BRITISH-U.S. LOAN TALKS

Timaru Herald, Volume CLVIII, Issue 23375, 5 December 1945, Page 5

BRITISH-U.S. LOAN TALKS

Climax Approaching <7.5 p.m.) LONDON, December 3. The British and American financial and economic negotiations in Washington are expected tp conclude shortly, when an immediate statement will be made in the House of Commons. One outcome of these talks, it is observed, is that Britain and the Dominions will almost certainly discuss the fate of Imperial preference early in 1946. It is reported the Government's reply last week to America’s draft terms for a loan of £1,000,090,000 stipulated that Britain could not commit herself to a reduction in Imperial preference tariffs or to a scaling down of her £3,500,000.000 war debt to the Empire without prior discussions. These discussions will be held informally. Their outcome wilj depend entirely upon whether or not America herself is willing to reduce import tariffs. Meanwhile support for Imperial preference is said to be becoming stronger than at any time since its inception in 1932. Pride in Empire There is also evidence to-day in many directions that Britain is more Empire-minded than ever before. This is based not only on the pride of the Empire’s record during the war, but also on the fact that neither Britain nor any part of the Empire can rank individually witli Russia or America. But a' strong and firmly-knit Empire is a world Power. The leaders of the British and American financial delegations have had an urgent meeting in Washington, according to a Reuter correspondent. The meeting was called unexpectedly, and it is understood that the object is to settle the remaining differences on the question of a loan. One correspondent lias described this meeting as the climax of talks which have been going on for three months. Another correspondent states that he has it on good authority that the British attitude to the loan proposals is stiffening rather than one of concession. The meeting may last some days. “The sudden flight of Sir Edward Bridges to Washington strongly suggests that financial talks are reaching a climax.” says “The Times" in a leading article. “There is an urgent need for a strong rebuttal of the allegation that the only impediment to an effective economic agreement is the opposition of the Socialist ministers in London to the unshackling of British trade. British opinion will not be misled bv these distortions but there is no small danger that an unfortunate impression mav be produced in America. “Whatever the terms of the agreement which may soon be signed, no genuine understanding is possible unless opinion in the United States is fully aware that the issues of State responsibility for the course of foreign trade and exchanges are national and

not a partisan concern in Britain. The work of the mission In America has enjoved the widest national backing.”