northern territory now held by the
Germans. These are not the convictions of men here, but they have
distinctly become the fears; and many men's mind are beginning to
adjust themselves to the possible end of the war, as a draw, with
these results. Of course such an end would be a real German
victory and--another war as soon as enough men grow up to fight it.

When the more cheerful part of public opinion, especially when any
member of the Government, affects to laugh at these fears, the
people say: "Well, make known the facts that you base your hope on.
Precisely how many men have volunteered? Is the voluntary system a
success or has it reached its limit? Precisely what is the
situation in the Dardanelles? Are the allied armies strong enough
to make a big drive to break through the German line in France?
Have they big guns and ammunition enough? What are the facts about
the chance in the Dardanelles? What have we done with reference to
the Balkan States?" Thus an angry and ominous political situation
is arising. The censorship on war news apparently becomes severer,
and the general fear spreads and deepens. The air, of course,
becomes heavily charged with such rumours as these: that if the
Government continue its policy of secrecy, Lloyd George will
resign, seeing no hope of a real victory: that, if he do resign,
his resignation will disrupt the Government--cause a sort of
earthquake; that the Government will probably fall and Lloyd George
will be asked to form another one, since he is, as the public sees
it, the most active and efficient man in political life; that, if
all the Balkan States fail the Allies, Sir Edward Grey will be
reckoned a failure and must resign; and you even now hear talk of
Mr. Balfour's succeeding him.

It is impossible to say what basis there is for these and other
such rumours, but they show the general very serious depression and
dissatisfaction. Of that there is no doubt. Nor is there any doubt
about grave differences in the Cabinet about conscription nor of
grave fear in the public mind about the action of labour unions in
hindering the utmost production of ammunition, nor of the
increasing feeling that the Prime Minister doesn't lead the nation.
Except Lloyd George and the Chancellor of the Exchequer[19] the
Cabi