The Daily Chronicle of Thursday states that the inner political
world was on Wednesday agitated by rumours of a grave Cabinet crisis over the Navy Estimates, which might culminate at any moment in the resignation of three Cabinet members. According to the Daily Chronicle, the Admiralty is only asking for some £2,500,000 extra this year, but five or six millions additional will be required in the two succeeding years. The Daily Chronicle adds that the chief opponents in the Cabinet of large expenditure for the Navy are Mr. Lloyd George, Lord Morley, Mr. Winston Churchill, and Mr. John Burns. We may note that if the Daily Chronicle story is true, the Prime Minister, the Foreign Secretary, the First Naval Lord, the Secretary of State for War, the repre. sentative of foreign affairs in the Lords (Lord Fitzmaurice), and the Colonial Secretary, all of whom through their positions have special knowledge of the dangers to which the Empire is exposed by an inadequate Navy, are in favour of the increased vote.