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During World War 1, there was an arm race because there was war and that countries had to protect themselves, but in your question, yes there was an arm race between the British and Germany. I hope this has helped. I'm not a historian, you might have to look into that.
arm race
Anytime two or more countries try to out produce each other in a given type of weapon or in overall military capability (e.g. one country may concentrate mostly on building tanks while another may concentrate mostly on building aircraft, while yet another concentrates mostly on building their infantry capabilities - this would be an asymmetric arms race).
Military expansion in Europe turned into an intense arm's race.
The left arm.