Evening star., 1925-02-09
i. s. STAND ON DEBT
PUZZLES ENGLAND
Average Britisher Expects
to Settle With France for
About 30 Per Cent.
~ Cable to The star

~ Cable to The Star
LONDON, February 9.-The funda-
mental difference between the British
and American points of view or
French debts lies in the fact that the
British have already accepted the
principle of the reduction of the allied
debts due to themselves, and in prac-
tice. despite the new interpretations
of the Balfour note, are quite ready
TO settle with the French on the basis
of 80 cents on the dollar.
i, See Hopeless FaIIacy.
Winston Churchilrs original pro-
nouncement that Britain's continental
allies would be held to pay what Ger
many did not supply through repara-
tions, up to the sum Britain is paying
America, remains in principle the
British policy. as recent notes to
France have disclosed. But in prac-
tice most Englishmen see the hopeless
fallacy of asking France to pay more
as Germany pays less.
Thus, while France owes Britain
above three billion dollars, and the
interest and sinking fund cost an
nually of the payment in full would
be upwards of hundred and twenty
millions, accepting the basis of British
settlement with America, reasonable
expectation by the British of French
payment does not exceed ten million
pounds sterling. which would be less
than fifty million dollars annually. AS
such payment offers the single con-
ceiva bic source from which to obtain
money necessary to permit any real
reduction of the crushing burden of
British taxation, which is an essential
detail for the new cabinet If 1T Is to
1ave any real political success, one
must see its Importance politically
speaking.
Difference I'm Comment.
Nevertheless the difference be-
tween British and American COM
Jnent IS unmistakable. The British
believe the French should pay, they
Gre perhaps exasperated by French
evasion, but there are too many
other things of Importance at stake
3n Europe at the moment to permit
them to quarrel with France, tho
POSSIBLE benefit is too Insignificant
10 risk a new period of estrange-
ment, perhaps an overthrow of the
.Herriot government, whose pacific
tendencies meet with general Brit
Ssh approval.
In the end the British expect the
French to pay them something. they
believe that France will perceive
that self interest, II nothing else,
would determine this, because other
wise in new contest such as al
ways remains possible in Europe,
France would know in advance that
Britain could not and would not
again make such advances as were
indispensable in the last war. But
, I think l do not eXaggerate when
] say that 80 cents on the dollar is
the maximum of expectation from
France. Italian prospects are held
at much lower percentage.
AS for the American claim against
France, the British are at once
frankly amused and undisguisedly
curious. Our insistence upon COM
plete payment seems to them rather
absurd because with their own ex-
perience IN mind they are satisfied
that we are romantic in expecting
to collect all when they are only hope
full Of getting so per cent. not too
hopeful of that. Moreover. they are
certainly going to give France GER
tain present benefits in the way or
security in Europe, while we have
openly retired from Europe and re-
fused all pledges, as to security
Think Coercion Necessary.
Certainly all Englishmen agree that
France Will pay something, that there
Is easily understandable horror at
Paris for the word reputation, but
on the other hand, they are eager to
see what pressure we may be plan
ming to exert, what coercion we are
considering employing, and perhaps
with little malice they venture the
guess that without coercion there VIII
be little payment.
AS to the notion that France will
nav in full or ever consent to such
payment, this is regarded in London
as the merest moonshine. Instead
the forecast here is of very long. per-