Discussed with the

1

Secretary of State

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Sir S. Tembung! Sira

TOP SECRET

on wilferto.il Our Jourd, Mary Morgan. JM. 16.8

neverting

Ww what I had

L· be I' more it would foe that China

world wet alk.c

Secretary of State

For tom wrown box

He the

Loveman en wik.kan de

Hong Kong 0.0.1 in confertion

than them.

....

A.R.:17.

Tagged. 14 5/7.

I

I agree with this excellent paper with the proviso

that paragraph 12, alternative (a), is included.

strongly support the recommendation that we should try

first for a solution on the lines of 4(c)(ii) [secure

an indication from the Chinese that they will not

interfere with the present arrangements after 19971, or

1(c)(iii) [secure an indication from the Chinese that

they will agree to negotiate new terms for a lease of

the Colony'.

2. I think that it would be valuable to obtain the

sanction of the DOPC if you agree with the paper. No

Cabinet has approved a long-term policy for Hong Kong

and I am sure it would be wise for the future to obtain

Cabinet's agreement. I do not think this paper need

be shown to the Governor at this stage. Do you agree?

who greed that it should not be

shewn yet.

30

6.

H.R.

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Anthony Royle

29 June 1971

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