COPY. 083/4408. (F.1.)
WAR OFFICE,
LONDON, S.W.
13th March, 1908.
The Secretary,
The Treasury.
Sir,
With reference to your letter 556 of 27th January last, enclosing a copy of a letter from the Colonial Office dated 6th idem, and of a despatch from the Governor of Hong Kong, on the subject of the cost of the British Postal Agencies in the Treaty Ports of China, I am commanded by the Army Council to ask you to submit the following remarks to the Lords Commissioners of His Majesty's Treasury.
The Council are only concerned in the Governor's proposals in so far as they bear on the colonial military contribution. On this aspect of the question the Council note that the proposal to take account only of the net receipts of these Postal Agencies (and of certain other transactions) in assessing the contribution was made by the Unofficial Members of the Legislative Council as long ago as 1896. On that occasion the Colonial Office replied that "if any of their proposals were adopted it would be necessary to reconsider the proportion of revenue which has been fixed as the amount of the contribution". (Colonial Office despatch dated 8th June, 1896). In the Council's opinion the attitude then taken up by the Colonial Office...