(a) to seek to persuade or to direct HKG to make suitable
arrangements to protect the sterling value of HMOCS pensions
pre 1997; and/or
(b) to seek HKG's/SARG's agreement to HKG/SARG providing a
sterling link for HMOCS officers pensions post 1997. This would have the effect of reassuring HMOCS members now, and persuading them to stay; or if (b) fails
(c) to take upon ourselves a commitment to provide a
sterling link for pensions post 1997.
view.
24. On (a) ExCo has already stated that they consider this
a matter for HMG. HKG has said so frequently. There is
effectively no prospect of persuading them to change their
A direction would probably not be possible (and is not recommended in any event) because the Finance Committee
would almost certainly not vote the funds for the financial
implications of such a proposal.
25. On (b), we have not yet ruled out the possibility of negotiating a POA, in which a sterling safeguard was included and funded by HKG/SARG. But given the Joint
Declaration and the guarantees built into it, it is difficult to see either HKG or the Chinese (looking after the SARG's "interests") agreeing to this. It is
nevertheless an avenue that we could explore further before considering embarking on (c) in paragraph 23 above.
Post 1997
26. As explained above, in previous colonies HMG concluded
a POA with the successor Government to safeguard the position of HMOCS members: and the POA invariably contained a sterling safeguard for HMOCS members' pensions.
27. The Joint Declaration contains many of the safeguards
which would have been included in a POA and indeed is more
ROZAUD/10