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KONG GOVERNMENT OFFICE

HONG KONG

6

GRAFTON STREET

CONFIDENTIAL

LONDON

WIX 3 L B

9th December, 1975

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When the Minister of State agreed to the exclusion of any reference to the Flagstaff House area within Victoria Barracks in Annex C to the Memorandum of Understanding, the Governor suggested that he should write to him setting out the Hong Kong Government's position on the question of a residence for the Commander British Forces. The Minister and the Governor agreed this would be a good idea because both of them were anxious that the question of Flagstaff House should not delay completion of the negotiations for a new agreement.

The Governor had to return to Scotland before the draft of the letter he showed to the Minister yesterday afternoon could be faired, so I am writing on his behalf to say that, although Flagstaff House will remain the residence of the CBF at least until the 1st April, 1979, this should not inhibit the town planning exercise for the area as a whole. On the assumption that the area occupied by Flagstaff House is eventually required for other purposes, the Hong Kong Government accepts an obligation to make available a suitable alternative residence for the CBF in an acceptable location: and, naturally, there can be no question of CBF having to move from Flagstaff House until such a residence is ready for him.

R.J. Andrew, Esa..

Phili, Heather Go

هنام

(C.P. HADDON-CAVE), Financial Secretary

Assistant Under Secretary

of State,

Ministry of Defence,

London, SW1.

CPHC/SVS

TELEPHONE: 01-499 9821

CABLES: HONGAID LONDONWI

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