Copy of a letter from WSC to Stanley Baldwin, Prime Minister, explaining his efforts to have a settled financial policy and discussing increased navy estimates and his calculations that they are higher than suggested. He argues that armaments expenditure paralyses government policy in social and industrial reform, tax reduction and borrowing and warns that accepting the navy estimates will lead to electoral defeat; that the Admiralty is preoccupied with unfounded and unlikely threats from Japan; and suggests that the Admiralty should revise its estimates on the basis of no naval war in the next 20 years.Unsigned carbon typescript.