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
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