Mr Burns

CONFIDENTIAL

FROM: M V Stone

Hong Kong Department

DATE: 21 August 1990

CC:

Mr Paul, HKD

Mr Fifoot, Legal Advisers

Ms Marsden, HKD

HONG KONG: HMOCS MEMBERS: TAKEOVER OF PENSION ENTITLEMENTS

Problem

1.

In 1985 Sir G Howe, the then Secretary of State,

indicated that we would review, in 1990, whether HMG should seek to take over the pension entitlements of Hong Kong

HMOCS officers. Should we seek to do so and on what terms?

Recommendation

2. I recommend that we ask the Governor for his personal views on the issue before submitting to Ministers.

Background

3. In March 1985 Sir G Howe minuted to the Prime Minister

on a number of HMOCS issues. One of these was whether HMG

should take over the pension entitlement of HMOCS officers

in Hong Kong, at the expense of the Hong Kong Government. The capitalised value of the entitlements as at 1997 was then calculated in the region of £210 million, at 1984/5 prices and exchange rates: HKG would pay this to HMG.

RODACQ/1

CONFIDENTIAL

Page 75Page 76

Share This Page