I HAVE BASED MY REUCH CALCULATIONS ON THE FIGURES CONTAINED IN 400 TLLEGRAN 15 DATED 15 AUG PC THESE MAY BE WEIGHTED IN FAVOUR OF CD CMM BUT THEY ARE A USEFUL STARTING POINT AND IT IS CLEAR THAVEN AFTER GCVERNCRS CFFER CMM BASED ON HIS SUBJECTIVE JUDGEMENT CMM AND THE ECONOMIES MENTIONED CMM THERE WOULD STILL BE QUITE A LOT OF MONEY TO BE FOUND FROM SOMEWHERE PD
THREE PC THE SAVING OF EIGHT MILLION (REFA PARA 18) WOULD DEPEND
A
PRIMARILY ON THE GUARANTEE CF A REINFORCEMENT CAPABILITY AND ON ADOPTING MY OPTION C (HY 6060 HQBF OF 2 JUL 74 REFERS)
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PD THE WITHDRAWAL CF THE EQUIVALENT OF ONE ARMY MAJOR UNIT WOULD THROW UP ACCOMMODATI ON CMM REDUCE MAINTENANCE COSTS AND INTRODUCE CONSEQUENT SAVINGS IN A NUMBER OF DIRECTIONS PD TO THIS IT WOULD BE NECESSARY TO ADD STRINGENT SAVINGS IN HQ LAND FORCES (INSTIGATED BY ARMY BOARD MANPOWER STUDY AND TO MY MIND PRACTICABLE) CMM DISBANDMENT CR DRASTIC REDUCTION IN SOME SMALL BUT EXPENSIVE MI NCR UNITS (EG 415 MARITIME TROOP RCT) AND A REDUCTION IN THE NUMBER OF LOCAL CIVILIANS WE EMPLOY CMM THERESY RETURNING TROCPS TO SCNE BARRACK HOUSEKEEPING PD IT WOULD ALSO BE NECESSARY TO KEEP THE TWO BRITISH BATTALIONS AT A STR- ENGTH ABOUT THEIR MMS (A FACT WHICH WE FACE THROUGH INFANTRY MANPOWER SHORTAGES FOR THE NEXT 3 TO 4 YEARS IN ANY CASE) THEREBY SAVING ONE POINT FOUR MILLION A YEAR PC IN ALL CHM THE ARMY COULD I BELIEVE MAKE A SIGNIFICANT SAVING OF SIX MILLION AT CURRENT PRICES PD WITH COMPLEMENTARY SAVINGS FROM RN IN THE CRDER OF POINT EIGHT MILLION AND FRCI RAF OF POINT THREE MILLION CMM PLUS A JOINT CUT PACK CF APPROXIMATELY ONE MILLION IN THE CAPITAL BUI- LDING PROGRAMME CMM WE COULD ARRIVE AT THE FIGURE OF EIGHT MILLION QUOTED PD CN THE RN SICE CUTS WOULD BE LARGELY IN THE SIZE OF PATROL. CRAFT FORCE PD CCHHOD CRE HONG KONG WHO LIKE ALL SERVICE COMMANDERS HAS BEEN FULLY CONSULTED WOULD RECOGNISE THE LIKELY NECESSITY FOR WITHDRAWING ONE PATROL CRAFT (POINT THREE MILLION) BUT WOULD BS FAR LESS HAPPY WITH THE REDUCTION OF TWO PD YOU WILL HOWEVER HAVE NOTED GOVERNORS AND HIS SECURITY COMMITTEES INSISTENCE THAT
:
3
J