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The Versailles Treaty, signed on June 28, 1919, was the peace settlement between Germany and the Allied Powers that officially ended World War I.he details of the Versailles Treaty had been debated and finalized at the Paris Peace Conference, which opened on January 18, 1919 - just over two months after the fighting on the Western Front ended. Although many diplomats from the Allied Powers participated, Germany was not invited to the conference.
The financial impact of the Treaty. The Treaty of Versailles blamed Germany for the First World War. As a result of this Germany was also held accountable for the cost of the war and the Treaty dictated that compensation would have to be paid to the Allies.he Treaty of Versailles was the Peace Settlement between the Allies and Germany at the end of the First World War. The German authorities had little choice but to accept the terms of the Treaty presented by 'the Big Three'. This section looks at some of the implications of the terms of the Treaty of Versailles.