6 October 1992

IN CONFIDENCE

Foreign &

Commonwealth 23, W23

Office

London SWIA 2AH

Dear Jack,

HONG KONG:

From The Secretary of State

CONSTITUTIONAL DEVELOPMENT

Chris Patten will be making a wide-ranging policy

speech to Hong Kong's Legislative Council on 7 October. I

wanted to let you know in confidence of the main points he will be making on constitutional issues in advance of the

speech.

Hong Kong has changed rapidly in recent years. There is now much more political awareness. Hong Kong's political system has already evolved a long way in the direction of democracy. In considering the next steps in that evolution, Chris Patten has canvassed views on all sides, but particularly among the people of Hong Kong. They must make the system work, and live with the

consequences. His conclusion, which the Government

endorse, is that changes are now needed:

- for effective and accountable government;

- to make the electoral system more democratic and fair;

and

to maximise the chances of continuity through 1997 by exploiting to the full the flexibility available within

the Basic Law.

Dr Jack Cunningham MP

IN CONFIDENCE

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