British Plan for Western European Bloc
 
                               Summary
 
 
     As a "hedge" against the possible failure of a World
Security Organization the British are following the policy 
recommended by General Smuts of strengthening their position 
by drawing the nations of  Western Europe  into closer association 
with the Commonwealth. They have taken pains to affirm that 
such an arrangement  would be within the framework of a World 
Security Organization, and to assure the Russians that the 
policy is not directed against them. They have also called
attention to the fact the Russians are following a similar 
line in Eastern Europe.
 
     The Smuts idea was to offer France, Belgium, Holland, 
Norway and Denmark something in the nature of dominion status 
in the Commonwealth. It would involve such steps as the 
creation of a common foreign policy; coordination of military 
strategy; combined boards for finance, transport, production, 
supplies, resources, and raw materials, a customs union; 
currency agreements; and a joint approach to civil aviation 
and colonial problems.
 
     The Russians are opposed to the plan, seeing in it 
primarily an attempt by Britain to strengthen her sphere of 
influence as agianst Russia. It is the British claim, and they 
have so informed the Russians, that it is directed against 
Germany. Russian opposition has led the British to "pull in 
their horns," but they will undoubtedly try to achieve as many 
as possible of the objectives of the plan by one means or 
another as additional security insurance.
 
                    Recommendations
 
      The policy has been widely criticized as a return to power 
politics. It would tend to divide Europe into two camps when 
unity, rather than division, is imperative. It would 
accordingly militate against the chances of Dumbarton Oaks.  Its 
economic features would run counter to the principles of free 
access to foreign markets and raw materials.
 
      The paramount need is to promote understanding between 
Great Britain and Russia. It is recommended that no support 
be given to the plan at this rise, or to any proposal which 
would encourage the division of Europe into regional blocs.