Whilst the force was on passage to the southward, the destroyers _Lynx_, _Ambuscade_, _Unity_, _Hardy_, _Shark_, _Acasta_ and _Spitfire_--which had left Cromarty with the battle cruisers and on reaching the rendezvous were stationed 10 miles ahead of the 2nd Battle Squadron--sighted and became engaged before daylight on December 16th with a strong force of enemy destroyers, and, later, with one enemy cruiser and three light cruisers. The destroyers appeared to be screening ahead of the other vessels and both destroyers and cruisers were engaged by our small destroyer force. It was difficult to ascertain the result of the engagement so far as the German vessels were concerned, although the _Hardy_ claimed to have hit a light cruiser at close range; the _Hardy’s_ steering-gear was disabled by enemy fire, two men killed and one officer and 14 men wounded. The _Ambuscade_ and _Lynx_ were also holed, the _Lynx_ having one man wounded. The _Hardy_ finally withdrew under escort of the _Lynx_. The engagement caused our own destroyers to become scattered and separated from the Battle Squadron, and in the course of the day they proceeded to various east coast ports to repair and refuel, the _Hardy_ being escorted to the Humber by the _Spitfire_. No report of this engagement reached me at the time. My first information of the presence of enemy forces in the vicinity of our coast was obtained by intercepting at 8.55 A.M. a wireless message from the Admiralty to Vice-Admiral commanding the 2nd Battle Squadron, timed 8.35 A.M., stating that Scarborough was being shelled. The Grand Fleet was at once ordered to raise steam, and left at 12.15 P.M., steering for a position Lat. 57 N., Long. 2.30 E. The weather had now moderated sufficiently to allow of destroyers accompanying the Fleet.