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4.
(b) that we should oppose the Chief Secretary's proposal that, failing agreement on a full 75% at the outset,
the garrison should be cut further;
(c) that we should support the Prime Minister's proposal
to send a message to the Governor but without reference to possible further cuts in the size of the garrison; (a) that we should reserve our position on the Prime
Minister's suggestion that a Minister should go out to Hong Kong until we can assess Hong Kong's reactions to our proposals on cost sharing.
I attach a draft minute to the Defence Secretary incorporating these views with which Defence Department and FED concur. I might add that if the Secretary of State judges it necessary in order to obtain agreement at the DOPC, he might suggest a period of graduation of something shorter than those suggested by the Defence Secretary (say, four years).
Background
5.
The Defence Secretary's recommendations are closely in line with the Prime Minister's minute of 20 February. The Defence Secretary's letter of 11 February and the Secretary of State's reply are also attached, together with Mr Stuart's submission of 14 February. The Governor thinks that the Unofficial Members of Executive and Legislative Councils (UMELCO) would accept official advice on the size of the garrison and originally thought that a 50% contribution of not more than £17 million was an optimistic
(ख)
129) forecast of what could be got (paras. 4 and 12 of Hong Kong
(38)
Flag (146)
telegram no. 304). On 10 April he told Mr Rodgers, however, that it might be possible to negotiate a graduated contribution, perhaps rising to 75% over seven years (para. 6 of Note for the record); and the Secretary of State told the Governor on 11 April that Hong Kong would have to pay more or go short.
Argument
6.
It is hard to question that HMG's first aim should be to
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