your observations, in particular as to figure

at which the allowance should disappear.

2. I have emphasised in previous telegrams

temporary nature of cost of living allowance

and importance I attach to its future regulation.

which has just come to haund

Material at our disposal here, following recent

enquiry by War Office for its own purposes,

covering such goods and services as clothing,

washing, servants, chemical and toilet supplies,

transport, recreation and rents, but not food,

goes to show that cost of living in Singapore

is appreciably higher than in Hong Kong. Indeed

for services listed difference is calculated at

upwards of 30% in favour of Hong Kong and war

Office are fixing their local overseas allowances

accordingly. Cost of living allowances proposed

for the two colònies by respective Salaries

Commissions do not appear to reflect this difference

and I should have wished to give this point further

consideration, had it not been for the urgency of

making an announcement in Hong Kong. You will

appreciate that, apart from merits of case,

difficulties may arise in making arrangements for

U.K. military and civilian personnel who will

be called upon to serve in either Malaya or Hong Kong.

3. Should the anomaly which appears to exist

as between Hong Kong and Malaya be substantiated

on further study, I would ask that it should be

corrected as soon as possible when the rate of

cost of living allowances is reviewed. This

should be the more readily accomplished if there

is full consultation and co-operation with

Singapore and Malaya in the proposed reviews.

One of the first objects of the Boards of

Reviewers, when set up, will no doubt be to

determine consider

287

Share This Page