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arrangements for their defence.

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It is important to note that various

commitments hang together or arc served by the same forces and

facilities. We therefore need a coherent policy for the non-NATO

area. It is also important to recall that the Americans attach

considerable importance to our non-NATO defence effort even if it

has come second to our contribution to NATO.

7. The following is a brief description item by item of the main

implications of Options A1 and A2. These are discussed at greater

length in background papers not attached to this report. It is

important to realise that whatever course is followed there will be

a number of important consequential decisions about consultation,

presentation and phasing. These decisions will require much more

detailed consideration than can be given here. However, the way

in which we deal with the other Governments concerned can be just

as important for our interests as the substantive decisions about

the future level of the forces in support of our commitments.

Hong Kong

(i)

2

Total withdrawal of the garrison from Hong Kong is not

inless

in practice an option until we abandon Hong Kong itself.

Kong could not be governed without a garrison:

Hong

confidence in

the Colony's future would not survive. Even a hint that such

an option was being considered in London would seriously

damage confidence. The elimination of the garrison would only

be conceivable in a situation where we intended to withdraw

politically in the immediate future.

Commonwealth Secretary has made it clear that withdrawal is

not in contemplation. Option A2 is likewise only a practical

proposition to the extent that it can be conducted in such a

The Foreign and

It will

way as to preserve confidence in the Colony's future. [It

be difficult but not impossible to manage ti

this. The Treasury

J8

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