Foreign Relations of the United States, 1952–1954, Western Europe and Canada, Volume VI, Part 1

741.5 MSP/12–753: Telegram

No. 426
The Ambassador in the United Kingdom (Aldrich) to the Department of State¹

secret

London, December 7, 1953—8 p.m.

2476. Cotel. Noforn. Defense pass personal for Kyes and Nash. Subject: MDAP support for RAF Plan K. Country team understands from Arth–Gordon phone conversation December 5² that Washington desires up-to-date answers on questions set forth below.

Question 1: Is UK request for assistance to Plan K an official governmental request, or is it merely an Air Ministry or RAF request?

Answer: Request for Plan K assistance has had full support of Defense Ministry and Treasury since initiation this proposal. Request personally approved by Chancellor of Exchequer, as well as Treasury officials, and officials of Ministries of Defense, Supply, and Air. There is no question as to full governmental coordination from the start.

Question 2: What is relationship between Plan K assistance and UK NATO submission?

Answer: Plan K is the schedule for RAF expansion and modernization on which is based Air Force Section of UK NATO submission, including both forces to be assigned to SACEUR and Home Defense Forces. UK responses to NATO AR questionnaire stated explicitly that through April 1, 1956, total RAF plan would cost 83 million pounds more than would be provided by planned defense expenditures up to that date, and that fulfillment these plans by UK was dependent on provision US military assistance in form OSP of equipment produced in UK to be allocated to RAF (together with certain complementary military assistance out of US production). This amount was scaled to 75 million pounds to reflect requirements by end of calendar 1955. Refined submissions from British to MAAG/UK revealed that of the 75 million pounds, 40 million pounds would be required in calendar 1954 and 35 million pounds in calendar 1955.

Question 3: How does proposed British-proposed support for Plan K relate to “integrated defense of North Atlantic area[”] as required by Section 101, MDA Act of 1949, as amended?

Answer: All of the procurement envisaged from this support is to be allocated to RAF units which are either committed to SACEUR or are assigned to National Command Forces operating in defense of the North Atlantic area. The support of Plan K for this purpose is endorsed by SACEUR provided that, in return for the aid accorded, the UK agrees to more definite arrangement whereby the UK striking force (medium bombers) is either committed to SACEUR or would be made available to SACEUR on priority basis. Country Team assumes that US support would be conditioned on arrangement to this end satisfactory to SACEUR.

Question 4: What is relation between special aircraft program for which Congress has provided $85 million in FY 1954 (with further $75 million under consideration for FY 1955), on one hand, and proposed support for Plan K on other?

Answer: $85 million is part of total of $200 million for FY 1954 of support for UK defense budget in British FY 1954–55, as worked out in bilateral Cabinet level discussions in Paris last April. In order to give the combined budgetary and balance-of-payments support then worked out and subsequently confirmed to UK (Usfoto 190 November 2³) this $85 million must be applied to aircraft already covered by UK budget.

UK budget did not, however, cover entire cost RAF Plan K aircraft program. Support for Plan K now being considered is designed meet balance this cost. It, therefore, additional to and not duplication of $85 million special aircraft program. This point clearly brought out during April talks.⁴ See Paris Embtel 5671 April 26⁵ and paragraph 3–C, Gordon memorandum to Stassen April 24.⁶ See also London Embtel 5850 April 29, paragraph 2; London Embtel 6290 May 27, paragraph 4; London Embtel 437, July 29, paragraph 1; and London Embtel 1347 September 29, paragraph 4.⁷

In recommending specific planes to be financed under $85 million special aircraft program on the one hand, and under proposed Plan K support program on other, Country Team has maintained sharp distinction between the two. The funds provided under special aircraft program are to be used procure Canberra bombers, Swift dayfighters and fighter reconnaissance, and Valiant medium bombers. Plan K support funds are to be used for Hawker Hunter, Havelin, Canberra photo reconnaissance, and Valiant photo reconnaissance aircraft. Therefore, there no overlapping or duplication of aircraft procurement planned in the two separate and distinct support programs, and both types of financial assistance are required if attainment of Plan K is to be fully realized.

From Ambassador: I wish emphasize again, as I did in Embtel 438 July 29,⁸ my strong personal support for affirmative action on this program. I understand funds can be made available and that SACEUR and US Regional Defense representatives endorse this plan, as well as all elements London Country Team.

UK is in final stages preparing defense budget for their FY 1954–55 (beginning April 1), and is firming up corresponding aircraft production plans. For this reason, and also because UK air contribution as contained NATO AR documents depends in important measure on our favorable action, I believe affirmative decision should be made this week so it can be conveyed to British prior to NATO Ministerial meeting.

Aldrich

1. Repeated to Paris, Bonn, and Wiesbaden.
2. No record of the telephone conversation under reference here has been found in Department of State files.
3. Not printed: it informed the Embassy in London that it could confirm to the British that they would receive $200 million in economic aid for the 1954–1955 defense budget. (741.5 MSP/11–253)
4. For the record of the meetings between United States and United Kingdom officials at Paris during the Eleventh Session of the North Atlantic Council Apr. 23–25, 1953, see telegrams 5623 and 5667 from Paris, Apr. 23 and 26, in vol. v, Part 1, pp. 371 and 385.
5. Not printed; it reported that during the bilateral talks in April a basic program of support for the British defense effort had been developed. (741.5 MSP/4–2653)
6. Not found in Department of State files.
7. None of the telegrams under reference in this sentence is printed. They all dealt with the economic assistance which would be needed by the United Kingdom to carry out Plan K. (741.5 MSP/4–2953, 5–2753, 7–2053, and 9–2953)
8. Not printed. (741.5 MSP/7–2953)