AUSTRO-SERVIAN CRISIS.

Statement in House of Commons, July 27, by Sir Edward Grey, Secretary

of State for Foreign Affairs.

The House will, of course, be aware from the public press of what the

nature of the situation in Europe is at the present moment. I think it

is due to the House that I should give in short narrative form the

position which his Majesty's Government have so far taken up. ["Hear,

hear."] Last Friday morning I received from the Austro-Hungarian

Ambassador the text of the communication made by the Austro-Hungarian

Government to the powers, which has appeared in the press, and which

included textually the demand made by the Austro-Hungarian Government

upon Servia.

In the afternoon I saw other Ambassadors, and expressed the view that as

long as the dispute was one between Austria-Hungary and Servia alone I

felt that we had no title to interfere, but that if the relations

between Austria-Hungary and Russia became threatening, the question

would then be one of the peace of Europe--a matter that concerned us

all.

I did not then know what view the Russian Government had taken

of the situation, and without knowing how things were likely to develop

I could not make any immediate proposition; but I said that if relations

between Austria-Hungary and Russia did become threatening, the only

chance of peace appeared to me to be that the four powers--Germany,

France, Italy, and Great Britain--who were not directly interested in

the Servian question, should work together both in St. Petersburg and

Vienna simultaneously to get both Austria-Hungary and Russia to suspend

military operations while the four powers endeavored to arrange a

settlement.

After I had heard that Austria-Hungary had broken off diplomatic

relations with Servia I made, by telegraph yesterday afternoon, the

following proposal, as a practical method of applying the views that I

had already expressed:

I instructed his Majesty's Ambassadors in Paris, Berlin, and Rome to ask

the Governments to which they were accredited whether they would be

willing to arrange that the French, German, and Italian Ambassadors in

London should meet me in a conference to be held in London immediately

to endeavor to find a means of arranging the present difficulties. At

the same time I instructed his Majesty's Ambassadors to ask those

Governments to authorize their representatives in Vienna, St.

Petersburg, and Belgrade to inform the Governments there of the proposed

conference and to ask them to suspend all active military operations

pending the result of the conference.

To that I have not yet received complete replies, and it is of course a

proposal in which the co-operation of all four powers is essential. In a

crisis so grave as this the efforts of one power alone to preserve the

peace must be quite ineffective.

The time allowed in this matter has been so short that I have had to

take the risk of making a proposal without the usual preliminary steps

of trying to ascertain whether it would be well received. But, where

matters are so grave and the time so short, the risk of proposing

something that is unwelcome or ineffective cannot be avoided. I cannot

but feel, however, assuming that the text of the Servian reply as

published this morning in the press is accurate, as I believe it to be,

that it should at least provide a basis on which a friendly and

impartial group of powers, including powers who are equally in the

confidence of Austria-Hungary and of Russia, should be able to arrange a

settlement that would be generally acceptable.

It must be obvious to any person who reflects upon the situation that

the moment the dispute ceases to be one between Austria-Hungary and

Servia and becomes one in which another great power is involved, it can

but end in the greatest catastrophe that has ever befallen the Continent

of Europe at one blow; no one can say what would be the limit of the

issues that might be raised by such a conflict; the consequences of it,

direct and indirect, would be incalculable.

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