Secret
to juick of the dadating to the
figures in support of his decision to reduce his
original offer:
(a) The latest figures provided by the Ministry of
Befence for local recurrent expenditure on that
element of the Garrison required for internal
security purposes
езу show a decrease of £.48 m. on
the previous estimates provided last year.
A rough calculation on the basis of the Ministry
кий
of Defence's own figures fixed the
local
recurrent/
costs of maintaining one major Army unit at
£1.395m. annually.
The Governor rounds off the figure under (a) to
£.45 m. and that under (b) to £1 m. He then adds
them together and deducts the total of £1.45 m. from
£8 m., leaving a balance of £6.55 m.
paragraph 2 (1)
(3) The factors in (dná (2) above mean that the
economic gain to Hong Kong of the presence of the
Garrison will be correspondingly lessened.
5. The Ministry of Defence argue that!-
(1) That the above adjustments are not consistent
with the Governor's previous suggestion of "a
I
put over
figure which may be able to offer locally
any
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without regard to other considerations"
(2) That the local costs of the Garrison, as given in
their latest estimates, show an increase and
not a decrease on the earlier figures.
(3) That the size of the contribution should not be
governed by the direct economic gain to Hong Kong
derived from the presence of the Garrison.
Rather should it be based on the obligation of a
Colony to pay the whole, a or at least a
reasonable part, of the costs incurred by HMG in
providing for its internal security.
Flag A
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Secret
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