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is proposed in OPDK (93)8 would be limited (in addition to the extra infrastructure costs referred to by Kenneth, there would be likely

There would be extra to be additional Gurkha redundancy costs).

costs for the Hong Kong Government, which would undoubtedly create difficulties for Chris Patten in his dealing with LEGCO: avoiding this was one of the primary reasons for accelerating the rundown. And advancing the rate of rundown of the Gurkhas to the extent implied would be difficult to achieve in practice, would threaten to overwhelm the Gurkha resettlement organisation in Nepal and open us to criticism from the vocal Gurkha lobby.

5. Nonetheless, I am content for my and Treasury officials to undertake the costing exercise proposed by Kenneth before final decisions are taken. I hope this can be completed quickly, as ideally, I should like to announce how long the Gurkha battalion will form the infantry contribution to the garrison at the time the decision to reduce the size of the garrison is announced later this month (19 July). If this is not possible, I nonetheless intend to proceed with an announcement then, recognising that it may have to be confined to the decision to reduce the Garrison to one battalion by September 1994, the withdrawal of 1 Black Watch to the UK, and the amalgamation of two Gurkha battalions.

6.

I am copying this minute to other members of OPD (K) and to Sir

Robin Butler.

| Good.

Ministry of Defence

7 July 1993

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MR.

(M R)

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