6.
General Section (J): we assume we shall want to go for minimum change in this field for confidence reasons. It may be that the Chinese will be concerned only by the most overtly colonial or British references but prepared to leave others be.
General Section (L): the future of the British Council is now under separate consideration, which is appropriate as its position is somewhat different from the others listed.
7.
8.
Constitutional Arrangements (A): the "on-going exchanges of views" ground to a halt before last June. They may begin again at the Chinese initiative to put LegCo/ExCo relations on the JLG agenda. But once we have our own ideas clear, we shall need to give new impetus to new consultation with the Chinese on these subjects.
Constitutional Arrangements (D): we think we should inform the Chinese at least, if not consult, about oaths for the SARG which, post the Nationality Act, have taken on a new sensitivity.
9.
10. The Judicial System (E): it is not clear to us why item (ii) must await HMG's announcement on the General Compensation Scheme for HMOCS officers.
11. The Judicial System (G): some consultation with the Chinese may be necessary about the appointment of the first Chief Justice and the Chief Judge who, under BL 90, must be Chinese.
12. The Public Service (F): not only is consultation with the Chinese unnecessary on this item, but it is important that they should not find out the details of current arrangements, which we are changing.
13. The Financial System: we have reserved the right to return to discussion of Article 107 of the Basic Law, which could come under
this section.
14. Monetary System (C): transitional arrangements will be important to ensure that the Chinese will accept the continued validity of notes or coinage with Royal or UK insignia until they can be replaced.
15. External Relations (D): we note that an ExCo memorandum on Hong Kong's future relationship with the Commonwealth is being prepared for submission in September 1990. It would be most useful if you could send us a copy of this or any other indication of your current thinking.
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