CONFIDENTIAL

the people of Hong Kong.

A visit by a member of the Royal Family

would be a most effective and desirable way of doing thist it

would also provide a great fillip to local morale and fit recognition

of the immense and successful efforts which the Colony has made to

meet its very difficult post-war problems,

4. On the other hand, it could do immense harm to confidence in

the Colony if a strong Chinese reaction forced us to cancel a

Royal Visit after it had been publicly announced or if such a visit

took place in conditions of widespread demonstrations or even

disorders. All this could serve only to underline our impotence

in the face of Chinese pressure and the Colony's dependence on

Chinese goodwill.

5. When the Committee last considered this matter, the Communist

campaign of violence in Hong Kong was in full swing, Since the

end of 1967 violence has virtually coased and there has been a

slight improvement in Anglo-Chinese relations, But it is quite

certain that Communist confrontation in the Colony will continue

with the blessing of the Chinese People's Government (C.P.0.)

Although it is probable that it will take the non-violent form of a

long term ideological struggle for the hearts and minds of the

people, isolated acts of violence cannot be ruled out; nor can

the possibility be ignored of Peking-inspired agitation against a

Royal Visit once the news became public that such a visit was to

take place, It is possible that a further improvement in Anglo-

Chinese relations may take place by the end of June; but

regrettably, it must be accepted that in the context of Hong Kong

there is every prospect that the attitude of China will remain

hostile and unpredictable for so long as Hong Kong romaine under

British control.

6. The Governor has stated that if a Royal Visit were to be

approved and on the basis that it would last three or four days,

a minimum of four months would be needed for planning, although

this

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