Hong Kong guarantees

right of abode in Hong Kong but not

right of abode in the United Kingdom (which is only

guaranteed by British citizenship).

Hong Kong BDTC status will cease in July 1997 but under

Chinese Law most Hong Kong residents will continue to be

regarded as Chinese nationals. There are also

arrangements whereby Hong Kong BDTCs may apply before

July 1997 to become British Nationals (Overseas) (BN(0)

and this status will continue after 1997. Hong Kong

BDTCs who do not become BN(0)s and who would otherwise be

stateless in July 1997 will then automatically become

British Overseas citizens (BOC). There are also

provisions for the children and grand children born after

June 1997 to BN (0)s or BOCs to become BOCS if they would

otherwise be stateless. Neither BN(0) or BOC status

confers right of abode in the United Kingdom.

3. I agree

with Mr Varney's suggestion of a separate

section on the position under EC Law. I also confirm that

British subjects (under Part IV of the British Nationality Act 1981 with ROA in the United Kingdom) can be ignored as it is

not a status that has been or can be acquired by connection with Hong Kong. There is probably a number of such persons in

Hong Kong who are eligible under the 1990 Act on nationality

grounds. They are unaffected by the nationality arrangements

in the 1986 Order and will therefore remain British subjects on

1 July 1997 (unless they have lost it under Section 35 of the

British Nationality Act 1981). May I suggest the new paragraph read as follows:-

"Status under Community Law"

Since 1 January 1983, when the British Nationality Act

1981 came into effect, a person is generally speaking regarded as a "national" of the United Kingdom for the

LH3.10

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