CONFIDENTIAL
increase over the 50 hectares stipulated in the Joint Declaration again demonstrates the flexible and pragmatic approach of the two sides.
JLG OFFICE
5. The Joint Declaration provides that the JLG will take Hong Kong as its principal base from 1 July 1988. Arrangements are almost complete for the establishment in Hong Kong of the British side's office. Papers on the implications of the opening of the Office for the work of the JLG and on the Office's terms of reference have been
agreed with the Hong Kong Government and submitted to Ministers. Initially the Office will have a small staff, and our Senior Representative (Mr McLaren) will remain London-based.
the outset.
6. The Chinese side are planning for a much larger office. This is understandable given that they will not have the support which will be available to the British side's Office through the Hong Kong Government. Ambassador Ke Zaishuo will be based in Hong Kong from
Hong Kong people may question the apparent imbalance between the two offices, but we have agreed with the Hong Kong Government that this is unlikely to give rise to particular problems. There will probably be a flurry of public and media interest on and around 1 July, but we anticipate that this will
decline as the JLG settles into a routine.
7.
We are currently discussing arrangements with the Chinese side for marking the opening of the two side's offices on 1 July. These will include a meeting between Mr McLaren and Ambassador Ke to discuss current JLG matters; and a cocktail reception jointly hosted by the two sides. There will inevitably be press speculation that Lord Glenarthur's visit is linked to the opening of the JLG Office. The briefing contains a defensive line.
CONFIDENTIAL