CONFIDENTIAL
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The Prime Minister's comments, in No 10's letter of 20 September, are now placed with the Secretary of State's minute at Flag D.
1. I discussed early today with the PUS and have recast the draft telegram along the lines he wanted. I think it is fair to say firmly that the Secretary of State will not be available. On precise timing, I see advantage in the Governor speaking at least to Mr Dell early next week, even though the Commission will not have produced their precise figures. After all, it is the broad principle of reasonable treatment for Hong Kong which the Governor will want to argue. Procedurally, however, I think his first session should be with FCO Ministers and the Department will arrange this. The Department will also ask the Department of Industry if Mr Varley would wish to see the Governor. Also when the Governor is actually here, but not before, it would be worth asking No 10 if the Prime Minister would like to see him for a short while. If the PUS agrees, the Department will act accordingly next week.
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Meanwhile EID(E) will be taking separate action to instruct Sir D Maitland on the lines of paragraph 6 of the Secretary of State's minute, i.e. to have a word with Commissioner Davignon about not pushing Hong Kong too hard. It might be helpful if FCO Ministers knew the result of this approach before they saw Sir M MacLehose.
DF Murray
21 September 1977
CONFIDENTIAL