MUGAAN

01 JUN 1998

PS/Mr Mayde

Hayde

I submit a draft reply

Rosalind Hand 1.11.90.

R M Marsden

Mrs Edwina Currie MP

House of Commons

London

SW1A OAA

cc: Mr Paul, HKD

Issy

Thank you for your letter of 6 May enclosing one from

Mr A D McInnes, President of the Association of Expatriate Civil Servants of Hong Kong about various matters of concern to members of his Association. I shall try to deal with these points in turn.

pryta

First, the security of pensions after 1997. The Joint Declaration and the Basic Law for the Hong Kong Special Administrative Region (SAR) both contain very clear assurances about the continued payment of pensions after 1997. They state that the Hong Kong SAR Government will pay pensions on terms no less favourable than before, and irrespective of the nationality or place of residence of the persons concerned. The Joint Declaration is a binding international agreement and its provisions should not be dismissed

lightly.

Secondly, Mr McInnes expresses concern about the Supplementary Pension for Overseas Service (SPOS). I know that the arrangements are considered by some to be inequitable, but I believe that the

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