LARY
76
REF.
NCELLOR OF
THE EXCHEQUER
Commoditis Dept 80 cc. He bottomley / the Gallagher
ps/nd withian.
Treasury Chambers, Great George Street, S.W. I
01-930 1234
May 1971
th. Heath
o
They puts us in
Cat Hope plave bo
Thank you for your further letter of 11th May about the possibility of including in the Finance Bill a provision to allow temporary relief from duty for Commonwealth cotton textiles shipped under the quota arrangements.
I have considered the matter further and fully appreciate the points you and Alec Home have made. In my view our position on the Hong Kong defence contribution is a generous one and I attach importance to securing the figure which Alec mentions in his letter. Nevertheless I take the points you have both made. and agree that legislation would be desirable.
I should like to avoid a final commitment to the introduction of this new clause until we can see how the Committee Stage of the. Finance Bill is going. But I am prepared to agree that a clause should now be drafted with the intention of introducing it during the Committee Stage, provided that we have not run into unexpectedly rough water. If, as I hope, it proves possible to bring it forward, I should of course look to you to deal with it, and any amendments to it.
I am copying this letter to Alec Douglas-Home.
ON
R.G.STRY.No.51
NXK
1
10/9
1
The Rt. Hon. Michael Noble, M.P.,
ANTHONY BARBER
CONFIDENTIAL