SECURITY CLASSIFICATION

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DSR 11C (Revised 5/87)

But we

are free to leave the territory if they wish.

must at the same time be careful to ensure that, by our

own words and actions, we are not seen to be actively

encouraging the flow of talent and capital from the

territory.

NATIONALITY

PRIVACY MARKING

In Confidence

18. There is still concern and resentment in Hong Kong

about nationality matters, and in particular about the

fact that holders of Hong Kong British passports do not

have the right of abode in this country. Some people in

the territory and in this country believe that Britain

should open its doors more widely to Hong Kong British

passport holders. This feeling is not new: it has

existed since the early 1960s when restrictions were

first introduced. But the controversy reawakens each

time new legislation enshrining this situation is

passed. The British Nationality Act of 1981 created

particularly strong resentment. The fact that Portuguese

Nationality Law as applied to Macao means that henceforth

some Macao residents will be able to enter the UK more

easily than Hong Kong British passport holders has

provoked bitterness.

Groups such as civil servants have

strong feelings about what they perceive as the UK's

obligations towards its nationals in Hong Kong. By

focussing people's attention on their future, the Joint

Declaration has heightened resentment about this issue in

Hong Kong.

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