23.

SECRET

SECRET

UK EYES A

UK EYES A

NEXT STEPS

The following action is now being taken in the MOD:

(a) Trimming the estimated cost of the "reduced" garrison and

removing elements not attributable to Hong Kong

The possible adjustments described in paragraphs 9 and 10 are being

studied and the estimate of the cost of the garrison attributable to

Hong Kong will be amended as appropriate. The provision of new patrol

craft will be set aside for separate consideration.

(b) Medical and educational services

Arrangements will be made for the joint studies described in para 9.

(c) The size and cost of the garrison

Without prejudice to the views of the Chiefs of Staff or Ministers,

options will be provisionally costed for a garrison costing about £35M

(including that of an all-Gurkha teeth arm force) and some other pre-

liminary work will be done to enable a detailed study of the implica-

tions and costs of the various options to be undertaken quickly with

CBF Hong Kong and the Hong Kong Government, should the Chiefs of Staff

and Ministers so decide.

24. Further submission

A decision is needed on whether studies should be formally carried out of a

garrison costing about £35M, and on the guidelines for negotiations with the

Hong Kong Government. A joint note by MOD, FCO and Treasury setting out the

factors which will have to be borne in mind is being prepared. This could

form the basis of a submission to DOPC after clearance as appropriate by the

Chiefs of Staff and the Defence Review Steering Committee.

14

SECRET

UK EYES A

UK EYES A

Share This Page