Ms B-I Explained that trea
isn't.
There's nothing in the 1988
MND 406/2
Papere leading up to the
65
pu's decision to go His duilding Had w'd help wit the Treefury?
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(Ds bans Ins was ecord, a initiati
Mr Ricketts
Mr Hum
further nation.)
Cir 21/4
2 3 SEP 1993
OFFICEF
GISTRY
INDFROM: Deborah Barnes Jones Hong Kong Department DATE: 21 September 1993
cc: Mr Davey, CRD Mr Smith, OED
Mr Wootton, RFD
Mr Morris, HKD
faxed to Mr Smith, OED
BRITISH CONSULATE GENERAL IN HONG KONG: TERMS FOR BRITISH COUNCIL ACCOMMODATION
/
1. The Treasury have told us that the British Council must
pay rent for its accommodation in the new building (in addition to a pro rata share of running costs) in line with
practice elsewhere and to ensure that the British Council
receives no unfair subsidy to its non grant in aid activities.
We have told the British Council about this at desk level.
Mr Hum has agreed to flag this matter up with his opposite
number, Mr Davey. Mr Hum's meeting on 21 September at 1500 provides an opportunity to do this, and I attach suggested
points to make. But for the reasons set out below, I suggest that a separate meeting should be arranged with the British
Council to go over the implications of the Treasury demand in
more detail and to explore how we might negotiate with the
Treasury terms which will not prove too onerous for the
British Council.
Numbers
2.
OED's initial calculations suggested that even if the British Council were to pay rent calculated using Treasury guidelines in the new building they should still come out
paying about the same as they do for Henessy Road (but with a
high quality custom designed building). This is what I told Mr Hum when I discussed the way forward on 3 September. However, more detailed calculations of running costs indicate
that, were the British Council to have to pay rent at the rate
humbc.CONGEN.dbj
87