defence contribution the prospect of having
back to them for
15
is not pleacant.
move
go
6.
Would
you
wish to attend any
cu russ
cons with
Received today. ANG.
2.11.71.
Mr. Gaminara
Точении хотод
ANG
19.10.71
1.There is no objection to your seeking discussions with
the Treasury in the terms proposed if you are doing this merely in order to be able to tell Hong Kong that you have done so when you press them to pay up.
2. We must warn you, however, that any concessions you obtained for Hong Kong, at least as far as the fence is concerned, would almost vertainly be at the expense of the FCO. The financial position is even more difficult than it was in January (see Mr. White's minute of 8 January), and the Treasury, who have recently been asking us to make offsetting savings even to finance projects which have Cabinet blessing, are virtually bound to make to make similar conditions in this case. As all known savings on FCO Votes are now committed we could not produce offsetting savings except at the expense of the Diplomatic Service (e.g. by closing posts or reducing staff). This would be totally unacceptable. We hope, therefore, that you are in the final analysis in fact ready to tell Hong Kong they must pay. The same applies also to the stores for the border posts, if Treasury
side with MOD.
that
3. We have proposed some amendments to para. 2 of the draft letter to the Treasury: we suggest that it is not necessary to emphasis the weakness of our case over the fence, since this is mentioned in the memorandum.
4. Finance Department would like to be represented at the meeting.
21 October, 1971
& Plates
So
Plater (Miss) Finance ept. CH205