For its part, the German Government believes that the agreement on which it has just concluded with Her Majesty`s Government in the United Kingdom and which it considers to be a permanent and final agreement with effect today between the two governments will facilitate the conclusion of a general agreement on this issue between all the maritime powers of the world. In recent days, representatives of the German government and Her Majesty`s Government have met in the United Kingdom, whose main objective was to pave the way for a general conference on the subject of naval armament limitation. I am very pleased to report to Your Excellency that Her Majesty`s Government in the United Kingdom has formally accepted the German Government`s proposal, which was discussed during these discussions, that the future strength of the German Navy in terms of the overall strength of the members of the Commonwealth of British Nations should be 35:100. Her Majesty`s Government in the United Kingdom considers this proposal to be a contribution of the utmost importance for the future limitation of the sea. They also believe that the agreement they have now reached with the German government and which they see as a permanent and final agreement between the two governments from today will facilitate the conclusion of a general agreement on the subject of maritime restriction between all the world`s maritime powers. By asking the Navy to divide its tonnage by 35% by class of warships, the Germans were forced to build a symmetrical shipbuilding programme of the “balanced fleet” that reflects the priorities of the United Kingdom. [25] Given that Royal Navy leaders believed that the “balanced fleet” would be the easiest German fleet to defeat and that a German guerrilla fleet was the most dangerous, the agreement brought considerable strategic benefits to the United Kingdom. [49] Especially since the Royal Navy did not build “pocket boatmen,” Chatfield appreciated the end of the armoured ship building. [49] At a cabinet meeting on 3 May 1939, the First Lord of the Admiralty, Lord Stanhope, stated that “Germany, at this stage, was building ships as fast as possible, but would not be able to exceed the quota of 35 per cent until 1942 or 1943.” [69] Chatfield, now Defence Minister, said Hitler had “convinced” himself that the UK had given the UK a “carte blanche” in Eastern Europe in exchange for the deal.

[69] Chamberlain stated that the United Kingdom had never shown such understanding to Germany, and he noted that, when he met the Fuhrer at the Berchtesgaden Summit in September 1938, he had for the first time been aware of Hitler`s faith in such an unspoken agreement. [69] In a later document to the cabinet, Chatfield stated that “we could say that we understood now that Mr. Hitler had thought in 1935 that we had given him carte blanche in Central and Eastern Europe, in exchange for his acceptance of the 100:35 report, but as we could not accept the correctness of that opinion. , it would be better if the 1935 agreements were cancelled.” [70] Due to the length of time required to build warships and the short duration of the agreement, its effects were limited.