HC Deb 08 November 1937 vol 328 cc1381-9
8. Mr. Thurtle

asked the Secretary of State for Foreign Affairs whether his Department has yet come to any conclusion regarding the identity of the aeroplane which bombed and sank the British steamer "Jean Weems"; and, if so, will he say what this conclusion is?

Mr. Eden

The aircraft concerned belonged to the insurgent forces. As a result of the representations which were made to the Salamanca authorities by His Majesty's Ambassador at Hendaye in connection with this incident, the former have undertaken to express their official regret and to give an assurance that orders will be given to their forces to take all possible precautions against further incidents of this nature. They have, furthermore, agreed, so far as liability and payment of compensation are concerned, to submit the case, if necessary, to arbitration and to abide by the result.

Mr. Bellenger

Can the right hon. Gentleman say whether, in addition to identifying the aeroplane, any investigations have been made as to the identity of the pilot, because he will know that I put a question on this matter as to the pilot last week?

Mr. Eden

Yes, Sir, I have given the House all the information in my possession, and I think the House will agree that, in unsatisfactory conditions, it is a satisfactory answer.

Mr. Shinwell

Can the right hon. Gentleman say whether the attack was deliberate or accidental? May I press for an answer, Mr. Speaker?

Mr. Eden

I beg your pardon, Mr. Speaker. That is a matter of opinion.

Mr. Shinwell

Has the right hon. Gentleman in the process of making inquiries, ascertained whether, in fact, it was deliberate or accidental?

Mr. Eden

If the hon. Gentleman wishes me to express an opinion, perhaps he will be good enough to put down a question?

Brigadier-General Sir Henry Croft

With a view to the prevention of cases of this kind, can any steps now be taken to prevent foreign volunteers sailing to Spain with munitions under the British flag?

Mr. Eden

That is another question, and I hope that my hon. and gallant Friend will be good enough to put it down.

11. Mr. G. Strauss

asked the Secretary of State for Foreign Affairs whether he can give any information as to the recent arrival of Italian troops in Spain from Spanish Morocco?

Mr. Eden

My attention was drawn to a rumour which was current during September of the arrival at Melilla of a considerable force of Italian troops en route for Spain. I gave instructions that inquiries into this rumour should be instituted on the spot; and received a report that it was without foundation.

Mr. Strauss

Has the right hon. Gentleman any information in regard to the announcement made in wide sections of the Press that during two or three weeks recently Italian forces have arrived at Malaga from Libya?

Mr. Eden

That is another question.

Major-General Sir Alfred Knox

Are not wide sections of the Press generally wrong in this matter?

14. Mr. Shinwell

asked the Secretary of State for Foreign Affairs whether any information has been conveyed to the NonIntervention Committee as to the amount and value of munitions and foodstuffs exported by Germany and Italy to Spanish territory under the control of General Franco during the last 12 months; and whether, in the absence of such information, he will request the German and Italian Governments to supply it?

Mr. Eden

I understand that the NonIntervention Committee have received no definite statistics in regard to the supply of munitions by Germany and Italy to Spanish territory under the control of General Franco. I would point out that the export of foodstuffs to Spain does not come within the scope of the Non-Intervention Agreement. If the hon. Member wishes to know the published figures of Italian and German trade with Spain I will try and obtain them for him.

Mr. Shinwell

Can the right hon. Gentleman say how it is possible for the Non-Intervention Committee to assess the extent of the intervention in the absence of definite statistics, and will he be good enough to say why in a recent speech he used figures of exports from Soviet Russia to Republican Spain and failed to give comparable figures of exports from Germany and Italy to Spanish territory under General Franco?

Mr. Eden

What I gave were the figures made public by the Soviet Government. I am quite willing to obtain and make known the published figures of Germany and Italy.

9. Mr. Gallacher

asked the Secretary of State for Foreign Affairs whether any negotiations have yet been started between representatives of His Majesty's Government and of General Franco for the purpose of establishing semi-consular representation of Great Britain in the territory now under the control of the latter; whether such representation is intended to be reciprocal; and whether it foreshadows any move towards de jure recognition of the Franco administration?

16. Mr. W. Roberts

asked the Secretary of State for Foreign Affairs whether a trade agreement is being negotiated with the insurgent authorities in Spain; and, if so, whether such an agreement will include the exchange of consuls?

17. Mr. Parker

asked the Secretary of State for Foreign Affairs the reason for the sudden withdrawal of the promise given by the Spanish insurgents that the British ships held by them should be released; whether this is connected with the recent sinking of the "Jean Weems"; and what steps His Majesty's Government propose to take about the matter, in view of the fact that after lengthy negotiations the ships now appear to be further from release than they were on 3rd November?

19. Lieut.-Commander Fletcher

asked the Secretary of State for Foreign Affairs whether the French Government were consulted concerning the decision to exchange agents with General Franco or were only informed of a decision to do so?

21. Mr. J. J. Davidson

asked the Secretary of State for Foreign Affairs the date of the Government decision to appoint a representative to the Government of General Franco in Spain; and why the Government's intention to make this appointment was not disclosed to the House earlier?

Mr. Eden

Perhaps the hon. Members will he good enough to await the statement which I propose to make at the end of questions in answer to a private notice question asked by the right hon. Gentleman, the Leader of the Opposition.

Mr. Attlee

(by Private Notice) asked the Secretary of State for Foreign Affairs whether he will make a full statement on the Government's decision to enter upon negotiations for the appointment of agents by the Government and by General Franco respectively, for the discussion of questions affecting British nationals and commercial interests; indicating, if they have been appointed, who the British agents are to be; what their particular status will be; whether, in the event of these agents having occupied diplomatic posts in the past, these new appointments are to be regarded as reductions in status; whether the French Government or any other Government is taking similar action; and what steps, if any, are being taken to maintain like contacts within the territory held by the lawful Government of Spain?

Mr. Eden

In deference to the wish expressed by the Leader of the Opposition last Thursday, I will, with the permission of the House, make a fuller statement than is perhaps customary on such occasions.

In the Government's view the step which they now propose to take is essential for the proper protection of British commercial, industrial and financial interests in that part of Spain which is under the Control of General Franco. These territories include two-thirds of continental Spain and practically all her overseas territories. Without including the Canary Islands or the Spanish zone of Morocco, there are many million pounds sterling of British capital invested in this area. The greater part of this is in respect of iron ore, copper and lead mines and the sherry industry. In addition, in normal times a considerable part of our total Spanish trade is carried on with the same area which, I may mention, takes large quantities of coal from South Wales.

All these interests have inevitably suffered, in a greater or less degree, from the existenc of the civil war. In that area, no less than in the area under the control of the Government at Valencia, war conditions have resulted in a large measure of interference by the Spanish authorities with British, in common with other foreign undertakings. As the war developed all these difficulties became more and more acute. This situation inevitably called for direct negotiations with the authorities at Burgos or Salamanca. But the machinery for that purpose was lacking. At neither of those places— towns of no sufficient importance in normal times—had we any representative. The only career Consuls in General Franco's territory were stationed at the ports, and only as a result of the occasional visits paid to Burgos (about 150 miles away) or to Salamanca (over 300 miles away) by the Commercial Secretary to His Majesty's Embassy at Hendaye and the personal contact thus established could any progress at all be made. But this occasional and fortuitous contact was wholly inadequate. In the matter of contact with the insurgent authorities His Majesty's Government have throughout the past year been at a greater disadvantage than any other Power having large interests in that part of Spain. It became increasingly clear that an end must be put to this unpre- cedented state of affairs, and that some machinery must be set up by which each side could give proper attention to matters common concern to both of them. It would have been possible to transfer to Salamanca or Burgos consular officers with special experience of commercial and financial questions. But the appointment of new Consuls with commissions from His Majesty the King and the grant to them of an exequatur by the authorities at Salamanca would have implied a measure of recognition of these authorities.

After mature consideration the Government came to the conclusion that the situation could best be met by an exchange of agents. The duty of the agent appointed by His Majesty's Government will be the protection of British subjects and the protection of industrial and trade interests throughout this area. As the Prime Minister has already stated, negotiations have been entered into with this object in view. In addition to these agents, sub-agents will be appointed at a limited number of places to be agreed upon between the two parties. The reception of such an agent in London will not in any way constitute recognition by His Majesty's Government of the authorities of the territories under the control of General Franco, and neither party will accord or expect to receive diplomatic status for their agents. No appointment to the post of British Agent has yet been made.

Before giving final approval to this proposal, His Majesty's Government have insisted upon a satisfactory settlement of two points in regard to which no progress had so far been made. I refer to the seven ships until lately detained at Ferrol or elsewhere and to two cargoes of British-owned iron ore which, during the summer, were confiscated. Satisfaction has been obtained. Orders have been given for the release of all these ships and, as the House was informed last week, some have already left Spain. Orders have also been given for an equivalent amount of iron ore to be placed at the disposal of His Majesty's Embassy at Hendaye.

I have already said that the arrangement is to be concluded upon a basis of strict reciprocity. This reciprocity must logically include freedom for the agents and sub-agents to exercise, in the same way as consular representatives, all the normal functions of Consuls in relation to matters of commerce and navigation. To the extent, therefore, that our agent and sub-agents are allowed to exercise such functions in Spain, the agent and sub-agents of General Franco will be permitted to exercise similar functions in this country.

The House will appreciate that this is a matter which essentially concerns British commercial interests. The French Government were, however, informed of our intentions.

In reply to the last part of the right hon. Gentleman's question, diplomatic contact with the Spanish Government will continue to be maintained as at present by His Majesty's Chargé d'Affaires at Valencia, who will shortly be moving to Barcelona.

Mr. Attlee

May I ask the right hon. Gentleman whether the whole of the business of non-intervention is not also concerned very closely with trade relations and relations between nationals of this country and Spain, and why there has not been consultation with other Powers concerned in this matter?

Mr. Eden

If the right hon. Gentleman means to inquire why we have not raised this matter in the Non-Intervention Committee, he will perceive that there would be little service in doing that when some of the Governments have already recognised General Franco as the Government of Spain, while others continue to recognise the Government at Valencia.

Mr. Attlee

I am asking whether we have conferred with the French Government in particular on this matter; I was not referring to those who are actively intervening.

Mr. Eden

As I have told the House, the French Government were informed of what we intended to do. If the right hon. Gentleman means to inquire whether I asked the French Government whether they agreed, the answer is in the negative. I would not have expected the French Government to ask me a question of that sort. I have had no representations of any kind from the French Government against the steps which are being taken, although we informed them of it some time ago.

Mr. Attlee

Is there any precedent for sending agents of this kind to rebels who have not been given recognition as belligerents?

Mr. Eden

Yes, I think there is. I think that there is a precedent in the case of General Venezelos in Greece, but I would remind the House that it would be very difficult to find a precedent for withholding belligerent rights for so long.

Sir Archibald Sinclair

Will the former precedents, such as that in the American Civil War and the Chinese Civil War, be followed in which belligerent status was recognised; and will the political agents who are sent to Spain be under the orders of the Ambassador accredited to the legal Government of Spain?

Mr. Eden

Yes, it is our present intention that that should be the position. I am informed that there were actually no agents in the American Civil War, but as to the general position now, it is our intention that the agents should be under the general direction of His Majesty's Ambassador to Spain.

Mr. Maxton

Does that mean that they will also be under the direction of the Chargé d'Affaires at Barcelona?

Mr. Eden

That is obviously not practicable.

Mr. Maxton

Is it not more practicable for them to be responsible to the official who has been able to remain in Spain during the whole time rather than to one who has been absent all the time?

Mr. Eden

The hon. Gentleman is a little difficult to satisfy. When I try to arrange a contact, he criticises it.

Mr. Attlee

May I ask whether, in view of the importance of this statement, the Government can give time this evening by moving the Adjournment at a convenient hour in order that it may be discussed?

The Prime Minister (Mr. Chamberlain)

I should not have thought that any further discussion was necessary after the very full statement which my right hon. Friend has made, but if the House desires it, I think that it can be arranged.

Mr. Attlee

The right hon. Gentleman will realise that the Foreign Secretary is occupied and has to go back to Brussels; and in view of this very grave departure from what has previously been done, the House should have an opportunity of discussing it, which it did not have on the previous occasion.

The Prime Minister

I do not want that to be made a grievance, but if the right hon. Gentleman presses it, I will arrange for the Adjournment to be moved to-night at some convenient interval in the business, say, some time about 8 o'clock. The exact time can be arranged.

Mr. Gallacher

I want to ask the Foreign Secretary—

Mr. Speaker

If it is on the same subject, I would remind the hon. Gentleman that it is to be discussed to-night.

Mr. Gallacher

I understand that we are to discuss the question that has been raised by the Leader of the Opposition, but the Foreign Secretary informed me that he would answer my question at the conclusion. I am now dealing with my question. I want to ask the Foreign Secretary whether he is aware that Guest, Keen & Nettlefold hold the majority of the shares in some of these iron works, and that several Cabinet Ministers nave interests in Guest, Keen & Nettlefold; and is the right hon. Gentleman prepared to have a referendum of the people on this question before this criminal policy is dealt with any further? A whole bunch of these people are interested.

Mr. Speaker

I see nothing about this firm in the Question on the Paper.