[insert p.6]

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DSR 11C

//3.

issued in Hong Kong to BN(0)s will be in the same format as

those issued at our overseas posts, that they will be issued

under the Secretary of State's exercise of the royal

prerogative and that the Governor of Hong Kong will be

authorised to act as agent for the Secretary of State in this

respect.

7.

Since these fees would be covered by the Consular Fees

Act the Hong Kong Government would not normally be permitted

to retain any part of them. At present passport fees received

by our overseas posts are appropriated-in-aid, but from

Approximately 130,000

1 April 1986 passport fees are to be surrendered to the

Consolidated Fund as extra receipts.

BDTCs passports are issued annually in Hong Kong to British Dependent

Territories citizens. Between 1987 and 1997 an even larger

number of applications for BN (0) passports is expected, since

the acquisition of BN(0) status is dependent on the holding of,

for inclusion in, a passport showing that status. Therefore

the loss to the Hong Kong Government of revenue from passports

would be considerable if proceeds were to be remitted to the

UK Treasury. Moreover, since the administrative arrangements

for the issue of BN (0) passports will be essentially the same

as existing passport-issuing arrangements in Hong Kong (the

work will still in practice be done by members of the Hong

Kong Government), any change in the financial arrangements

would not be easily understood in Hong Kong. Given the present

+

sensitivity of the people of Hong Kong in matters relating to

?

nationality and passports, this could still be seen as another

ploy by the United Kingdom to override Hong Kong interests.

A case was therefore made to the Treasury that the financial

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/arrangements

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