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CONFIDENTIAL
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In his despatch Sir Murray MacLehose deals with an important
question, which is relevant to all our discussions on the future
of the Colony and which has never, I think, been disposed of
completely satisfactorily. He asks who benefits from Hong Kong;
but the underlying question is, what use is Hong Kong to the UK?
2. His first proposition is that the Chinese inhabitants benefit.
This is true and is relevant, since the welfare of the inhabitants
is a legitimate colonial aim. The next is that China benefits.
Again this is true, at least on the foreign exchange point; but
in his letter to Mr Youde of 7 November, Sir J Addis doubts the
value to China of Hong Kong as a window on the world. These points
are important in the assessment of Chinese intentions towards the
colony. They are therefore relevant to the question whether we
can stay in Hong Kong; but less so to the question whether we
should want to do so.
3. More novel, and more relevant to our underlying interest is
the suggestion that Hong Kong is on balance a plus-factor in the
UK's relations with the Chinese Government. I am not the expert
on this (nor for that matter is the Governor); but Sir John Addis
discounts this argument and says that Hong Kong has been a constant
embarrassment in Sino-British relations for at least the last half
There must be some truth in this, remembering the burning
century.
CONFIDENTIAL
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