CONFIDENTIAL

Immigration and Nationality Department

Lunar House 40 Wellesley Road Croydon CR9 2BY

Telephone 01-760

(GTN 3882)

2923

Mr Keith Wright

Room 9/1

Treasury

Chambers

Parliament Street

LONDON SW1

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AARD 340/ Your reference

RECEIVED IN REGISTRY

2 5 MAY 1990

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Mr Paul fur Clements, RMD Mr Callaghan, Financ

Mr Harrington, NTD

27 March 1990

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BRITISH NATIONALITY (HONG KONG) BILL: IMPLICATIONS

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Thank you for your letter of 7 March.

2. I now attach a statement of the implications of the Bill in terms of UK civil service manpower and running costs. I am sorry that it was not possible to provide it earlier. I should be grateful to have Treasury clearance. If you see any problems we shall need to deal with them very quickly, and I think this means by telephone.

3.

The statement takes account of our discussions with Hong Kong Government officials last week. You will see that the estimated size of the UK team to be stationed in Hong Kong is somewhat larger than we had anticipated. The estimate is still somewhat speculative but our Nationality Division have attempted to carry out a detailed analysis based on the information available, the details of which are set out in the Annexes. It is therefore the best estimate available but we think the figure should be regarded as an upper limit.

4. On a particular point of detail you will see the proposal that the Hong Kong Government should be permitted to retain passport fees to recover its costs in issuing British citizen passports on behalf of the UK Government.. I understand that the FCO reached agreement with the Treasury on a similar arrangement in relation to the issue of BN (0) passports in Hong Kong when that new form of British nationality was introduced in 1987. This need not be resolved immediately, provided it can be agreed now that there will be no need for the UK to reimburse the Hong

CONFIDENTIAL

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