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If, however, the standard revenue was maintained, then the rate in due course was to be further reduced to 2s. 0d, This was done in the autumn of 1905. The rate to New York, which has been driven down to the lowest payable point by competition, works out at 3· Similarly, France has contemplated a line from Marseilles to Jaffa in Syria, thence to the Gulf of Akabah, and so down the Red Sea to Madagascar southwards, and Cochin-China in the East. On the other hand, the Red Sea is shallow, and so are the waters near Malta and Gibraltar. Nevertheless, for further security, a special cable, as mentioned, was laid in 1898 direct from here to Gibraltar and thence to Malta, at a cost of £806,000, while a land-line across France, over which the bulk of the Indian traffic used to pass to Marseilles, and thence by cable to Malta, was given up. The only line, however, which needs our attention is that duplicate sequence of cables, given on the accompanying map, owned by the West India and Panama Company, and running from Jamaica right through our British Islands to Demerara on the South American continent.

From 1870 to the present time, Germany, Spain, Portugal, Morocco, Tunis, France, Italy, Austria, Greece, Tripoli, Crete, Cyprus, Turkey, and Russia have allowed British capital and British enterprise to connect them with our system, in complete reliance upon the proved international uprightness and fair dealing of our citizens. No sooner had the cable route to India along the north coast of Africa been established in 1870 than British enterprise began to turn its attention southward to the problem of communication with our African Colonies. Nevertheless, the same Committee felt it to be its duty to add that the cable communications between Britain and India are not strategically satisfactory, as long as a cable is not laid by the Eastern Telegraph Company from Southern India to Cocos, a British island south of India. We wish to say,' said the Cable Committee of 1902, 'that we are strongly opposed to any scheme for the general purchase of private cables by the State.… We do not think,' said the Cable Committee of 1902, 'that the remedy lies in Government intervention. This prevents the mending of the cable during that period. 4d. per 1,000 miles, while the cable rate to India, deducting the terminal rate paid to the Indian Government, works out at 2·

But while the strategical position is fairly satisfactory, the commercial situation is not The West Indian Islands, stretching like a twisted cord from the point of Florida to the mouth of the Orinoco, are owned by several nations. Branch-lines unite certain French and German possessions in those regions to our main line, and the international character of our cable enterprise is preserved, while all-British communication is also provided. Since Jamaica is the most important of our islands in that region, and is in close touch with the others, strategic requirements appear to be reasonably satisfied by this all-British connection. Thanks to these all-British routes, India would escape being cut off if both the European land-lines and the cables in the Mediterranean were cut. Meanwhile, subsidiary to this main line, a multitude of short cables began to radiate from the trunk route, uniting every important European nation. But, obviously, if the main route were State-owned by us, foreign nations would seek their own connections, to the detriment of the British capital sunk in all these subsidiary cables, and to the detriment also of the important influence indirectly entrusted to us under the present system. It is sometimes said that the Imperial Government should buy up British cables and manage them itself.

It is a British company, and unites all our possessions with Jamaica through the medium of Porto Rico, owned by the United States, and of a pair of small Danish islands. A line of French cables, largely subsidized by the State, unites New York to San Domingo, and from San Domingo radiates on all sides, south, east, and west to Venezuela, Cuba, and the French possessions of Martinique and Guadeloupe. But their resources, with the exception of those of Cuba, are so limited that one set of cables under one control would amply suffice for them, uniting them to each other and to the North and South American continents. A certain article in the joint purse agreement provided that no alteration of tariff was to be made without mutual consent of the three contracting parties, one of which was the Indo-European Company. The Imperial Government agreed to pay £35,000 a year for twenty years, receiving in return a rebate to the extent of one-half the ordinary tariff on its official messages.

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