ALLIED SHIPPING REPLACEMENTS Memorandum by the Chancellor of the Exchequer And Minister of War Transport

even if all the Allied Governments cannot point to an express undertaking on our part, they could certainly claim with every reason that there has been an understanding to this effect. (c) Finally, we have to consider the effect on our external financial relations generally if we were to take the course prepared. The problem of the accumulated sterling balances will be a formidable one. Its solution will require the understanding and goodwill of other countries, which might easily be forfeited if there were any charge of bad faith.