CONFIDENTIAL

SECRETARY OF STATE'S VISIT TO HONG KONG: 29

MEETING WITH EXECUTIVE COUNCIL:

30 JUNE

ESSENTIAL FACTS

NEW TERRITORIES LEASES AND THE FUTURE OF HONG KONG

(See Brief No 6). This is a very sensitive issue and knowledge

of the work done on it is confined in Hong Kong to the Governor

and a few senior officials. The Executive Council will need to

come.

be consulted in due course but the time for that has not yet

It would therefore be best if the Secretary of State went

no further than the line suggested in the "Points to Make" in

responding to any questions on this subject.

CHINESE OFFICIAL REPRESENTATION IN HONG KONG

There is a long standing Chinese request for official represen-

tation in Hong Kong. This has been successfully resisted up

until now, partly for fear of creating an alternative focus of

loyalty in the territory, but also because such a move could

be interpreted by local opinion as the beginning of a Chinese

takeover. Over the past year or so there were indications that

the Chinese might have lost interest. However, the subject

was raised again by the Chinese Foreign Minister during the

Governor's visit to Peking in March. The Governor said that

though the time might eventually come when an official repre-

sentative would be appropriate, there was no need for one at

present since the Hong Kong and Chinese authorities had between

them devised satisfactory arrangements for handling all the

practical matters that an offical representative would handle.

/This

CONFIDENTIAL

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