Addressed to the Prime Minister.

For your own information the portion of the Statement issued after
the recent Australian - New Zealand talks [1] reading, 'we feel
that there should be set up, as part of the general International
Organisation, an International Body analogous to the permanent
Mandates Commission, to which Colonial Powers should undertake to
make reports on the Administration of their Colonial Territories.

This Body should be empowered to visit dependent Territories and
to publish reports of its deliberations' has fairly put the cat
among the pigeons. In some quarters, particularly those directly
concerned with the Colonial problem, the reactions are very
strong.

The reason for this very pronounced feeling is that the United
Kingdom consider that this public statement in favour of the
Mandate system by two of the Dominions has thrown out of gear the
plans which were being formulated here.

The reason for this feeling is, I understand, as follows. After
the meeting of Prime Ministers, and in the light of discussions
then held, the United Kingdom Government started working on a
policy based on the idea of Regional co-operation for the social
and economic progress of Colonial Areas.

This work has now reached the point which it was contemplated
would enable the United Kingdom to submit their views in the near
future to the Dominions for their consideration and comment. It
was confidently expected that these views would be entirely
acceptable to all the Dominions and would be endorsed by them.

Armed with this endorsement the United Kingdom then proposed to
open conversations with the Americans and were optimistic that
they would be able to obtain the co-operation of the Americans in
getting general acceptance of the lines of policy they have in
mind.

The United Kingdom now feel that this programme has been
imperilled by the Australian - New Zealand public declaration in
favour of the Mandate system. There is also a certain feeling of
bewilderment owing to the fact that as a result of the discussions
at the Prime Ministers' meeting it was understood here that
Australia at all events agreed with the United Kingdom view as to
the defects of a Mandate system and were in line in desiring to
substitute for it methods of Regional co-operation. [2]

The electricity in the atmosphere has also been increased by the
fact, which the United Kingdom do not hesitate to rub in to me,
that the declaration was made without prior consultation,
although, as they put it, the matter was not urgent and Australia
and New Zealand were aware that the United Kingdom were not in
agreement with the views expressed.

This point of no prior consultation is not without its
embarrassment for me owing to my unremitting pressure in our own
case for prior consultation, the last dust up on this question
being as recent as the United Kingdom Government reply to the
Polish Government questions, (my cable 154A of the 9th November).

[3]

In the actual policy enunciated in the declaration both you and I
are in a somewhat difficult position, you, because if you have
revised your views since you discussed the question at the Prime
Ministers' meeting, the United Kingdom has not been so advised,
and I because I have in discussions with the United Kingdom
Authorities based myself on your attitude when here.

If you have changed your views there is nothing that can be done.

If, however, you still hold the views you expressed when in
England, would it be possible quietly to drop the part of the
published statement dealing with the Mandate system which I have
quoted above when the results of the meeting in New Zealand are,
as I presume they will have to be, considered with a view to
endorsement by the Government.

BRUCE