(145181) Dd. 737490 750M 1/71 Hw.

NOTHING TO BE WRITTEN IN THIS MARGIN

Registry No.

SECURITY CLASSIFICATION

Top Secret.

Secret

Confidential.

Restricted.

Unclassified,

PRIVACY MARKING

..In Confidence

DRAFT

To:-

SECRET

SUBMISSION

Type 1 +

Mr Wilford

Sir L Monson

Frøm

Mr Laird Telephone No. & Ext,

Department

A

AA

HONG KONG DEFENCE CONTRIBUTION

1. On 23 July the Defence and Oversea Policy

Committee decided that the Governor of Hong Kong

should be instructed to do his utmost to secure the

support of his Executive Council for a proposal

that Hong Kong should make a contribution towards

the costs of the Colony's garrison at an average

annual rate of £8 million for the 5 year period

April 1971 March 1976.

2.

The contribution was to be subject to certain

Qonditions, ope of which was that it would be

subject to review if the costs of capital works

>

as at the base date of April 1970, were to increase

or decrease by 50 per cent or more during the 5

year period of the agreement.

3.

The Defence and Oversea Policy Committee atoll

the same time stipulated that the Governor should

not

make no attempt at that stage use his reserved

powers to obtain the desired contribution.

SECRET

14.

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