Here again it is a duty to set down the facts. Out of 781 German and 85 Italian U-boats destroyed in the European theatre, the Atlantic and Indian Oceans, 594 were accounted for by British sea and air forces, who also disposed of all the German battleships, cruisers, and destroyers, besides destroying or capturing the whole Italian Fleet.
U-BOAT LOSSES

The table of U-boat losses is shown in the table on this page.
In the air superb efforts were made by the United States to come into action — especially with their daylight Fortress bombers — on the greatest scale from the earliest moment after Pearl Harbour, and their power was used both against Japan and from the British Isles against Germany. However, when we reached Casablanca in January, 1943, it was a fact that no single American bomber plane had cast a daylight bomb on Germany. Very soon the fruition of the great exertions they were making was to come, but up till the end of 1943 the British discharge of bombs upon Germany had in the aggregate exceeded by eight tons to one those cast from American machines by day or night, and it was only in the spring of 1944 that the preponderance of discharge was achieved by the United States. Here, as in the armies and on the sea, we ran the full course from the beginning, and it was not until 1944 that we were overtaken and surpassed by the tremendous war effort of the United States.
It must be remembered that our munitions effort from the beginning of Lend-Lease in January, 1941, was increased by over one-fifth through the generosity of the United States. Through the materials and weapons which they gave us we were actually able to wage war as if we were a nation of fifty-eight millions instead of forty-eight. In shipping also the marvellous production of Liberty Ships enabled the flow of supplies to be maintained across the Atlantic. On the other hand, the analysis of shipping losses by enemy action suffered by all nations throughout the war should be borne in mind. Here are the figures:

Of these losses eighty per cent were suffered in the Atlantic Ocean, including British coastal waters and the North Sea. Only five per cent were lost in the Pacific.
This is all set down, not to claim undue credit, but to establish on a footing capable of commanding fair-minded respect the intense output in every form of war activity of the people of this small island, upon whom in the crisis of the world’s history the brunt fell.
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It is probably easier to form a cabinet, especially a coalition cabinet, in the heat of battle than in quiet times. The sense of duty dominates all else, and personal claims recede. Once the main arrangements had been settled with the leaders of the other parties, with the formal authority of their organisations, the attitude of all those I sent for was like that of soldiers in action, who go to the places assigned to them at once without question. The party basis being officially established, it seemed to me that no sense of Self entered into the minds of any of the very large number of gentlemen I had to see. If some few hesitated, it was only because of public considerations. Even more did this high standard of behaviour apply to the large number of Conservative and National Liberal Ministers who had to leave their offices and break their careers, and at this moment of surpassing interest and excitement to step out of official life, in many cases forever.
The Conservatives had a majority of more than one hundred and twenty over all other parties in the House combined. Mr. Chamberlain was their chosen leader. I could not but realise that his supersession by me must be very unpleasant to many of them, after all my long years of criticism and often fierce reproach. Besides this, it must be evident to the majority of them how my life had been passed in friction or actual strife with the Conservative Party; that I had left them on Free Trade and had later returned to them as Chancellor of the Exchequer. After that I had been for many years their leading opponent on India, on foreign policy, and on the lack of preparations for war. To accept me as Prime Minister was to them very difficult. It caused pain to many honourable men. Moreover, loyalty to the chosen leader of the party is the prime characteristic of the Conservatives. If they had on some questions fallen short of their duty to the nation in the years before the war, it was because of this sense of loyalty to their appointed chief. None of these considerations caused me the slightest anxiety, I knew they were all drowned by the cannonade.
In the first instance I had offered to Mr. Chamberlain, and he had accepted, the leadership of the House of Commons, as well as the Lord Presidency. Nothing had been published. Mr. Attlee informed me that the Labour Party would not work easily under this arrangement. In a coalition the leadership of the House must be generally acceptable.
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