SECRET

UK EYES 'A'

CHIEF

SECRETARY TO THE TREASU

5. Fourth, the further examination of possible economies in the

support costs of the garrison to be completed by the end of this

month should not in any way pre-empt the continuing search in a

longer timescale for additional savings in garrison costs which

would be of benefit to both contributing countries.

6. Finally, on the length of the agreement, I think the period

should be for five years initially and the possibility of extension

to 7 years should be determined by mutual agreement towards the end

of the initial period in the light of the circumstances at the time.

7. I am sending copies of this minute to the Defence Secretary,

to the other members of OPD and to Sir John Hunt.

св

6 November 1975

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