(c) crown copyright

Catalogue Reference:CAB/65/19/1 Image Reference:0001

"£HIS DOCUMENT IB T H E PROPERTY OF H I S BRITANNIC MAJESTY'S GOVERNMENT

Printed for the War Cabinet. July 1941.

S E C R E T . Copy N o . 44

W . M . (41)

6 5 t h Conclus ions .

TO B E K E P T U N D E R L O C K A N D K E Y .

I t is reques ted t h a t special care, may be t a k e n to ensure the secrecy of this document .

W A R C A B I N E T 65 ( 4 1 ) .

CONCLUSIONS of a Meeting of the War Cabinet held at 10 Downing Street, S.W. 1, on Friday, July 4, 1941, at 10 A.M.

P r e s e n t : T h e R i g h t H o n . C . R. A T T L E E , M . P . , L o r d P r i v y Seal (in the Chair).

T h e R i g h t H o n . S i r J O H N A N D E E S O N , T h e R i g h t H o n . A N T H O N Y E D E N , M . P . , M . P . , L o r d P r e s i d e n t of t h e Council . Secre tary of S t a t e for F o r e i g n

Affairs.

T h e R i g h t H o n . A . G R E E N W O O D , M . P . , The R i g h t H o n . L O R D BEAVERBROOK, M i n i s t e r w i t h o u t P o r t f o l i o . Min i s t e r of Supp ly .

T h e R i g h t H o n . S i r K I N G S L E Y W O O D , M . P . , Chancel lor of the Exchequer .

T h e fol lowing were also p r e s e n t :

T h e R i g h t H o n . P . F R A S E R , M . P . , P r i m e Min i s t e r of N e w Zea land .

T h e R i g h t H o n . L O R D M O Y N E , Secre- The R i g h t H o n . A . V. A L E X A N D E R , t a r y of S t a t e for t h e Colonies. M . P . , F i r s t L o r d of the A d m i r a l t y .

T h e R i g h t H o n . S i r A R C H I B A L D T h e R i g h t H o n . A . D U F F COOPER, M . P . , S I N C L A I R , Bt . , M . P . , Sec re ta ry of Min i s t e r of I n f o r m a t i o n . S t a t e for A i r .

T h e R i g h t H o n . H U G H DALTON, M . P . , T h e H o n . S i r A L E X A N D E R CADOGAN, M i n i s t e r of Economic W a r f a r e P e r m a n e n t Unde r -Sec re t a ry of S t a t e (Item 3). for Fore ign Affairs .

A d m i r a l - of t h e F lee t S i r D U D L E Y Genera l S i r J O H N D I L L , Chief of t h e P O U N D , F i r s t Sea L o r d a n d Chief of I m p e r i a l Gene ra l Staff. N a v a l Staff.

A i r Chief M a r s h a l S i r C H A R L E S F . A . P O R T A L , Chief of t h e A i r Staff.

Secretariat. S i r E D W A R D B R I D G E S . M a j o r - G e n e r a l S i r H A S T I N G S I S M A Y . M r . W . D . W I L K I N S O N . M r . L. F . B U R G I S .

[22686]

W A R C A B I N E T 65 ( 4 1 ) .

" O.

Minute C O N T E N T S .

No.1.

Subject. T h e F o r e i g n a n d Mi l i t a ry S i t u a t i o n s

Air Operations. Naval Operations:

Shipping losses. Military Operations:

Syria Libya. U.S.S.R.

Page 117

2. Fore ign Affairs .... .... .... 117

3. U .S .S .RDenial of oil to the enemy.

117

4. H o m e DefencePreparedness against Invasion.

.... .... 118

5. P r o d u c t i o n ....Arrangements for forthcoming debate.

118

The Foreign and Military Situations. (Previous Bef erence: W.M. (41) 64th Conclusions, Minute 1.) Air Operations.

NavalOperations.Shipping Losses,

Military Operations. Syria. Libya.

II.S.S.E.

Foreign Affairs. (Previous Reference':. W.M. (41) 64th Conclusions, Minute 5.) (Previous Reference: W.M. (41) 63rd Conclusions, Minute 2.)

117 W . M . 65 ( 4 1 ) .

1. The Chiefs of Staff gave the fol lowing in fo rma t ion i n amplif icat ion of Cab ine t W a r Room Records Nos. 667-669 :—

S u m m a r y of a i r c r a f t losses since the 30 th J u n e : —

Home Theatre—

Enemy— 42 destroyed. 16 probable . 23 damaged .

Our Own— 16 F i g h t e r s . 27 Bombers .

4 Coas ta l Command.

Overseas Theatres—

Enemy— 32 des t royed (20 on the g round) .

8 probable . 22 damaged .

Our Own— 6 destroyed.

D u r i n g the las t t w o days we h a d m a d e successful r a i d s on s h i p p i n g a t Tr ipo l i , d u r i n g w h i c h five enemy vessels h a d been h i t .

D u r i n g the l as t t h ree days one sh ip of abou t 1,200 tons h a d been sunk by a i r c r a f t a n d abou t 17,000 tons of s h i p p i n g h a d been

damaged .

P r o g r e s s cont inued to be slow. A te legram h a d been sent to the Commander- in-Chief , M i d d l e Eas t , u r g i n g the impor tance of a qu ick decision,

The re were ind ica t ions t h a t f u r t he r re inforcements h a d reached the enemy, b u t i t w a s believed t h a t these consisted of I t a l i a n t roops only.

So far , we h a d p rac t i ca l ly no in fo rma t ion beyond w h a t h a d been publ i shed in the communiques . The R u s s i a n s d i d not seem to have lost confidence, a n d the i r la tes t type of f ighter h a d been do ing well. S ix teen Ge rman a r m o u r e d divis ions h a d so f a r been used a g a i n s t the Russ ians . T h e m a i n G e r m a n t h r u s t w a s s t i l l a s t r i de the M i n s k - S m o l e n s k R a i l w a y t o w a r d s Moscow.

T h e W a r Cabine t took note Of these s ta tements .

2 . The Foreign Secretary gave the fol lowing in fo rmat ion :—

Turkey. There w a s reason to believe t h a t the T u r k i s h Government

s t i l l i n t ended to base t he i r fo re ign policy on the A n g l o - T u r k i s h A g r e e m e n t .

Japan. The re w a s no re l iable ind ica t ion of J a p a n ' s fu tu re policy.

U.S.S.R. 3 T h e W a r Cab ine t h a d before them a M e m o r a n d u m by the Denial of oil to M i n i s t e r of Economic W a r f a r e ( W . P . (41) 145) p ropos ing t h a t the enemy S i r Stafford C r i p p s should be a u t h o r i s e d to discuss f o r t h w i t h w i t h

Home Defence. Preparedness against Invasion.

Production. Arrangements for forthcoming Debate.

the Russ i ans t h e best method of d e n y i n g R u s s i a ' s oil resources to t h e enemy a n d to r e p o r t w h a t offer, i n h i s j udgmen t , should be m a d e to the Soviet Government .

T h e W a r C a b i n e t -

Whi le agree ing w i t h t h e impor t ance of t h i s m a t t e r , decided t h a t i t would be preferable first to i n v i t e Sir Stafford C r i p p s ' s v iews a s to how th i s m a t t e r should be h a n d l e d ; and invi ted t he F o r e i g n Secre tary , in consul­ta t ion w i t h the M i n i s t e r of Economic W a r f a r e , t o te legraph to S i r Stafford C r i p p s accordingly. /

4. The Lord Privy Seal i n fo rmed the W a r Cab ine t t h a t t h e P r i m e Min i s te r h a d decided t h a t ins t ruc t ions should be issued t h a t —

Al l our defences were to be b rough t to t he very h ighes t s t a t e of an t i - invas ion efficiency by the 1st September . I n the meant ime, of course, no vigi lance should be re laxed .

I n s t ruc t i ons h a d been issued i n t h i s sense by the Chiefs of Staff to the i r Commanders- in-Chief , a n d the P r i m e Min i s t e r asked t h a t th i s di rect ion should also be b rough t to the notice of a l l Civ i l Depa r tmen t s .

T h e Lord P r i v y Seal added t h a t h e unders tood t h a t t he P r i m e Min i s t e r proposed to issue a sui table w a r n i n g to t he pub l i c before long.

T h e W a r C a b i n e t -

Inv i t ed all Min i s t e r s to b r i ng t h i s ins t ruc t ion t o t he not ice of those concerned in t h e i r D e p a r t m e n t s .

I n a short discussion i t w a s exp la ined t h a t t h i s d i r ec t ive w a s not in tended to p reven t the despa tch of any necessary re in force­ments to the M i d d l e Eas t .

5. The Lord Privy Seal s a id t h a t i t was undes i rab le t h a t t h i s Debate (which would t ake place o n t h e 2nd a n d 3 rd s i t t i n g days in the following week) should extend over a very w i d e r a n g e of subjects. I t w a s proposed t h a t i t should cover m a t t e r s a r i s i n g on the Votes of t he M i n i s t r y of S u p p l y a n d the M i n i s t r y of A i r c r a f t P roduc t ion , a n d t h a t the two M i n i s t e r s should a r r a n g e on wh ich of the two days t h e Min i s t e r of A i r c r a f t P r o d u c t i o n a n d the P a r l i a m e n t a r y Secre ta ry of the M i n i s t r y of Supp ly should speak. Quest ions affecting man-power m i g h t well be ra i sed , a n d a Min i s t e r i a l r ep resen ta t ive of the M i n i s t r y of L a b o u r shou ld .a l so b e avai lable .

T h e W a r C a b i n e t -

Expressed genera l agreement w i t h these sugges t ions .

Great George Street, S. W. 1, July 4, 1941.

4 COPY.

( C y p h e r ) .

SPECIAL ARFAB AND WAR CABINET D I S T R I B U T I O N .

T o : SOVIET UNION.

P r o m MINISTRY OF ECONOMIC WARFARE To MOSCOW.

N o . 1 4 3 ARFAR MOSSY. 8 t h J u l y , 1 9 4 1 . D . 2 . 2 0 p . m . 9 t h J u l y , 1 9 4 1 .

SECRET.

So s o o n a s y o u c a n g i v e u s s o m e i n d i c a t i o n o f a t t i t u d e o f S o v i e t G o v e r n m e n t t o d e s t r u c t i o n o f C a u c a s u s o i l - f i e l d s i n c a s e o f n e c e s s i t y i n o r d e r t o d e n y o i l t o t h e e n e m y , we a r e p r e p a r e d , i f y o u r e c o m m e n d i t , t o e x a m i n e w h a t o f f e r m i g h t h e m a d e t o S o v i e t G o v e r n m e n t a s r e g a r d s o u r h e a r i n g p a r t o f t h e l o s s e s e n t a i l e d .

2 . Y o u w i l l r e c o l l e c t t h a t w h e n t h i s s u b j e c t w a s d i s c u s s e d w i t h y o u i n L o n d o n i t w a s a g r e e d t h a t i t w o u l d b e b e s t t o t a c k l e t h e m a t t e r n o t b y o f f e r i n g a m o n e y p a y m e n t b u t b y d e v i s i n g m e a n s o f h e l p i n g S o v i e t G o v e r n m e n t t o r e p l a c e c o n s e q u e n t d e f i c i e n c i e s b o t h i n h o m e s u p p l i e s o f o i l a n d i n m a c h i n e r y d e s t r o y e d .

3 . We s h o u l d t h e r e f o r e b e g l a d a f t e r q u e s t i o n o f d e s t r u c t i o n o f o i l - f i e l d s h a s b e e n r a i s e d w i t h S o v i e t G o v e r n m e n t t o l e a r n ( a ) w h a t a r e i n y o u r v i e w t h e p r o s p e c t s o f S o v i e t a u t h o r i t i e s t a k i n g e f f e c t i v e a c t i o n f o r t h e d e s t r u c t i o n o f t h e o i l - f i e l d s ; ( b ) w h e t h e r y o u t h i n k o f f e r o n l i n e s i n d i c a t e d i n p a r a g r a p h 2 i s l i k e l y t o b e ( i ) n e c e s s a r y ( i i ) e f f e c t i v e ; ( c ) n a t u r e a n d s c o p e o f o f f e r w h i c h w o u l d h a v e t o b e m a d e i n o r d e r t o p r o d u c e n e c e s s a r y e f f e c t .

4 . Y o u s h o u l d n o t a t t h i s s t a g e m a k e a n y p r o p o s a l s o n b e h a l f o f H i s M a j e s t y ' s G o v e r n m e n t t o S o v i e t G o v e r n m e n t , b u t , i f i t i s c l e a r t h a t p r o s p e c t s o f e f f e c t i v e s t e p s b e i n g t a k e n a r e i n f a c t d e p e n d e n t o n s o m e s u c h i n d u c e m e n t , y o u m a y , i n o r d e r t o o b t a i n s u f f i c i e n t i n d i c a t i o n s o f S o v i e t v i e w s t o e n a b l e y o u t o p r o v i d e u s w i t h i n f o r m a t i o n r e q u e s t e d a b o v e , s a y t o S o v i e t a u t h o r i t i e s t h a t , w h i l e y o u c a n n o t s a y h o w m a t t e r w o u l d b e v i e w e d b y H i s M a j e s t y ' s G o v e r n m e n t , y o u r a r e p r e p a r e d t o e n q u i r e w h e t h e r t h e r e i s a n y p r o s p e c t o f t h e i r b e i n g r e a d y t o a s s i s t i n m a k i n g g o o d p a r t o f t h e l o s s e s e n t a i l e d .

9 ^ C o p i e s s e n t t o L o r d H a n k e y , S i r E . G r i g g , C a p t a i n B e r k e l y , M r . V i l l i e r s , M r . N i c h o l s o n a n d M r . F r a s e r a /