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11. My officials are, however, in serious disagreement
with yours about the maintenance of the Royal Navy's presence in the Colony. MOD wish to withdraw the remaining patrol craft in 1992, although we see military, political and diplomatic (China) reasons for their staying until 1997. I am told that the MOD will agree to this only if the Hong Kong Government greatly increase
their share of costs under the Defence Costs Agreement
(DCA). The Governor is convinced that the Legislative
Council will not agree to this and he fears that if the
suggestion were put to them they would re-open the whole DCA in a way damaging to British interests. He has asked to discuss this problem with me on 26 June.
12. As far as the DTS without garrisons are concerned, contingency plans exist for MOD to deploy forces to assist in the 5 Caribbean Dependent Territories, Bermuda, St Helena, Ascension and Tristan da Cunha. Besides troops airlifted from the UK, those plans involve elements from the Belize garrison and the West Indies
Guardship (WIGS). The WIGS also plays a particularly important role in the training and exercises of coastguards from the Caribbean Dependent Territories and has the capacity to provide emergency relief in
hurricanes and other natural disasters; and has an
important role in anti-narcotics work. This is all part of our responsibility to provide our DTS with good government. It would be helpful to have an MOD paper on how, with the post Options capability, we intend to meet our commitments towards the Dependent Territories.
13. I do not think that we should take decisions on these issues piecemeal nor make an announcement about the HMS ENDURANCE by 24 June. Stephen Wall in his minute of 13 June has drawn attention to the political pitfalls.
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