BRITISH

26 May 1993

The Rt Hon Alistair Goodlad M.P.

Minister of State

Foreign & Commonwealth Office

King Charles Street

London SWI

United Kingdom

TRADE CURT

DRAFT

Dear Mr Goodlad

For some years now is has been proposed that the British Chamber of Commerce in Hong Kong should co-locate its offices with the

Consulate-General when it is completed in 1996. We have had a number of meetings with members of the British Trade Commission on this point.

The advantages of such a move are obvious: a "one stop shop" for British businessmen and an opportunity for the Chamber to identify itself as positivaly British in Hong Kong after 1997.

However, the Chamber is an independent body which receives no government

funding. You are, I am sure, aware that we have an comprehensive strategic plan to implement to better anchor British business after 1907 and are very worried about costs. If a commercial rent is to be charged, the Chamber will have to seriously reconsider its options.

In conversations with the two previous Senior Trade Commissioners, Peter Heap and Stephen Day, we were led to believe that the premises would be made available to us at a nominal or pepper-corn rent. This because the deed of entitlement does not permit FMG to sub-let. Now we have been told that this is not so and a commercial rent may be charged. This will, of course, have a major impact on the Chamber's plans.

I appreciate that this matter is polítically sensitive (the matter has been before the Hong Kong Executive Council already), but hope that we can use your good offices to help.

Best wishes

Yours sincerely

James Chiu

Chairman

cc The Hon Richard Needham MP

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