Mr Paul

HKB 063/1

SECRET

File

FROM: M V Stone

Hong Kong Department

DATE: 3 June 1991

CC:

Mr Burns

ROYAL NAVAL PRESENCE AFLOAT: HONG KONG GOVERNMENT'S

DISCUSSIONS WITH THE MOD

I attach a

1. The Hong Kong Government (HKG) had two sessions of discussion with the MOD on ways to retain the Royal Naval Presence Afloat in Hong Kong. I was present.

short summary of the positions of both sides, which I have

agreed with the MOD. A fuller record will be issued in due

course.

The two sides' positions

This

2. The MOD opened the meeting by setting out in extremely firm and unnecessarily strident terms their position. set the tone for the first days discussions which were acrimonious. The second day was more restrained and was effectively simply a rap up. In addition to the summary, the following further points of the two sides position's

should be noted:

MOD

(a) The MOD do not deny that the Patrol Craft could have a role, but they do not believe this role is necessary in the context of a military presence. They therefore

consider retention of the Patrol Craft to be outside the

DCA and that the costs must be met by Hong Kong

Government.

ROZAXB/1

VAS

SECRET

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