CO885-(16-18) — Page 471

PUBLIC RECORD OFFICE

Reference :-

C.O-885

ALLY WITHOUT PERMISSION OF THE BE REPRODUCED PHOTOGRAPHIC- COPYRIGHT PHOTOGRAPH-NOT TO

PUBLIC RECORD OFFICE, LONDON

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found it necessary to review the strength and composition of the Australian Squadron as determined by the Naval Agreement concluded in 1903 with the Governments of Australia and New Zealand.

2. Under Articles I. and IV. of that Agreement it is provided that the Naval Force shall consist of not less than-

1 armoured cruiser, 1st class,

2 2nd-class cruisers,

4 3rd-class cruisers, 4 sloops,

of which one shall be kept in reserve, and three shall only be partly manned and used as drill ships, the remainder being kept in full commission.

3. The vessels now appropriated under the Agreement are :—

Euryalus" "Encounter

"

1st-class armoured cruiser.

25

9. My Lords trust that Mr. Lyttelton will be able to give his hearty support to the proposed changes, and that they will command the ready assent of the Australian and New Zealand Governments, so that the legislation necessary to introduce them may be obtained with as little delay as possible.

&c.,

No. 2.

I am,

C. I. THOMAS.

11

CC Mildura

Phoebe "

Challenger

"

2nd-class cruisers.

f

Psyche

3rd-class cruisers,

"

Katoomba

"

Mutine

"

>

1

"

Torch "Cadmus "Clio"

Sloops.

These vessels are now all on the station, with the exception of the "Encounter," and the Colonial Governments have been informed that that vessel when completed will be sent out to pay off into reserve; also that three vessels of the "Mildura " class will be used as drill ships.

4. My Lords have now definitely decided only to employ in peace time, wherever possible, vessels that will be effective fighting machines in war, and in pursuance of this policy they desire to add greatly to the fighting strength of the Australian Squadron by withdrawing the four weak sloops now com- prised in it, and by replacing them with one additional 2nd-class cruiser and one additional 3rd-class cruiser.

5. Instead of keeping in reserve one of the 2nd-class cruisers, my Lords propose that all three 2nd-class cruisers, as well as the 1st-class cruiser, should be in full commission. Two of the five 3rd-class cruisers will also be in full commission, and all the squadron will be composed of modern types of ships.

6. The strength of the squadron, as determined by the Agreement of 1903, will then compare with the new proposals as follows:-

Number and Class of Ships required by the Agreement of 1903.

I armoured cruiser, I of these in reserve

1st-class.

2 2nd-class cruisers

4 3rd-class cruisers.

4 sloops.

and 3 partly manned as drill ships.

Number and Class of Ships now proposed.

*1 Armoured cruiser, 1st-class.

3 2nd-class cruisers.

5 3rd-class cruisers ("Pelorus'

class) of which 2 will be maintained in commission and 3 will be partly manned as drill ships in place of 3

Milduras.

114

7. My Lords do not propose any change in the terms of the Agreement, either as regards the contribution payable by the Australian and New Zealand Governments, or as regards the numbers and constitution of the Royal Naval Reserve and method of manning by Australians and New Zealanders, but solely that the vessels as shown above should be substituted for those required by the Agreement of 1903 as the force which the Admiralty undertake to maintain in Australasian waters.

8. It will be seen that the proposed changes will have the effect of considerably strengthening the Naval Force. Not only will the squadron in commission be composed of nine comparatively new cruisers, of good speed, and efficient for war purposes, but the comparatively old (for warlike

"Mildura 11 purposes) drill ships of the

class will be replaced by more modern and useful vessels, and this with no corresponding increase of cost to either Colony.

• All in commission.

41648.

The SECRETARY OF STATE to the GOVERNOR-GENERAL OF AUSTRALIA and the GOVERNOR OF NEW ZEALAND. [Copy to Admiralty, December 22, 1904, L.F.]

(Confidential.) MY LORD,

[Answered by Nos. 3, 4, and 7.]

Downing Street, December 21, 1904. I HAVE the honour to transmit to you, to be laid before your Ministers, copy of a letter from the Admiralty, proposing certain alterations in the strength and composition of the Australian squadron as determined by the Naval Agreement ratified in 1903 by the Parliaments of the Commonwealth of Australia and of New Zealand.

2. Your Ministers will observe that the changes proposed will have the effect of considerably strengthening the Naval force in Australian waters, and that, except these changes, no other alterations are desired in the terms of the Naval Agreement.

the

3. I earnestly trust that your Ministers will see their way to accept the Admiralty proposals without hesitation, and to introduce and necessary legislation at the earliest date possible.

4. A similar despatch has been addressed to the

2324.

No. 3.

pass

Governor of New

Zealand. Governor-General of Australia. I have, &c.,

ALFRED LYTTELTON.

The GOVERNOR-GENERAL OF AUSTRALIA to the SECRETARY

(Confidential.)

OF STATE.

(Received 8 a.m., January 24, 1905.) TELEGRAM.

Referring to your telegram of January 14th Prime Minister agrees to proposal of Lords Commissioners of Admiralty and will bring matter before Parliament first opportunity. In the meantime can you inform me when the total strength of the Australian Squadron may be expected to be completed ?—— NORTHCOTE.

2520.

No. 4.

The GOVERNOR OF NEW ZEALAND to the SECRETARY OF STATE.

(Confidential.)

(Received 7.50 a.m., January 26, 1905.) TELEGRAM.

Referring to your telegram of January 14th† my Government concur that substitution of one additional second-class cruiser and one additional third- class cruiser in lieu of four weak sloops in Australian Squadron is advisable and necessary.

Legislation will be introduced.-PLUNKET.

• No. 1.

† 41648, not printed; it contained the substance of No. 1.