CONFIDENTIAL COVERING SECRET

Foreign and Commonwealth Office London SW1

A F Thorpe Esq OBE Head of F1 (Air) Ministry of Defence

Telephone 01-

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Our reference

Date

28 March 1974

Ciens Thorpe,

HONG KONG DEFENCE CONTRIBUTION

1.

I write to confirm the arrangements for a meeting to discut this question, fixed for Friday afternoon 29 Merch at 3.30 p.m. in my room no. 246 King Charles Street.

2. The question to be discussed is whether in view of the overall defence review currently being undertaken we should go to Hong Kong at this stage for a review of their defence contribution In normal circumstances this would take place because the price increase level has now reached 50%, in accordance with the Memorandum of Understanding drawn up in connection with the Hon Kong Defence Contribution Agreement 1971/76.

3.

I attach a copy of the Memorandum of Understanding together with a letter from Mr Davies of 5 March and copies of the minutes of a meeting held at the Ministry of Defence on 8 November last which provide recent background.

Your ever

LESL

A C Stuart

Hong Kong & Indian Ocean Dept.

CC

FT Lockwood Esq,

Deputy Director of Quartering (Army)

MOD

Leatherhead Rd

Chessington

Surrey

M C Scholar Esq

D M Division

Treasury

PC Aggleton Esq

Head of DS (O&G)

Property Services Agency

DOE

2 Marsham St

Sมา

RL B Cormack Esq Defence Dept.

FCO

CONFIDENTIAL COVERING SECRET

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