Page

AJGAN-1994

14:56

pu.lm letters 106

●M

M Treasury

A J Wootton Esq

FOO

FINANCE DEPT

FIED

Parliament Street London SW1P 3AG

Telephone 071-270 4895

MCS BARNES JONES

HMT have clearly not accepted

the BC rent proposals.

Mr Mark will not

P.03

134

CC

MR BRINKLEY

Mc Snith,

EH

MR DAUGT,

<KD

recommend approval of the main works stage until this is sorted out (see last parai). We discussant the possibility of this reaction from HA?

Resource and Finance Department Foreign and Commonwealth Office Room 2/107

Sh llat

and I thith

fou agrend the wave higher.

you

COLLl take

рокат

Hun 40612

REC

- 5 JAN 1994

30 December 1993

Old Admiralty Building Whitehall

LONDON

SW1A 2AF

AASTAPER

124

Dear Alan,

HONG KONG: NEW CONSULATE GENERAL

I expect you have seen a copy of Alex Smith's letter to me of 8 December, (which was only delivered here on 16 December) seeking authority for the main works on the Hong Kong Consulate-General project. A copy is enclosed for convenience. I am writing to you about the financial arrangements with the British Council.

Paragraphs 8 and 9

contain reactions to my letter to

the

22 July asking you to review the financial arrangements

you of with the British Council, under which they would make virtually no contribution to the capital costs of their accommodation in new building. I do not understand what you say about Treasury acceptance of the "total PES bid for the co-location of the Consulate-General and the British Council". We have had a further look at our files on both the 1990 and 1991 Surveys. Nothing in out papers suggests acceptance by the Treasury of specific bids for the Hong Kong Consulate-General project. Indeed, in his minute to the Chief Secretary of 10 October 1991 the Foreign 14 Secretary records his withdrawal of the Hong_Kong bid

(1994-95).

There was no corresponding bid for the 1992 Survey.

*

Also, we cannot find anything in Our papers to support your understanding that the capital cost of the British Council accommodation "would be funded from capital to be dedicated to the Council's specific purpose in Hong Kong"

If you

mean that the Diplomatic Wing part of your programme (rather than the British Council part) would bear the capital cost of new British Council accommodation in Hong Kong, I cannot see how that can be justified, especially as you say that no rent would be payable by the British Council.

Switchboard 071-270 5000

Fax 071-270 5653

Telex 9413704

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