Patrol Craft
GOVERNment hoUSE
HONG KONG
12 February 1991
You asked what the gap was in cash terms
I have now consulted
between ourselves and the MUD,
the experts. They tell me that, on MOD's own figures (we have no way of calculating these costs ourselves), the cost of retaining the patrol craft from 1992 to 1997 would be 43 million pounds. under the DCA, 35% of this (15 million pounds) would fall to MOD.
During the discussion in Hong Kong at the end of last year, Terence Brack said that MOD would be looking for at least half of this to be paid by HKG (this may be where you and I came up with a figure of seven million pounds, although even then it doesn't seem quite right!).
(R.J.F. Hoare)
Private Secretary
Alan Pa
nong Kong Department
Foreign & Commonwealth office
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