an improvement that they require no comment. The important changes made in paragraph 14 concerning the number of daily attendances (200 reduced to 100) are required, and in the Building Grant Regulations (paragraph 29 or 27 subsection) have come into force several years ago with the approval of the Secretary of State (our Notification No. 430 in Government Gazette of 18th October 1890 and Gazette No. 382 of 7-8 January 1888, Secretary of State's despatch No. 16 of January 1888). The principal omissions that require explanation are the two sections, #17 and 20 of the old scheme, offering high rates of grant for the encouragement of schools giving English in addition to a Chinese education (A. 17) and requiring a European education in any European language with Chinese in addition. The fact that for the last twenty years only one school attempted the former kind of work (proving a disastrous failure within the year of its starting) and that no school whatever attempted the hybrid kind of work involved in teaching English and Chinese side by side (with the signal exception of the Victoria College, which is not under the Grant-in-Aid Scheme and has the purse of Government to draw upon) is sufficient excuse for dropping out of the scheme provisions which remained a dead letter all along, inapplicable to the educational requirements of the Colony.
10. I beg therefore to recommend that the new Code of Regulations for Educational Grants-in-Aid, which I now submit in draft form, be approved by the Government.