10 MAY '93
10:22
H M TREASURY HEF DIV
aefl.to/Woodfield/1.10.5
CONFIDENTIAL
I
P.4
"The
Treasury's legal advice is that the White Papers envisage variations in the details of HMG's commitments due to the different circumstances of the territory involved; the Treasury believes that HK is different from
from past cases in a number of important respects.
H
paragraph 5 replace unlikely".
"inconceivable"
with "highly
paragraph 6 (also paragraph 9): mid-96 should say mid- 97 (ie from when the Chinese take over).
paragraph the latest ODA estimate of the maximum cost of the Treasury proposal is £33 million, making a difference of £15 million (£3m per annum) from the FCO proposal (paragraph 23 will also need amending to reflect this).
It
paragraph 15 a: the second part of this tiret (from compared with") is not relevant to the Treasury's proposal, and would be better placed either in a chapeau or in paragraph 16a. Add after 26:1 "the rate calculated by the Government Actuary's Department at which average HK HMOCS remuneration would be equivalent to their UK counterparts.
paragraph 15 bi the last sentence is incorrect and should be deleted (we should expect a higher inflation rate in HK to be accompanied by a weaker HK dollar, cancelling out any effect on the value of the safeguard).
paragraph_15g to read:
"Given the safeguard, there would be no need to SPOS, which would have
•
repercussions for
amend
non-UK
1
1
pensioners"
paragraph 16c add at the end:
"per annum for HK HMOCS".
paragraph 22 add at the end:
"generally and public sector pay in particular".
paragraph 25: surely there are
three options; add
after "necessary":
"or
whether the Treasury
proposal would be
defensible,".