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CONFIDENTIAL
5.
10. The Chief Minister stated that both the Gibraltar and British Government's wanted Gibraltar to be prosperous. This was in HMG's interest and there was much goodwill in the UK. But the Spaniards considered that the more prosperous
prosperous Gibraltar became, the more it would be out of Spain's grasp. Mr Ratford pointed out that the longer the delay in making progress over the airport, the worse the dilemma would be. Time would run out as Gibraltar became more and more prosperous if the Chief
Chief Minister's analysis were to be followed. The Chief Minister explained that Spain was trying to stop Gibraltar from becoming more prosperous and referred to Senor Ordonez's recent remarks. He cited the contradiction in the Spanish Government's attack on Gibraltar's status as an offshore
with the approach taken
taken by the British Government over the Channel Islands. Mr Maude said Senor Ordonez was playing to his audience. His remarks had not been
not been helpful and he appreciated that this created difficulties for Gibraltar. The Chief Minister asked Mr Maude if he felt that this was part of the build-up for the meeting of two Foreign Secretaries next month. The Minister of Government Services added that there was a difference on this occasion since it was not the Spanish media who were building up the issue but Senor Ordonez himself. Mr Ratford stated that the same had happened in 1988. The Chief Minister felt that this marked a.toughening on the Spanish position and a return to threats of blockade. Gibraltar would expect to be protected from such bullying.
that
Residence for Hong Kong citizens
11. The Chief Minister explained that Gibraltar would
be willing to
to offer the right of residence to a selective number of Hong Kong citizens wanting to move elsewhere. Mr Maude explained that the British Government was trying to encourage people in Hong Kong to remain there whilst offering schemes granting the right of abode in the UK. This would give people in Hong Kong the confidence to stay there whilst offering them the opportunity to exercise the right to live in UK and qualify as a UK resident. The Chief Minister said that Gibraltar could accommodate a few hundred Hong Kong citizens within the new reclaimed He was particularly interested in attracting those Hong Kong
Kong citizens who had traditionally used Hong Kong as a base for international trade and who could now transfer their base to Gibraltar. Mr Maude replied that he was not sufficiently clear on the nature of Gibraltar's domestic laws on immigration and residence. The Chief Minister explained that Gibraltar's laws were similar to the UK. In essence they followed the UK Nationality Act of 1981. · He wondered what possible amendments might be introduced to the UK Act to accommodate Hong Kong citizens. Mr
area.