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(C) Crown Copyright Catalogue Reference:CAB/128/33 Image (c) crown copyright Catalogue Reference:CAB/128/33 Image Reference:0037 SECRET THIS DOCUMENT IS THE PROPERTY OF HER BRITANNIC MAJESTY'S (GOVERNMENT Printed for the Cabinet. June 1959 C.C. (59) Copy No. 37th Conclusions ST CONCLUSIONS of a Meeting of the Cabinet held at 10 Downing Street, S.W. 1, on Tuesday, 23rd June, 1959, at 11 a.m. Present: The Right Hon. HAROLD MACMILLAN, M.P., Prime Minister. The Right Hon. R. A. BUTLER, M.P., The Right Hon. VISCOUNT KILMUIR, Secretary of State for the Home Lord Chancellor. Department and Lord Privy Seal. The Right Hon. SELWYN LLOYD, Q.C., The Right Hon. D . HEATHCOAT AMORY, M.P., Secretary of State for Foreign M.P., Chancellor of the Exchequer. Affairs. The Right Hon. THE EARL OF HOME, The Right Hon. ALAN LENNOX-BOYD, Secretary of State for Commonwealth M.P., Secretary of State for the Relations. Colonies. The Right Hon. JOHN MACLAY, M.P., The Right Hon. VISCOUNT HAILSHAM, Secretary of State for Scotland. Q.C., Lord President of the Council. The Right Hon. DUNCAN SANDYS, M.P., The Right Hon. Sir DAVID ECCLES, M.P., Minister of Defence. President of the Board of Trade. The Right Hon. IAIN MACLEOD, M.P., The Right Hon. HENRY BROOKE, M.P., Minister of Labour and National Minister of Housing and Local Service. Government and Minister for Welsh Affairs. The Right Hon. LORD MILLS, Minister The Right Hon. HAROLD WATKINSON, of Power. M.P., Minister of Transport and Civil Aviation. The Right Hon. GEOFFREY LLOYD, M.P., The Right Hon. JOHN HARE, M.P., Minister of Education. Minister of Agriculture, Fisheries and Food. Dr. The Right Hon. CHARLES HILL, The Right Hon. REGINALD MAUDLING, M.P., Chancellor of the Duchy of M.P., Paymaster-General. Lancaster. The following were also present: The Right Hon. THE EARL OF SELKIRK, The Right Hon. EDWARD HEATH, M.P., First Lord of the Admiralty. (Item 6.) Parliamentary Secretary, Treasury. Secretariat : CONTENTS Minute No. Subject Page 1 Germany 3 Foreign Ministers' Meeting 2 Parliament 4 3 Maidive Islands '. - - ­ 4 4 Atomic Energy ... 5 Civil Programme 5 Industrial Disputes 6 Printing 6 S. G . Brown, Limited 6 7 Employment ­ 7 Distribution of Industry Germany. *1. The Foreign Secretary made a report to the Cabinet on the Foreign latest stages of the negotiations at the Geneva meeting of Foreign O Ministers' Ministers. Meeting. The revised version of the Western proposals had been tabled (Previous on 16th June. The Soviet Minister had delayed for a time the Reference: presentation of his counter-proposals, but had finally brought them C.C. (59) 36th forward on 19th June. They had then coincided with a public speech Conclusions. by Mr. Khrushchev which had appeared, from the first reports, to Minute 4.) be markedly hostile in tone; and as a result the atmosphere at Geneva had not been favourable to a dispassionate discussion of the Soviet proposals. In those circumstances it had seemed expedient that the discussion should be adjourned for a period, and the Foreign Ministers had agreed on 20th June to go into recess until 13th July. No progress had been made at Geneva towards a long-term settlement of the Berlin question. But the latest Soviet proposals suggested that we might be able to obtain a moratorium, under which the existing position would be maintained for a further period. If we continued to insist on a long-term settlement, we might have to pay a high price for it and we should have no assurance that the Soviet Government would not repudiate it when it suited them to do so. Under a moratorium, on the other hand, the juridical issue would in effect be postponed for a period, and this respite might be secured at the cost of agreeing that representatives of East and West Germany should meet to discuss the possibilities of political as well as economic co-operation. There was much to be said for seeking an interim solution on these lines. If that.was our objective there was a real possibility of compromise between the latest proposals of the Western Powers and of the Soviet Union. Our task, during the adjournment, would be to try to narrow still further the gap between the two positions and to persuade the United States Government to sponsor some compromise proposal. We should also seek to persuade the Americans that there were advantages to be gained by holding a meeting of Heads of Governments later in the summer. The Prime Minister said that earlier in the preceding week it had seemed possible that the discussions at Geneva would end in a complete breakdown. He would then have been disposed to suggest that the Heads of Governments of the Western Powers should meet to review the serious situation which this would have produced. In the event, however, a complete breakdown had been averted: the Soviet proposals had not been wholly unconstructive and, indeed, there was now some prospect that a compromise solution might be found. A meeting of Heads of Governments of the Western Powers now seemed both unnecessary and inappropriate. The period of the adjournment could be better used for the purpose of securing Anglo- American agreement on some compromise proposals and on a new approach to a Summit meeting of the four Heads of Governments. He himself believed that, if the Foreign Ministers could make further progress towards an interim settlement by adjustment of the latest Soviet proposals, a number of important points could be reserved for final decision at a Summit meeting—e.g., the number of Western troops to be retained in Berlin; the duration of the interim settlement; the means of ensuring that the position taken up by the two sides on the juridical issue would not be prejudiced by the moratorium; and the nature and status of the discussions to be undertaken during the moratorium by the representatives of East and West Germany. In further discussion the following points were made: — (a) It would be convenient if the Foreign Secretary could circulate to the Cabinet a paper setting out the latest proposals of the Western Powers and of the Soviet Government and indicating the main points of difference between the two sides. (b) Apart from the Berlin problem there were other topics which could usefully be discussed at a meeting of the four Heads of Q Governments. Such a meeting might, for example, decide the remaining questions which could not be settled at the Geneva Conference on Nuclear Tests. It might also discuss procedures for advancing consideration of the problem of general disarmament. (c) Further steps might be taken to bring home to public opinion in this country the progress made in the Geneva discussions and the contribution which the United Kingdom Government had made towards this. (cl) It would be convenient if debate on this subject in the House of Commons could be deferred until 9th July. The Cabinet— (1) Took note of the statements made by the Prime Minister and the Foreign Secretary on the course of the negotiations at the Geneva meeting of Foreign Ministers, and of the points raised in the Cabinefs discussion. (2) Invited the Foreign Secretary to circulate a Note setting out, with comments, the latest proposals of the Western Powers and of the Soviet Government for a solution of the Berlin question (3) Expressed their appreciation of the skill and patience which the Foreign Secretary had shown in the negotiations at the Geneva meeting. Parliament. 2. The Cabinet were informed of the business to be taken in the House of Commons in the following week. Maidive 3. The Cabinet had before them a memorandum by the Islands. Commonwealth Secretary (C. (59) 103) on the state of the negotiations (Previous with the Government of the Maidive Islands in connexion with the Reference: establishment of an air staging post at Gan. C.C. (59) 25th The Commonwealth Secretary said that the Maldivian Govern­ Conclusions, ment had suspended the negotiations on 17th March, but they had Minute 1.) now indicated that they were willing to resume them and proposed to send a delegation to London for that purpose towards the end of July. The construction of the airfield was meanwhile proceeding and would be completed early in 1960. The work was being carried out with the full co-operation of the local inhabitants (the Suvadivans) who were now trying to assert their independence of the Maldivian Government. Although our legal title to establish an air staging post at Gan was soundly based, under the Protection Agreement of 1953 and under the preliminary Lease Agreement of 1956, it was desirable that we should, if possible, conclude a detailed agreement on the use of Gan. We should not, however, appear unduly anxious to conclude the negotiations. Even if the Maldivian Government eventually signed such an agreement, there would remain the problem of reconciling the dissident Suvadivans to the restoration of the authority of the Maldivian Government. In discussion the following points were made: — (a) Although our primary interest was to establish a staging post at Gan with the greatest security and length of tenure possible, we were also concerned to assert our right under the 1953 Agreement to be responsible for the external relations of the Maldivian Government. This was necessary in order to prevent a foreign Government, such as the United Arab Republic or even the Soviet Union, from establishing a staging post elsewhere in the Maldives. (b) Although the dissident Suvadivans were at present more friendly, it would be inexpedient to encourage their desire for independence. For this might call into question our rights under the 1953 Agreement, and might encourage the Maldivian Government to seek the protection of some other foreign Power.
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