 The incident eroded confidence in the government and damaged the reputation of the Royal Navy, at a time when many countries were still considering which side they might support in the war.The 7th Cruiser Squadron (also Cruiser Force C in 1914) was created at the Nore as part of the reorganisation of the Royal Navy's home fleets which took effect on 1 May 1912.It formed part of the Third Fleet of the Home Fleets and effectively served as a reserve force stationed on the south coast of England.