Not entirely true, there were talks about the naval buildup during this period (For instance IIRC 1906-1907, but by that point the relationship between Britain and Germany was already bad.) Obviously Germany would have to accept a larger Royal Navy, but Germany, if they negotiate well, could be allowed to have the largest fleet of continental Europe. Furthermore as an ally, Britain might be more willing to allow Germany, some of the colonies they so desperately wanted.
Not only the naval buildup, but also colonial ambitions, caused tensions between Britain and Germany. Both these policies were popular in Germany, but they also made Britain suspicious.
Britain felt threatened and Germany became increasingly frustrated* by the fact, that they couldn't fullfil their ambitions. (*=Italy, the other New European Great Power had similar problems)
Maybe a better and earlier diplomacy could take away some of these problems. The best way to go is a POD as early as possible, because both sides got entrenched in their own views. So this might take a POD before 1900.
So what you're saying is is that I'm right but you're just feeling pedantic, so you're going to assume an unspecified pre 1900 POD that somehow with "better and earlier diplomacy" would somehow invalidate my arguments.
Simply put, most of Germany's long term goals were exactly what Britain didn't want. They wanted to be the sole superpower on the continent, something Britain could not stand for, the entire british diplomacy at the time was for maintaing the balance of power on the mainland. Germany wanted a strong navy, that could fight the RN, something Britain obviously wouldn't stand for. They wanted colonies, again something that Britain wasn't pleased with.