The Agreement between Germany and Great Britain signed on 18 June 1935 limiting the size of the German Navy to 35 percent of that of the British Common wealth I has been often criticized for the damage it did to the efforts of Britain. France and Italy to form a common front against Hitler's unilateral repudiation of the Versailles settlement, It led also to the embittering of relations between Britain and France at a time when Anglo-French unity vis-a--vis Germany was essential. Nonetheless, the Agreement had a broader significance: it was part of the extensive but ultimately futile effort in naval arms control in the interwar years and at the same time an important first step in Britain's policy cowards Nazi Germany that came to be known as Appeasement.
Best, Richard A. Jr.
"The Anglo-German Naval Agreement of 1935 and Aspect of Appeasement,"
Naval War College Review: Vol. 34
, Article 6.
Available at: http://digital-commons.usnwc.edu/nwc-review/vol34/iss2/6