arrival of the new American Ambassador. BrigadierGeneral C. G. Dawes, who had come here charged with the mission of pre paring ground for international agreements on the reduction of naval armaments. Already the whole field of those difficulties with the United States had been surveyed and the two Governments made a fresh start. “In their solution we agree upon the principle of parity,” said Mr. MacDonald. “We agreed without in any way departing from a condition of parity, that a measure of elasticity can be allowed so as to meet the peace requirements of the nations. We arranged that we shall not allow technical points to override a great public issue, resulting in our being able to come to a settlement.” He proposed to make this matter his immediate concern as soon as other business had been disposed of. VISIT TO AMERICA

His visit to the President of the United States was the subject of conversations. So that it might take 1 place when it would be most useful to promote good relations between ' the two countries and in particular advance the cause of disarmament anil peace which they held in common, it had to fit in with certain in- I ternational conversations, and Octo- ; her at present seems the most likely i month. The committee on co-ordination of ! three services for the purpose of Cabinet consideration has been set up, and if that combination is not I comprehensive enough to meet re- j qnirements of such a policy the { Foreign Office is also to be represented on it. As regarded the 19291930 programme, in any event, no commitments would have to be entered into before the autumn and no steps would be taken to proceed with ! it until the matter has received further consideration from the Government. EFFECT ON LABOUR It is recognised that a reduction of the naval building programme must have a direct effect on employment in the dockyards, but he was glad to say that as the result of special rearrangements suggested by the Admiralty is is hoped to be able to secure absorption of the large amount of labour which would otherwise be discharged from the Royal dockyards. Representatives of dockyard labour would at ouce be consulted. “We are indebted to the Admiralty Board for the help rendered and I desire to state that having expressed its technical view on minimum armaments which it considered necessary the members furnished us with loyal help in achieving our objects with the least possible dislocation and hardship,” Mr. MacDonald added. “I ought to say, to make the statement complete, that it was recognised by all Powers concerned that the preliminary agreement on Anglo-Amer-ican differences was essential on naval building. The Powers represented at Washington in the conference of 1921 and 1922 have been informed of the conversations and as soon as the way is clear they will be invited to a preliminary conference so that we may all together try to come to an agreement of a comprehensive character. The final agreement will be ratified

at a place which I hope will by com- c mon consent be chosen by the United ■ States as a recognition of the splen- 1 did part played by its President in 1 these discussions. It will then be t reported to the Preparatory Commis- < sion of the League of Nations as a contribution to its work.” ) Concluding, the Prime Minister said i it would be the Government’s care i and desire to put its energy into a ] settlement without unnecessary delay. ] Asked if the minimum requirements, as stated by the Board of Admiralty, i were fully met by the reduced pro- ] gramme which the Government pro- ; posed to carry out, Mr. MacDonald < said, “I have not the least doubt whatever, that in an agreement with : the United States the minimum requirements put up to us will be adequately covered.” Replying to the Rt. Hon. David Lloyd George, Mr. XVlacDonaid assured him that as conversations with the United States proceeded, the effect and general result of them would be given to all Powers that would ultimately be concerned. AMERICAN POLICY CRUISER CONSTRUCTION POSTPONED NAVAL DISARMAMENT (Australian and N.Z. Press Association) Rec. 10.30 a.m. WASHINGTON, Wed. President Herbert Hoover has an- | nounced that the United States will not lay down the proposed three cruiser k;eels until an opportunity arises for consideration of the effect of the cruisers upon the final agreement for parity, which it is hoped to reach with Great Britain. The President said: “Mr. Ramsay MacDonald’s statement marks a new departure in the discussion of naval disarmament.” Responding to Mr. MacDonald’s statement in the House of Commons, that he hopes to visit America in October, Mr. Hoover declared: “The American people are greatly complimented by his proposed visit. He will find a universal welcome.” President Hoover added, Mr. MacDonald has introduced “a principle of parity which we have now adopted, and its consummation means that Britain and the United States henceforth are not to compete in armament as potential opponents, but co-operate as friends in the reduction of it.” He asserted that the United States joins the British Prime Minister in his efforts toward disarmament in the ’ same spirit of goodwill as indicated by dispensing with the construction of certain portions of this year’s British naval programme.