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we have conceded the Treasury mechanism for basing the safeguard on 1992 salaries index-linked in line with UK inflation, thus
thus reducing the contingent liability by at least 15%
we have conceded the Treasury mechanism for basing the safeguard on the whole pension
in terms of value to HMOCS/cost to HMG, a rate of $16:£1 would split the remaining difference between HMOCS and Treasury
the Governor believes that he could sell $16: £1, and we could defend it as providing at least parity with UK pensioners
any lower general rate would be difficult to justify on any grounds other than limiting HMG liabilities
such a safeguard would be difficult to defend as being fair and thus would not seem to be consistent with Treasury Counsel's view of what would be acceptable to the Courts.