HKK 21/4
FOREIGN AND COMMONWEALTH OFFICE,
London, S.W. 1.
22 November, 1968
Your letter to Cotterill of 19 November (2-F 45/57/01) about the Hong Kong tunnel.
I have heard nothing from Hong Kong as to the Government's reactions to the present situation. When Cowperthwaite told Fogarty that the Hong Kong Government had not decided its attitude, I imagine that this was indeed the case and that they await proposals from the original promoters before taking a formal decision. This would be entirely in keeping with their generally negative attitude to this project.
That
However I think we can take it that Cowperthwaite's personal views must foreshadow the ultimate decision. His sights are now fixed on financing the first phase of an underground system in Kowloon with a link under the harbour to Hong Kong Island. project is going to take precedence in the Government's eyes. Unless Colonel Clague manages to find financial backing elsewhere (e.g. in Japan) my assessment is that the road tunnel will be indefinitely shelved (but not dropped altogether), with the Hong Kong Government relieved to be free of the commitment they had entered into under the current proposals.
I should mention that Karden went on record recently in Hong Kong as saying "negotiations with other parties over the proposed cross-harbour tunnel were continuing." He is reported to have regretted "the negotiations with the British Government had to be broken off because of unduly onerous security terms.
I am copying this letter to Cotterill (ECGD).
D. L. Hawkins, Esq.
H.M. Treasury.
(W. S. Carter)
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