In a conversation this evening, Sir Alexander Maguire said that he knew a number of people of influence both in the North of Ireland and Britain whom he thought he could interest in the political situation.

He asked if I could indicate to him quite confidentially for his own information what was the least I would take in the settlement of Anglo-Irish relations. I referred to the lines of settlement which I had indicated in 1921 - a Republic for the whole of Ireland in which the Northeast might have local autonomy, the reserved powers going to a central Irish Parliament. The Northeast would have to guarantee the same rights to the nationalist minority as were enjoyed by the minority down here. The Republic could be associated with the states of the British Commonwealth on lines of practical co-operation; the fact of co-operation being a sufficient symbol of association. Recognition of the King as head of the Association of States, whilst I said I thought that would have been possible in 1921 it would now be extremely difficult. A defence treaty for mutual protection and a trade treaty giving mutual preference should not occasion insuperable difficulty. The real difficulties were: first, the securing of unity of Ireland, and, second, the putting aside of the Monarchy and the recognition of the Republic. I made it clear that in my opinion any settlement on lesser terms would not give the satisfaction which would enable us to be really friendly with Britain