SECRET

UK EYES 'A'

布政司署

香港下亞

畢道

**** Our Ref.: TS 1/78

來函檔號 YOUR REF.:

JA Stewart Esq OBE

нак кордо

RECONE

DEAL OFFICE

INDEX

Hong Kong & General Department

F C/O

GOVERNMENT SECRETARIAT

LOWER ALBERT ROAD

HONG KONG

-24 February, 1978

I have replied to By Wilsen

See (10)

Year

John,

Thank you for your letter of 15 February about the plans for two new papers on Hong Kong. I had indeed heard rumours about a revision of the JIC paper on "The Threat". From what I remember of the old version, it was certainly much in need of revision. I will look forward to seeing a draft.

2.

I was very interested to hear about the idea of a new paper on "The China Dimension" in Hong Kong. This is of course our daily bread and butter here and I much look forward to getting a chance to comment. I do not know precisely which restrictions on our operations you think need re-examining but, if you do launch the exercise from London, I am sure that the earlier we see any draft the more helpful we can be.

3.

Incidentally, I believe the last review of the "China Dimension" in Hong Kong was in fact embodied in the first part of the Planning Paper on Hong Kong which was finalised in 1976. This part of the paper was based on a despatch agreed between the Governor and HM Ambassador, Peking, the conclusions of which were accepted in toto by the FCO Planners (I think this must have been a little before you took over Hong Kong Department). I agree that the 1976 paper now needs up- dating. On reconsideration, however, you might think that the best way of starting the ball rolling again would be to adopt the same procedure as last time. If so, it would be a help if you would indicate first the specific points you wish covered.

4.

You may remember that, when the Governor saw the Secretary of State in November, he undertook to produce before he retired a paper on how the question of the Lease should be handled between the UK and China. He has already set the wheels in motion. It would be useful if this work could be incorporated in any further paper on the future of Hong Kong.

/contd....

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