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5.
On resettlement, there was some discussion of the numbers of refugees which the UK would have to admit, in the light of the SCORRI Report, in order to trigger a more helpful reaction from other countries. The Governor argued that a one-off concession for the 500 family reunion cases identified by SCORRI would not be enough. A continuing programme of some 500 admissions each
year was the minimum acceptable.
6. Mr Luce is holding an office meeting this afternoon to consider the policy implications of the SCORRI Report.
Constitutional Development
7.
The Governor had reservations about Sir Robin Vanderfelt's proposal for a visit to Hong Kong by the CPA. LEGCO members had been unimpressed by the manner in which "adversarial" politics (three hours of contrived interventions on points of order by Scottish MPs) had delayed consideration of the Hong Kong Bill. They had concluded that two-party politics was not for them. Mr Luce suggested that, once the indirect elections were out of the way, there could be merit in a small team of House of Commons officials visiting Hong Kong to explain Westminster procedures. The Governor remained sceptical.
Student Fee Support Scheme
8. The Governor was concerned at the proposal to limit HMG's contribution to the joint funded scheme to £2 m in 1985/86. This would mean that 10% of student fees would have to be funded from loans this year. This figure would rise to 25% in 1986/87 and perhaps 50% the following year. The scheme had been intro- duced as a way of compensating for the DES decision to charge overseas students the full rate. It would be politically undesirable for HMG now to renege on its commitment to finance half the scheme. If there were budgetary problems, funds might be transferred from other areas of planned FCO expenditure. Mr Luce said he would have considerable difficulty in justifying the retention of an open-ended commitment to Hong Kong when total expenditure on scholarship support schemes was being cut.
Ministerial Travel
9. The Governor hoped that Mr Luce might be able to time his visit to Hong Kong to coincide with the opening of LEGCO on 30 October after the indirect elections. This would be an important milestone in constitutional development, and a Ministerial presence would be very welcome. Mr Luce explained that it might be difficult to be away long enough to combine full visits to China and Hong Kong during the Parliamentary Session. But he would reflect on the possibilities. (I shall be in touch shortly with Mr Luce's proposals for rationalising the various priorities.)
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