Mr Smith, NPDD

CONFIDENTIAL

Out of Area Defence Commitments

As you know, the Secretary of State recently minuted Mr King about the future of HMS Endurance. Separately, the two Ministers are corresponding about the future of the Royal Naval presence in Hong Kong.

At a meeting this week with the Governor of Hong Kong, the Secretary of State affirmed what he had already said to Mr King that he wanted to look at all of our out-of-area defence commitments as a package. Those that come to mind

are:

HMS Endurance

the West Indies Guardship the garrison in Belize

Hong Kong patrol craft

- the Hong Kong garrison

Gurkhas (particularly in Brunei)

But there may be others.

I think that the Secretary of State would welcome quite soon a paper dealing with these commitments, with

recommendations on our priorities and how best to secure an acceptable package from the Ministry of Defence at a time of radical cuts.

Could we please have something in time for the Secretary of State's return from South Africa on 11 July?

28 June 1991

CC: PS

PS/Mr Hogg

PS/Mr Garel-Jones PS/Mr Lennox-Boyd PS/PUS

Mr Fairweather

Sir J Coles

Mr Broomfield Mr Goulden

L, Gass)

Mr Bearish

Mr Burns

Heads of: WIAD

LAD

SAAD

SEAD

HKD

FIDEN

CONFIDENTIAL

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