CONFIDENTIAL
The consultations
This
The Chief Secretary on HMOCS Pensions. with HMOCS officers in Hong Kong last week went badly. has reinforced the need to settle this issue and the question of sterling safeguards before the new Governor takes up his office, if we are not to face an acrimonious squabble with the expatriate civil servants, which could undermine morale and ultimately lead to the resignation of key staff. The Secretary of State minuted to Mr Portillo on
1 May.
We need to keep up pressure on the Treasury by making clear the political imperative to get this problem solved before Mr Patten's departure.
Zr Zichath
PF Ricketts
BOPAFW/2
CONFIDENTIAL