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Freely as You with upon

terms of which can, I think, be settled fairly

quickly in consultation with you, if

constitutional development in Hong Kong is to

take the course recommended in your despatch

Xo

No.145. If, however, you/recommend, as the result of this telegram, that it should take

the form of broadening the basis of unofficial

representation on the Central Government and

that the project for a Municipality should be

abandoned, the terms of the statement will

require some consideration. The following

draft has been prepared to meet that

eventuality. I should be grateful if you

would include your views on it in your reply If you decide to revise your original

recommendations for constitutional development, The draft statement, which is in the form of

a reply to a Parliamentary Question, is-as-

follows.

Begins:

"On the 1st May my predecessor announced

in this House that His Majesty's Government

had had under consideration the means by

which in Hong Kong, as elsewhere in the

Colonial Empire, the inhabitants of the

territory can be given a fuller and more

responsible share in the management of their

own affairs. He went on to say that it was

thought that one possible method of achieving

this end would be by handing over certain

functions of internal administration to a

Municipal Council constituted on a fully

representative basis but that the Governor had been asked to thoroughly/examine these

important issues in consultation with the

representations of all sections of the

community in Hong Kong. Since that time

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