SECRET

as difficult a task now in persuading his

unofficial advisers to accept the figure of

£8 million as the Hong Kong contribution as When negotiating the present contribution of £ 5 million did the Secretary of State/in 1966. e/in 1966.

I need

hardly point out that if those advisers were

to resign from the Government we could well

be faced with a very serious political and

11A

internal security situation in the Colony which would benefit

neither Hong Kong nor HMG. Whatever our views

may be as to the adequacy or otherwise of a

contribution by Hong Kong of £8 million, there

is no doubt whatever that in Hong Kong eyes such

1

particularly if

a contribution would be avery realistic one indeed, the garrison is to remain at its present strength of 6212 Inajor

reacts, pocket strength 5. For these reasons are we must rely very

alme

heavily on the Governor's own assessment of what

he can persuade his advisers to accept. He

was very largely instrumental in achieving a

settlement of the current contribution and we

can safely rely on him to do his best for us again.

6. Accordingly, we should prefer to vary the

approach to him as set out in your draft letter

In comuenience

you can accept.

If

and I enclose a revised graft which I hope that

Λ

(or something approaching the draft/ is not acceptably suggest ur should have on to further meeting 7.

I am sending copies of this letter and its

enclosure to Gedling and Stretton and I trusty

that they/will regard our proposed line of

approach as acceptable.

Isle sve

c)

Comy

based

units.

NOTHING TO BE WRITTEN IN THIS MARGIN

on your

original dress And taking

Eating wits

around the Comment

2

Goldsmith Gedding)

And

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