Foreign and Commonwealth Office

London SW1A 2AH

(148)

Victor Burge Esq

West Oxfordshire Conservative

17 New Yatt Road

Witney

Oxon

OX8 6NX

Dear der Burge,

Telephone 01-

Your reference

нко

Our reference

34014pate

RECEIVED IN REGISTRY

1 1 MAY 1990

DESK OFFICER INDEX

REGISTRY

PA

Action Taken

6 March 1990

I have been asked to reply to your Fetter of 30 January to the Secretary of State enclosing a letter from Mrs S Fieldhouse, of Lower Form, Witney Lane, Leafield, Oxford, to Joan Moody about the Government's decision to grant British citizenship to certain people in Hong Kong.

Britain's last major responsibility of empire is to secure the best possible future for Hong Kong. We have a clear duty to maintain good government and prosperity in Hong Kong up to 1997 and, we hope, beyond. This is a matter of honour for Britain.

It is also in Britain's interest to keep Hong Kong prosperous. Many jobs in this country depend upon it. Britain's total trade with the territory amounts to over £4 billion a year. Our investments there exceed £2 billion and may indeed be considerably more than that if equity investment, banking interests and so on are included. About 1,000 British companies operate in Hong Kong. So there is no contradiction between the interests of the British people and those of The Queen's subjects in Hong Kong. A collapse in Hong Kong would be a bad blow to this country.

The Government's scheme is designed to encourage people to stay in Hong Kong, not to come to Britain. Talented and enterprising people are leaving Hong Kong in growing numbers. Countries like Canada and Australia which have selective immigration policies welcome the doctors, teachers, managers and engineers. This exodus of professional skill threatens both Hong Kong's prosperity and, her good government during the last seven years of British rule.

Most of these emigrants would prefer to stay in Hong Kong. Almost all of them are ethnic Chinese. Their families, their careers and their businesses are based in the territory. But because of events in mainland China they also want the assurance of a foreign passport which would enable them to settle abroad if they became convinced that they had no future in Hong Kong.

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