Background

CONFIDENTIAL

Approved Secondment Scheme (ASS)

1. In December 1989 when the Secretary of State announced

that a Nationality Scheme would be introduced, he said that

in addition to the 50,000 places under the main selection

scheme, there would be an Approved Secondment Scheme, enabling British companies in Hong Kong to offer 2 year secondments in the UK to their key local staff, which, together with 3 years' service in Hong Kong, would allow

them to qualify for naturalisation as British citizens.

While this did not feature in the final version of the

scheme which Parliament approved, some large British firms

strongly support some form of ASS. Ministers have agreed that we should review the situation later this year, in the light of experience with the first tranche of applications. But given that the Manager s'quota under the scheme is the

only one which is under-subscribed, it does not seem that

there is a strong case for reviving the idea.

TOYAKM/2

CONFIDENTIAL

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