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In further discussion serious concern was expressed about the effect of
these proposals on the future capability of our armed forces and our ability
to maintain the system of voluntary recruitment. It was also urged that any military presence which we might maintain in Australia must have an effective capability and not be determined by purely political consideration.
It
was however pointed out that these aspects would be for consideration and determination at a later stage of the studies on future defence expenditure,
and the decisions would not be taken until June on the size and shape of
our forces as a whole and on their oversea deployment in the future.
THE PRIME MINISTER, summing up the discussion, said that major matters
of substance about our Far East policy which had been raised would be
for decision later when proposals covering the defence programme as a whole
were ready for consideration. This was intended to be the last major review
of defence policy in this Parliament and it was essential that Ministers
should be able to consider the defence programme as a whole not later than
the end of June, so that there was adequate time for decisions to be
taken before the Summer Recess. One matter requiring careful consideration
was the economic future of Singapore and whether it could develop along
similar lines to Hong Kong. For the present however we were concerned only
with the manner in which the initial round of discussions with our allies
should be conducted and on this there was general agreement with the proposals in the report by officials. The Committee recognised, however, that it would
be difficult in the course of these consultations to avoid statements about
our intentions which, though they would not pre-empt final decisions about
our Far East policy, would nevertheless have repercussions which would have
to be given weight when those decisions came to be taken. Although it
was not necessary to decide now that he should send a message to the
Australian Prime Minister, a draft telegram should be prepared so that it
could be brought up to date and sent if need be when the first reaction
to the consultations by the Foreign Secretary in Washington were known.
The Committee
(1) Took note with approval of the Prime Minister's summing
up of their discussion.
(2) Invited the Foreign Secretary to be guided in his
forthcoming discussions in Washington by the considerations set out in OPD(67) 26.
Cabinet Office, S.W.1.
14th April 1967
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