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MOJHRY NO, 51
= 6 JAN:975
The paper went on: "Even if taxes have to be increased next year, the Government should set its sights at the rich
*ARK14/4
"If the Government can introduce measures like raising
the personal allowance for income tax, the move will help to boost the stability and prosperity of Hong Kong."
PRESS REVIEW
Defence Costs
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Hong Kong's negotiation team led by the Governor, Sir Murray MacLehose, has been holding a second round of talks with the British Government on Hong Kong's contribution towards its defence costs.
papers.
The issue prompted editorial comments in four Chinese
Tin Tin Yat Po (4.12.75) said: "The Hong Kong Government has always been worried that a serious effect on Hong Kong's economy might follow from the defence cost issue. Therefore everyone is concerned about the final decision as to how much Hong Kong has to pay."
Sing Tao Jih Pao (6.12.75) said that the Hong Kong Government was facing a large deficit because of the economic recession and was now trying to reduce administrative costs and cut down on social welfare expenditure.
"Therefore a big increase in the defence costs will place
a heavy burden on Hong Kong, "it said.
One point worth noting, the paper said, was that the British Government would not change its stand in demanding a 75 per cent contribution from Hong Kong.
"Although the British Government will compromise on the procedure of payment Hong Kong will still have to shoulder three quarters of the defence cost for five years, "Sing Tao added.
The paper also criticised the British Government for demanding too much by including an escalation clause in the agreement.
Sing Pao (8.12.75) hoped that the Hong Kong team would stand firm and not allow the issue to affect Hong Kong's economic structure, social order and run counter to the public interest.
The paper expressed fears that if Hong Kong had to shoulder a large share of the defence costs the Government would be forced to introduce a policy of "catching fish by draining the pond" which would end in social disorder.
Hong Kong Times (8.12.75) said that the people of Hong Kong were prepared to accept a share of the defence costs for the sake of internal security. But the majority of public opinion was against a massive increase.