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Trade Commission's objectives. The correspondence has

culminated in the attached letter from Mr Day to the Chief

A Clerk, which asserts in effect that the Consulate-General

project has been mis-managed from the start, and that the

BTC's current objectives are misconceived. In the light of these allegations, it is worth recalling the process of decision making. The first step was a definition of the

functions of a post-1997 Consulate-General followed by

detailed staffing forecasts, and as a result a design brief.

4.

Ministers agreed in 1988 that we would need a

Consulate-General which would have the right "presence":

meet Britain's operational requirements in the territory

after 1997: and be affordable without distorting the FCO's spending programmes. An establishment forecast was drawn up in 1988 on the basis of a careful analysis of the probable

core functions of the Consulate-General after 1997 and of

the requirements of the British Council and the Immigration

experts. This forecast formed part of the briefing for the

inspection in 1990: the Inspectors report contains an ideal

staff establishment for the Consulate- General in 1997.

This was in turn one of the inputs to the detailed Schedule

of Requirements drawn up by the OED Planning Unit. This

document, refined in consultation with all interested

departments, was incorporated into the design brief prepared for the limited architectural competition. The BTC have been involved at all stages of this process.

5. There was also exhaustive analysis, in which the BTC

were fully involved, as to what kind of site and building

was required. The eventual outcome was an offer from HKG of

a private treaty grant at nominal premium on the "Colvin

House" site. Ministers accepted this offer. HMG would bear the construction costs (we have Treasury agreement to £20 million of funding at 1990 prices).

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