CONFIDENTIAL

2. I suggested at Mr Royle's meeting, as a possible compromise,

that we should press Hong Kong's case with the Community next

year (when we could answer from experience the Community argument

that arrangements agreed during the negotiations will not in

practice damage Hong Kong); and that we could make known our

decision on this point in advance of the Prime Minister's visit.

3. As the Secretary of State suggests, we could state the case

now in Brussels for changes to help Hong Kong and warn the

Community now that we will press this case early next year.

This line is not only going to cause us much less trouble in a

more

Community context, but is likely to be acceptable to other

Departments in Whitehall, particularly the DTI. I am bound to

recommend that the draft paper for EUM should be amended accordingly

before circulation.

z October 1973

Copy to:

PS to Mr Royle

Sir Duncan Watson

Mr Youde

Mr Stuart

Mr Butler

iforni

J A Robinson

124

1. Mr Amery has considered these minutes, in conjunction

with a minute he received yesterday from Mr Royle (attached at

Flag D), and has commented:

Chud to

This (single)

3/10

/"If

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