island of Hong Kong itself: both were ceded to us
and are D tish territory. As regards the New
Territories, the lease has still over 60 years to
run and while it is fairly certain that any early
retrocession of the area to the Chinese in their
present frame of mind would involve the ruin of
Hong Kong, it does not necessarily follow that
the same would be the case when the lease has
run its full course especially as it is not
unreasonable to imagine that it may be possible
in the years to come to ef ect an arrangement
with a settled, prosperous, and less sensitive
China whereby the difficulties about building
leases etc., which otherwise must inoreasingly
hamper any development of the New Territories, may
be resolved. If so the essential unity of the
interests of Hong Kong, Kowloon, and the New
Territories in those conditions would probably
be sufficiently obvious to secure that the British
position in Hong Kong and dowloon would not have
to be abandoned, when the New Territories revert
to the Sovereign authority of China.
(Sd) Walter & Ellis
!
44