DEF. 75/51/02.
TOP SECRET
Page 176
13th May, 1958.
Many thanks for your lettor of the 3rd May about the additional artillery units for the Hong Kong garrison.
We very much share your concern about the delay in getting these units despatched and are disappointed and disturbed at the difficulties encountered over the question who shall pay the extra costs involved. The Governor has now come a long way to meet the War Office and the Treasury on this. We had hoped, like you, that his last. offer would have produced a settlement and thus enabled us to go firm on the two units. But the Treasury, at the official level, do not feel that they can be associated, even by implication, with the assurance for which the Governor asks in paragraph 4 of his telegram No. 350; and I don't see how we can leave Hong Kong to foot the bill for the units when a major decision affecting their ultimate cost is in dispute.
So the matter will have to go back to Ministers and we shall press for & submission to be made as quickly as possible.
We certainly recognise the need for speed, but it is already clear, is it not, that we cannot
/get
Pagriefshal Sir Gerald Templer, G.Cage Bot
G.c, of 283
G.C.M.G., K.B.E., D.Ś.O.,