NOTHING TO BE Written in this MARGIN
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of course be the very considerable running
costs of the support provided by the United
Lme
Communications Kingdom base and the Gurkha L. of C. I also
attach at Annex B a forecast of expenditure
on capital works which again would be subject
to increase if the proportion of British
troops in the garrison increased.
(In connec-
tion with capital works I think I should also
say that the total cost we now expect to have
to meet for the new works within the present
agreement is £3.5M as against a total contri-
bution by Hong Kong of £2.4M.)
4. No provision for the costs of a Hunter
unit have been included in the statement pending
the outcome of the correspondence which rests
with your letter to Carter (TSX 1/57) of
15 September. But if the alternative of visits
by RAF aircraft on training detachments is
accepted as a solution to the problem of pro-
viding fighter cover for Hong Kong, then pro-
vision for the capital and recurrent costs of
such visits will need to be included in the
statement. We shall be writing to you
separately on this point.
tô
5. Coming now the question of the future
defence contribution, you explained to the
Defence Secretary the considerable difficulty
you had been faced with in 1966 because of the
notional division of the garrison between
internal security forces and external defence
forces. We can see your point and we share
your wish that the form of negotiations should
be designed to give you the greatest possible
assistance in presenting the case to unofficial
opinion in the Colony. But while we are recep-
tive to ideas about a new approach to this
/ problem
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