[matter omitted]

I think it will be very difficult for Germans to organize serious defence line east of Rhine so that except in unlikely event of breach coalition at this stage or some other unexpected development major part German territory will be occupied within next 2 months or so. I think therefore that moment is rapidly approaching at which one may reasonably on application of normal standard doubt whether German Government disposes sufficient German territory to have any hope of redressing situation with a prospect of again effectively governing national territory and where their sovereignty is seriously jeopardized whereas on the other hand I think present German Government will resist to end with whatever means they have taking refuge if necessary in South German and Austrian mountains. If such a situation develops diplomatic representation would probably be no more than gesture. I presume in such an event you would generally speaking conform with attitude of (group indecipherable) other neutrals. If however you should at any time independent of action of other countries decide development of situation deprives our representation of any useful purpose Foreign Office is aware my tel. 1st Feb.¹ that I might in any case leave Germany at some stage. The Foreign Office also know our material interests in Germany are slight. Practically speaking only real function of Legation executive officer at this stage is to assist nationals within area of German control. If situation in Germany deteriorates rapidly I am doubtful whether we will succeed in collecting balance of accounts our claims: you are aware German funds in Switzerland have been blocked for some time for special reasons.

I should perhaps state as far as I know foreign rumours of unrest and of rationing chaos are quite exaggerated. Unless army should take positive action I think Government control will remain effective in unoccupied areas.

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