In April 1920 Hughes dispatched Watt to London on a financial mission. Watt was in poor health, and his suspicion that Hughes was trying to get him out of the way was aggravated by Hughes's habit of communicating directly with the British government over the head of Watt, who was supposedly his representative. Watt was appointed Australia's representative at the Spa Conference on War reparations, but when Hughes cabled that Watt was not to agree to anything without consulting him, Watt complained that he was being treated like "a telegraph messenger." After an acrimonious exchange of cables, Watt resigned as Treasurer and returned to Australia.