agmatic devolution of powers has gone about as far as, and in
some respects a bit further than, it can safely go in present
circumstances.
14. If this is accepted, if I am to maintain my refusal of
further overdraft facilities, and if the existing overdraft is
not to be converted into a formal loan, what will be the political
reaction? In paragraph 18 of his despatch to which I have
referred, Sir John Paul commented upon the causes of lack of
confidence between colonial and metropolitan governments.
There
has certainly been lack of confidence between Mr Price's govern-
ment and Her Majesty's Government in London. When Mr Price
originally took office this could be attributed to then recent
history which had cast him as the nationalist leader fighting
to be rid of the colonial yoke. There was no reason for mutual
confidence then. During the subsequent decade the situation
has changed. The policies of his P.U.P. government and of HIG
have swung into line and their aims are now parallel, at least
over the principal issue of independence. Yet Mr Price still
harbours doubts about Britain's intentions and suspects us of
telling him less than the whole truth. He reasons that Britain
is more interested in other larger fish which it has to fry. If
Mr Price fails to achieve independence and yet continues to be
given a negative answer to proposals for further devolution of
powers, his frustrations could make him a difficult customer to
handle and he certainly believes that the customer is always
right. If at the same tire I were compelled to intervene to
restrain Ministers from excessive assumption of authority over the
Police Force Mr Price would. probably protest to you, as he did in
1971 over a disagreement with my predecessor on this point, and
perhaps demand a constitutional conference.
We could anyway
11.
CONFIDENTIAL AND PERSONAL
/expect