CONFIDENTIAL

International

Covenants

as

remain

in

applied to

Hong Kong will force. All this to be enshrined in Basic Law and remain unchanged

for 50 years.

Annual Debate

13. Cannot guarantee annual debate, but conscious of the importance

regularly informed of keeping Parliament

on implementation

the

of

in and

that No doubt

Parliament will maintain interest agreement. commitment to Hong Kong that it has already clearly demonstrated.

Compensation Arrangements for HMOCS

14. Agreement on future of Hong Kong provides satisfactorily for continuity of service by serving officers in the public service in Hong Kong, on terms and conditions, including pay and pensions, no less favourable than 30 June 1997. These provisions apply to members of Her Majesty's Overseas Civil Service (HMOCS) serving in

Hong Kong as well as to other civil

of servants. Resumption sovereignty over Hong Kong by the People's Republic of China raises similar issues in respect of HMOCS as independence has in other dependent territories. Not possible, however, to define now, 12 and

of constitutional

ail the change,

arrangements which will apply to members of HMOCS serving in Hong Kong and to payment of their pensions by the Hong Kong Government

after 1 July 1997.

a

half

years

in advance

Will Governor be member of Joint Liaison Group

15. Precise membership of the Group has not yet been decided.

Agreement for date 13 years in future unreal?

16.

The agreement is of course a unique one. Dealing with a known

arrangements

for future

time limit fixed by duration of New Territories lease. Essential

that

should be settled and known well in

advance. Important to establish climate of stability in Hong Kong in which people of Hong Kong can plan ahead.

Chinese constitution to

apply to Hong Kong after 1997? Possible Conflict between Basic Law/Chinese constitution?

17. We expect Basic Law to make clear which provisions of Chinese Constitution apply to Hong Kong.

Cannot conceive that the Basic Law

CONFIDENTIAL

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