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Not by 1904-1907 she wasn’t. Germany never posed a threat to Britain’s homeland, much less her colonies. France and Russia however did pose a direct threat to British colonies. The British knew this policy was untenable by 1914. This is why she backed Russia and France over the Central Powers...

How so? If anything that would bring France and Russia's attention to Britain instead of away which was the whole point. Not the home islands, rather the empire. Overstated, maybe, but still widely believed in the Foreign Office at the time.

Actually the threats posed by the French and Russians far outstripped the capabilities of the Germans. It was for this reason why Britain decided to ally with its historic enemies against Germany