40/2321/48.
No. 247.
CONFIDENTIAL.
GOVERNMENT HOUSE,
HONG KONG.
12th October, 1948.
30 29
Sir,
I have the honour to acknowledge the receipt of your despatch No. 302 dated the 25th. September, 1948, on the subject of the relaxation of control by the Treasury over Hong Kong finances.
I agree that the proposals contained in that despatch should be put into effect and I shall make an announcement to this effect at the next meeting of the Legislative Council which is to be held on the 20th. October.
20
3.
The relaxation of control is, I consider, generous, and the waiving of the requirement that certain write-offs and abandonments of claims must be approved by the Secretary of State will reduce the volume of routine work very considerably. Nevertheless, as I have pointed out in my Confidential 155/7/of Savingram No. 679 of the 9th. October, 1948 I am
apprehensive that public opinion in Hong Kong will regard with some dissatisfaction the concessions that have been made, in view of the greater concessions that are being made to the African Colonies. Local pride in the remarkable development of Hong Kong is very strong, and unless I hear from you to the contrary I propose when announcing the new measures to add a hint that a further measure of devolution may possibly be forthcoming after the 31st. March, 1949, as indeed seems to be indicated by the concluding lines of the second paragraph of your despatch under reference.
PACIFIC 19 OCT 1948 REGISTRY
I have the honour to be,
Sir,
Your most obedient, humble servant,
Mehanizam
GOVERNOR.
THE RIGHT HONOURABLE
ARTHUR CREECH JONES, M.P.