CONFIDENTIAL
increasing difficulty of maintaining and supporting these obsolecent craft, there is
little practical possibility of any further extension of their life.
4. Although provision for the replacement of the present patrol craft was not included
in the DCA, the likelihood of such a requirement was recognised at the time of the
negotiations. After a subsequent exchange of letters between the Secretary for
Security of the Hong Kong Government and MOD it was agreed that "if expenditure on the
new patrol craft should be required during the period of the (Defence Costs) agreement
we would expect costs to be shared on the same basis as those of the remainder of the
garrison. The cost of the patrol craft will depend on the requirement and the scale,
nature and timing of the replacement, which cannot yet be decided; but in view of the
need for decisions to be taken well before the first craft is due for replacement
(because of the lead time for ordering) we consider that the question should be the
subject of a joint study which we suggest should be set up about 1978" (1)
THE NEED FOR A ROYAL NAVY PRESENCE IN HONG KONG
5. To justify any replacement for the existing patrol craft it is necessary to consider
the need for a Royal Navy presence in Hong Kong. Looked at in political terms, it is
difficult to envisage other than a continuing role for all three services, and the
preservation of a balance between the three Services to maintain the colony's confidence
in HMG's willingness and ability to sustain the Hong Kong Government. The text of the
Agreed Joint Statement issued when the Heads of Agreement were initialled by the then
Minister of State and the Governor of Hong Kong on 1 November 1975 sets out the view
of both Governments as follows:
"The negotiations were based on the clear acceptance by both sides of the
need for a garrison capable of maintaining the security and integrity of
Hong Kong and demonstrating HMGS continuing responsibility for the colony.
Such a garrison is also regarded by both governments as an important inctor
in maintaining confience. As a result of these negotiations agreement has been
reached on the size and total cost of the garrison". (2)
(1) AUS(GS) 91/76 fated 23 February 1976
(2) Annex B to S of S's M05/14 of 3 November 1975 to the Prime Minister.
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