CONFIDENTIAL
RECEIVED RECOSTDY N 521 - 9 DEC 1974
226
حال
NOTE FOR THE RECORD
DEFENCE REVIEW
ONCK TO
1. M de Beauvais of the French Embassy called today to ask a few questions about Mr Mason's Statement yesterday.
Hong Kong
2. He asked whether the reductions would be large or small.
I said the final figures had not yet been decided, but they would almost certainly be small. I drew attention to the fact that discussion of the Hong Kong contribution would also be necessary and that the present financial agreement with them did not run out until 1976.
Diego Garcia
3. He asked whether I could say what was meant by "other than routine purposes". I gave him the answer agreed with the MOD and Cabinet Office viz:-
4.
"I think the phrase speaks for itself, but it will also
always be open to either side to call for special consultation if they think the situation requires it."
He also asked whether the "modest expansion" was the same as had originally been agreed to by the Conservative Government in February. I told him that it was, but pointed out that Congress had reduced the expenditure envisaged for the US financial year 1975.
Gan
5. He asked whether we had thought who might move in when we moved out. I said that we had this very much in mind, and that it was one of the subjects we would be discussing with Mr Zaki dur- ing the course of consultations. I noted that the present agree-
ment for the use of Gan did not expire until 1986.
Brunei
6. He said he could not understand why we should be withdrawing the battalion from Brunei. It did not make much sense, unless it was connected with the reduction in our air transport and reinforcement capabilities. I agreed that this was partly the reason, and drew attention to Mr Mason's reference in the House
CONFIDENTI AL
/yesterday