20 AUGUST 1921, Page 1

Mr. Lloyd George proceeded to enumerate the conditions " vital

to the welfare and safety of both Great Britain and Ireland, forming as they do the heart of the Commonwealth " :- " 1. It is essential that the Royal Navy alone should control the seas around Ireland and Great Britain, and that such rights and liberties should be accorded to it by the Irish State as are essential for naval purposes in the Irish harbours and on the Irish coasts.

2. Tho Irish Territorial Force shall within reasonable limits conform in respect of numbers to the military establishments of other parts of these islands. 3. Great Britain shall have all necessary facilities for tho development of defence and of communications by air.

4. Great Britain hopes that Ireland will in due course and of her own free will contribute in proportion to her wealth to the Regular Naval, Military, and Air Forces of the Empire. It is further assumed that voluntary recruitment for these forces will be permitted throughout Ireland, particularly for those famous Irish regiments.

5. The British and Irish Governments shall agree to impose no protective duties or other restrictions upon the flow of transport, trade, and commerce between all parts of these islands.

6. The Irish people shall agree to assume responsibility for a share of the present debt of the United Kingdom and of the liability for pensions arising out of the Great War, the share, in default of agreement, to be determined by an indej end- ant arbitrator appointed from within His Majesty's domimons.'

The conditions would be embodied in a Treaty to be ratified by the British and Irish Parliaments.