NOTHING TO BE WRITTEN IN THIS MARGIN

Registry No.

CURITY CLASSIFICATION

Top Secret.

Secret.

Confidential.

Restricted. Unclassified.

PRIVACY MARKING

Transfer

to

of Note

end of

Not

Issued

..In Confidence

SECRET

DRAFT NOTE

To:-

NOTE

Note No. 4.

Type 1 +

From

HONG KONG DPT.

Telephone No. & Ext.

Department

VISIT E PARLIAMENTARY UNDER SECRETARY, MR. ROYLE

TO HONG KONG, OCTOBER 1970

HONG KONG DEFENCE CONTRIBUTION

2 Although the subject of the Hong Kong Defence contribution is not one which we would recommend the Parliamentary Under Secretary to

to the Colony broach during his fertheeming visit to Hong Kong (and certainly not with the Governor's unofficial advisers) it is a matter which the

Governor himself may well raise, and this Note is accordingly intended to provide some background information and to act as a defensiv

Brief on the subject.

13.

In this event

2 If the Governor does raise the issue he will almost certainly stress the difficulty that he is likely to have in persuading his unofficial advisers to accept even the figure of £8million which he has already suggested as Hong Kong's defence contribution under the ment agreement, shortly to be negotiated (see below) let alone any

paragraph

increase on that, figure.

Ind

In this event It is

suggested that any reply the Parliamentary Under Secretary should;

(i)

reassure the Governor that we are only too well aware of his predicament and that we have not forgotten the

experiences of 1966 when the existing contribution was negotiated;

(ii) Impress on the Governor that we are x under

heavy pressure from other Departments

very

(118281) Dd. 391599 1,500M 2/69 Hw.

SECRET

/here'

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