Memorandum (in the Foreign Office) on the Navy's position that U-boats should be free to operate against enemy and neutral ships in the British zone without restriction or warning, although this would violate international law, and comments on the risks to foreign relations

Submitted respectfully to the Secretary of State with the enclosed memorandum.
The Chief of the Operational Dept, of the Naval Command, Captain Fricke, informed me by telephone that the Fuehrer was already dealing with this matter. The impression had, howeyer, arisen here that the political connections had again to be gone
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into and brought to the Fuehrer's notice anew. Captain Fricke had therefore sent Lieutenant-Commander Neubauer to the Foreign Office in order to discuss the matter further.
Berlin, the 3rd September 1939.
[signed] Albrecht.
The question of an unlimited U-boat war against England is discussed in the enclosed data submitted by the Naval High Command.
The Navy has arrived at the - conclusion that the maximum damage to England which can be achieved with the forces available can only be attained if the U-boats are permitted an unrestricted use of arms without warning against enemy and neutral shipping in the prohibited area indicated in the enclosed map.
The Navy does not fail to realize that—
(a) Germany would thereby publicly disregard the agreement of 1936 regarding the prosecutioh of economic warfare.
(b) A military operation of this kind could not be justified on the basis of the hitherto generally accepted principles of international law.
(c) This operation will cause great damage to the neutrals who are important to us politically and economically, that it will aggravate their attitude towards us and that it will undermine their will for neutrality, their resistance to British pressure and their readiness to trade with us.
The High Command does not assert that England can be beaten by unrestricted U-boat warfare. The cessation of traffic with the world trade center of England spells serious disruptions of their national economy for the neutrals, for which we can offer them no compensation.
Points of view based on foreign politics would favor using the military method of unrestricted U-boat warfare only if England gives us a justification, by her method of waging war, to order this form of warfare as a reprisal.
It appears necessary, in view of the great importance in the field of foreign politics of the decision to be taken, that it should be arrived at not only as a result of military consideration but taking into full account the needs of foreign politics.