We must perhaps see the global situation of both countries.
Fleet: Germany needed a fleet to protect herself from being blockaded by France and Russia at the same time thus having a fleet greater than theirs. That was the reason behind the fleet. And until 1906 nobody really had problems with this, also not in Britain. The British fleet was just too far away in the race. Then the HMS Dreadnought was built and the race started at a new point. Well, if there was a race one could argue. Germany never built more ships than the British and also never intended to do so. Infact their plan was the so called Risikoflotte. A fleet strong enough to be a risk for Britain to go for war. Many condamn this as alianating Britain. But IMO it was the only chance. Why? See below!
The family: We all know there can be no more troubles than in families and the greater the families the greater the chances. Victoria was more a German than a British and so it was no wonder that under her there were no real thoughts to become hostile towards Germany. Especially as Willy was her darling! And here we have a problem. Edward. Despite being de facto a German as well, he hated every German and was indeed married with a Danish princess, who hated Germany, too, for 1864. And Willy had beaten him in a prestigious regatta! Shocking! So both countries became more and more hostile also because of this family dispute.
The economy: The Germans had already caught the British in terms of industrial output. The Germans were a geopolitical player with an own agenda and own interests. They were a competitor.
The power: The Germans were the strongest nation in Europe. And until only recently the British opposed such a power with all means. If the Spanish are the greatest threat? Going with the Dutch. The French? The Germans and Russians! The Russians? The French and Italians. The French again? The Germans. The Germans? The French. IIRC there is a cool British scatch about that.
The colonies: Germany had an eye on the Belgian and Portuguese colonies. But the British on the few Germans. German East Africa was stopping a Cairo to Cape railroad. And German New Guinea was a threat to Australia.
For every point there was a solution possible. A fleet treaty. Possible, even the ratios were agreed to. A new king. Yes, George Vth. Power? Possible compromises like the Berlin-Baghdad railway (why the heck does the British have problems when the Ottomans want to build a railway?). Portuguese colonies? ALso possible.
Anyway, there were too many problems between both countries. Both had to clash. As long as Germany was not needed as a counter balance it was a danger. And this need was not there. The British won in two wars thanks to the USA. But they lost their Empire and the US won theirs (okay, this is a bit crude for a comparison, but the USA are a superpower, Britain not).
As long as the British did not realize how ruinous a war with Germany were, so long they won't make a deal with Germany. Perhaps they realized that in 1913/14, which is not sure. But then it was too late for changes.