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servants could remain to help with the local
administration. But British jurisdiction over
Hong Kong would cease.
36. The PRC leaders will probably indicate that they expect
this to happen in 1997, and that they are not seeking any early
radical change. But they have not ruled out a date before 1997,
and they may well suggest that preparatory steps should be
agreed soon and introduced gradually so as to ensure a smooth
transition.
37. In response the Prime Minister may wish to express the
UK's shared concern for the future welfare, stability and prosperity
of the territory and respect for the view that its eventual
future lies in closer association with the mainland of China.
The UK has no 'colonialist' ambitions, and the British Government
as such takes no revenue from Hong Kong, but HMG has a clear
duty to the people of Hong Kong deriving from 140 years of
responsibility for the territory.
38.
Assurances
But the Prime Minister will then need to stress that the
key to the maintenance of confidence among international and
domestic investors, on which the prosperity and stability of
the territory depend, lies in the British connection.
that the present 'systems' will be preserved will not be enough,
at least until the Chinese have built up a long track record of
consistency. Any official announcement now of the Chinese plan
would immediately and seriously undermine confidence.
HMG nor the Chinese want this.
Neither
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/39.