Handwritten memorandum by Joseph P. Walshe on British-Irish relations
'First Draft'

In my personal opinion the following outline of an agreement contains or implies the extreme limits of the concessions which I could reasonably ask Mr. de Valera to consider.

'The Govts. of the U.K. and the I.F.S. agree as follows:

1. In order to establish finally between the U.K. and the I.F.S. the harmony, friendship and close cooperation which should exist between them as two co-equal members of the British Commonwealth of Nations all differences between them shall be settled by friendly consultation and agreement, it being recognised that Ireland as an ancient nation and a mother country occupies a special position with Great Britain in the Association known as the British Commonwealth of Nations.
2. As a measure towards the end set out in Article 1 and in recognition of the serious financial burdens which the people of the Irish Free State in their efforts to build up a viable State have to bear the Govt. of the U.K. will accept as a full and complete financial settlement with the Govt. of the Irish F.S., the annual sum of (three millions less than the present annual sum) in lieu of (the present annual sum) and the Govt. of the Irish F.S. agree to pay the said annual sum of ( ) in such a manner that, by agreement with the Govt. of the U.K. no part of that annual sum shall be paid outside the I.F.S.
3. As a further measure towards the end set out in Article 1 the Govts. of the U.K. and the I.F.S. bind themselves to proceed forthwith to the negotiation of a Trade Agreement.'