BY FAX

29 June 1992

R Plumb Esq

Overseas Pensions Dept

ODA

East Kilbride

Dear Richard,

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HMOCS : REVISED FCO (ODA COMPENSATION PROPOSAL: BACKGROUND TO CALCULATIONS

1. We spoke.

prices

12. I attach the annex to the Secretary of State's minute of

12 June to the Chancellor which includes details of the probable costs of the revised FCO/ODA proposal. You will see that the likely costs would be ₤41-£47 million in 1992 (= ₤37 - ₤43 million in 1991 prices - these figures are taken from one of the tables which

on 2 June 1992, also attached). , Dave Fish sent us

These figures assume that only 50 extra contract officers enrol in HMOCS before the cut-off date.

3. I should be grateful if you could fax (071-270 3387)

I to us by close of play 30 June any further background on how Mr Harper has arrived at these final figures. Why were blocks of 330 HMOCS members used? What assumptions have been made with respect to the number of officers who will stay in Hong Kong until 30 June 1997? What would be the maximum possible cost of the proposal if one fitted that

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