OVERSEAS SERVICE PENSIONERS' ASSOCIATION
RESIDENT :
The Lord Grey of Naunton, GCMG GCVO OBE
SECRETARY :
Mr. C. D. Stenton
63 CHURCH ROAD
HOVE SUSSEX
55
て
BN3 2BD
Telephone: Brighton (0273) 721630
Your Ref:
Our Ref:
CDS/RJH/F3HK
HKB 233/2
19th September, 1991
The Earl of Caithness,
Minister of State,
Foreign & Commonwealth Office,
London.
SWLA 2AH.
Dear Minister,
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for Draft
reply from Lore
Caithness
M Store
C.c
Q
please
ps/ Lord
Catanes
Bore
You will recollect that we spoke last March about the problem for Hong Kong overseas pensioners of the sterling value of their pensions as a result of the fall in the value of the Hong Kong dollar since many of them retired; and you confirmed that although there were difficulties to be overcome, this was a matter under active consideration with a view to finding a solution.
We understand that concern for this matter is shared by the Hong Kong Government and that it has now made proposals that HMG should take over the payment of the pensions of members of Her Majesty's Overseas Civil Service, at a fixed exchange rate to be agreed, against reimbursement by the Hong Kong Government of the pensions of these officers and any pension increases in Hong Kong dollars which it would have normally paid to the pensioners concerned; or that the existing arrangements for SPOS be amended so that losses in the sterling value of the Hong Kong basic pension due to exchange-rate fluctuations will be made good. We under- stand further that you discussed these proposals with the Hong Kong Government during your visit. there a few months ago. The Chief Secretary now tells us that he awaits agreement in principle from the Foreign and Commonwealth Office to one of these proposals befor proceeding further with detailed discussions.
This is an issue on which the Association has been in correspondence and discussion with the Foreign and Commonwealth Office for many years, including a meeting in November 1987 which we had with Lord Glenarthur when he was Minister of State. It is a matter of continuing and indeed increasing concern as many pensioners are losing as much as a third in the sterling value of their pension. Now that the Hong Kong Government has formally made proposals to HMG to alleviate the situation, these pensioners naturally hope that there will be no further delay in providing them with protection of the sterling value of their pensions.
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