3rd. I wish to encourage him to send German ships to foreign stations by showing him how much we wish to do the same, and how readily we shall conform to any dispositions which have the effect of reducing the unwholesome concentration of fleets in Home Waters. Quite apart from the diplomatic aspect, it is bad for the discipline and organisation of both navies, and the Germans fully recognise this. 4th. I wish to discuss the abandonment of secrecy in regard to the numbers and general characteristics (apart from special inventions) of the ships, built and building, in British and German dockyards. This policy of secrecy was instituted by the British Admiralty a few years ago with the worst results for us, for we have been much less successful in keeping our secrets than the Germans. I should propose to him in principle that we gave the Naval Attachés equal and reciprocal facilities to visit the dockyards and see what was going on just as they used to do in the past. If this could be agreed upon it would go a long way to stopping the espionage on both sides which is a continued cause of suspicion and ill-feeling. I hope, in view of the very strong feeling there is about naval expenditure and the great difficulties I have to face, my wish to put these points to Admiral von Tirpitz if a good opportunity arises, and if it is clear that he would not resent it, may not be dismissed. On the other hand, I do not wish to go to Germany for the purpose of initiating such a discussion. I would rather go for some other reason satisfactory in itself, and let the discussion of these serious questions come about only if it is clearly appropriate.... For the present I suggest that nothing should be done until the Emperor’s invitation arrives; and, secondly, until we hear what Tirpitz’s real wish is. W. S. C. Sir Edward Grey was apprehensive that more harm than good might result from such a discussion, and I do not myself pronounce upon the point; but I am anxious to place the letter on record as a proof of my desire while maintaining our naval position to do all that could be done to mitigate asperity between the British and German Empires. * * * * *