VERMENT HOUSE HONG KONG.

TUE 20 NO 93 12:16

PG.07

SECRET

5

in London. We have all reluctantly concluded that we now have no choice but to begin the process of legislating on the simpler issues - not least if we are to give ourselves more time to talk

with China about the more difficult ones.

The Foreign Secretary has therefore advised the Chinese Government that draft legislation will be introduced into this Council covering :

voting method and voting age for District

District Boards,

Municipal Councils and Legislative Council;

the abolition of appointed seats in District Boards

and Municipal Councils;

and an increase in the number of elected seats in

Municipal Councils.

As an indication of our wish to continue cooperation

with the Chinese side, the draft legislation will also include

provisions to permit Hong Kong residents who are members of Chinese People's Congresses to serve in district organisations

and in this Council. It is our firm intention therefore to

follow the normal procedure, gazette the Bill on the 10 December, and to introduce the legislation on 15 December. This will give

the Council the chance to set up a Committee to consider the Bill

before the Christmas recess; to wait longer would delay everything until mid-January.

Where Britain and China have reached a common view, the legislation will reflect that. Indeed, a good proportion of the

legislation represents common ground between us.

There is no reason, in our view, why the talks should

not now continue So that the two sides can resolve the

outstanding differences between us on the major issues.

SECRET

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