SECRET
DRAFT
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98
Defence and Oversea Policy Committee
Hong Kong Defence Contribution
Memorandum by the Secretary of State for Defence
The Appendices to the Foreign and Commonwealth Secretary's
paper (
) show that the current cost of the Hong
Kong garrison for 1971/72 is £21.85M a year in addition to a
substantial programme of works. Of the garrison costs, £11.12M
plus a proportion of the works is required, in the judgment of
my Ministry, for internal security purposes.
2.
3.
I suggest that two distinct questions arise for consideration
how much Hong Kong can reasonably be expected to
contribute
a.
b.
how much should reasonably fall on the Defence Budget.
As to the first of these questions, I hesitate . to
challenge the judgment of the Foreign and Commonwealth Secretary
that £7.5M is the most that can be obtained from Hong Kong in
present circumstances by way of defence contribution.
however like to make the following points
a.
I should
the argument that the Governor will use to justify
the contribution in Hong Kong is that Hong Kong should not
make a profit out of the forces sent by HMG for the defence
of the Colony. This contrasts with more acceptable
criteria which have been used in the past and que cd to the
Governor, namely that the cost of internal sécuri is a
colonial responsibility and that a Colony should ontribute
to its own defence generally according to its capty to
pay.
b. the contribution of £7.5M would represent only 29 per
cent of the cost of the garrison including works services
in 1971/72, whereas the contribution of £5 agreed i 1967