SECRET U EYES A
ANNEX A TO COS 1030/7NG (Concluded)
b. to increase the proportion paid by the llong Kong
Government over a period of an Agreement lasting say
5-7 years from £17M in the first year (about half of the
cost of a £35M garrison and rather less than half of the
cost of the £40M garrison) to three-quarters of the cost
at the end of the period.
Do Ministers agree that we should start negotiations on the
basis of a. above and work out illustrative graduated schemes
as at b. above as a fall-back position?
11. In the light of their decisions, do Ministers agree that
officials should prepare a further report on the implications
of a £35M garrison and make proposals for guidelines for
negotiations with the objective of reaching agreement with long
Kong in May?
A - 6
MONET UK RYES A