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additional annual costs of the order of $200,000 (budgetary)

and £50,000 (foreign exchange). No major work services will

be required. This additional cost will have to be borne by

Defence Force at least until March 1971, when a new agreement

with the Hong Kong Government on garrison costs should come

into effect.

4. The Chiefs of Staff considered a previous paper on the

Hong Kong helicopter force which came to the same conclusion

on 15 April but decided that the operational case justifying

the increase in the Whirlwind helicopter force from six to ten

would need to be strengthened before submission was made to the

Defence Secretary. They invited the Air Force Department in

conjunction with the Army Department to revise the paper in the

light of their views. This has now been done. The Chiefs of

Staff are in favour of the recommendation. They will look to

the Foreign and Commonwealth Office for support.

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5. The Governor of Hong Kong strongly supported the Commander-

in-Chief, Far East's, original recommendation that the force of

six Whirlwinds should be replaced by six Wessex helicopters.

has likewise supported the alternative proposal for increasing

the number of Whirlwinds. I recommend therefore that you

should strongly support the recommendation of the paper that the

establishment of the Hong Kong helicopter force should be

increased from six to ten Whirlwinds from 31 March 1970.

6. I recommend that you should decline to express an opinion

at this juncture on whether the Hong Kong Government would be

content to bear the cost of the additional helicopters post-1971,

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/since

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