*

CONFIDENTIAL

11.

Finally there is the issue of the resettlement of refugees in

Britain. At present this is the subordinate objective: and it seems

tactically wise not to tackle it in the present minute to the Prime Minister. We are pursuing it in slower time with Home Office

officials. This may enable us to argue more convincingly, in due

course, that the new policies introduced in Hong Kong on 16 June are

having a deterrent effect.

CO Hum

CONFIDENTTAT.

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