6 AUGUST 1921, Page 3

But though preparation for war with America must be ruled

out, we are fully in agreement with Mr. Churchill and other speakers who denounced the idea of our abandoning our present naval position, or of doing anything which might leave us defenceless and unable to do our share of the policing of the High Seas. For example, though we want to continue on very friendly terms with Japan, we must never let any part of the Empire be at the mercy or even feel at the mercy of Japan. Therefore some expenditure is clearly necessary on capital ships.