CONFIDENTIAL
and they need to consider it as part of the wider question of terms and conditions for their Civil Service up to 1997.
But as We continue to explore the possibilities with them. we envisage no UK financial commitment, I do not think we need discuss this when we meet.
4. I hope you will agree that we also need not discuss the question of UK pensions supplements (SPOS) payable to existing Hong Kong pensioners under UK pensions legislation. David Mellor recognised the degree of inequity of present arrangements, so I hope that we can agree now that officials should implement the necessary
changes.
5. These commitments would all be handled by the ODA, with They would costs being charged to the Superannuation Vote. require separate provision from 1997 onwards (John Major accepted in 1988 that we could not justify the diversion of Aid funds to Hong Kong for the compensation scheme but left it to a future government to decide how to deal with the funding in PES terms.)
6.
I am copying this minute to the Chief Secretary.
(Approved by the Foreign Secretary
and signed in his absence by
Simon Gass, Private Secretary)
Foreign & Commonwealth Office
12 June 1992
CONFIDENTIAL