404
68
The Bill now before us contains not only the numbered clauses which constitute its provisions together with Objects and Reasons as is customary, but also a Preamble. Now that Preamble is of great importance. It records the essential points in an agreement which has been reached between His Majesty's Government in the United Kingdom and the Government of the Colony; and it sets out the basis on which the provisions of the Bill rest.
The main provisions of the Bill are briefly:
(a) that from 1st April, 1933, the Colony will pay $4 millions annually as a Defence
Contribution;
(b) that this sum is in full return for the cost of the Colony's defence by His
Majesty's Naval, Military and Air Forces:
(c) that the contribution for any year may be commuted to 20 per cent of the revenue of the Colony. Under the agreement however the right to exercise this option shall lie with the Unofficial Members of the Legislative Council;
(d) that contributions shall be paid by monthly instalments; and
(e) that expenditure by the Colony on its local forces shall not exceed $500,000
annually except when mobilized in an emergency.
The agreement which is in the first instance for a period of five years provides for continuance on certain terms for further quinquennial periods by agreement between His Majesty's Government and the Government of the Colony if a majority of the Unofficial Members of the Legislative Council approve.
I would also invite the attention of Honourable Members to the Objects and Reasons which are of particular importance in this case. They state the present position under Ordinance No. 64 (which will be repealed by the present Bill) they relate the recent history leading to the present agreement, they record the terms of that agreement and elucidate it in certain particulars, and in paragraph 15 they affirm the intention of His Majesty's Government not to charge the Colony with any part of the additional defence expenditure due to the new Naval Base or Air Base. The agreement now come to and embodied in this Bill is the result of lengthy discussion, detailed consideration and careful prepara- tion. This result could not have been attained without goodwill on both sides. It is the earnest hope of the Government that this goodwill may continue and that a seal may he put upon it by the passing of the Bill now before us.
I move that the Bill be read a first time.
13060/33 [No. 44].
25th October.
69
No. 51.
STRAITS SETTLEMENTS.
THE GOVERNOR
to
THE SECRETARY OF STATE.
(Received 10.59 a.m., 25th October, 1933.)
TELEGRAM.
No. 193. Reference previous correspondence. Contribution to
Imperial Defence Bill passed unanimously to-day.
13060/33 (No. 45].
(Secret.)
SIR,
No. 52.
COLONIAL OFFICE
to
ADMIRALTY.
Downing Street, S.W.1, 27th October, 1933. With reference to Admiralty letter of the 18th October, 1933*, regarding the Straits Settlements defence contribution, I am directed by Secretary Sir Philip Cunliffe-Lister to acquaint you, for the information of the Lords Commissioners of the Admiralty, that he has no objection to the adoption of the proposal contained in paragraph 2 of your letter provided that the War Office, Air Ministry and Treasury concur.
I am to suggest, however, that the words "or 20 per cent of the Colony's revenue (whichever is the less)" be omitted from the proposed note, since it has been expressly agreed that this limitation of the contribution is not necessarily to operate even if the sum $4,000,000 is more than 20 per cent of the Colony's revenue in any year.
I am, &c.,
H. R. COWELL.
13060/33 [No. 42].
(Secret.) SIR,
No. 50. ADMIRALTY to
COLONIAL OFFICE.
[Answered by No. 52.]
Admiralty, S.W.1, 18th October, 1933.
I am commanded by My Lords Commissioners of the Admiralty to acquaint you, for the information of the Secretary of State for Colonial Affairs, that they have no comments to offer on the draft ordinance enclosed with your letter of 12th September last*, to give effect to the settlement of the defence contribution of the Straits Settlements. With regard, however, to the method of bringing the contribution to account in the Estimates and Appropriation Accounts of the Departments concerned, My Lords are of the opinion that if no mention is made of the item in Navy or Air Votes, the impression may be given that the Colony makes no contribution towards naval and air defence. They are, therefore, considering the desirability, when the ordinance is passed, of making a note in the Navy Estimates in the "Table of Cash Contributions from India, the Dominions and the Colonies towards Naval Expenditure," and also in the corresponding statement in the Navy Appropriation Account, to the effect that a contribution of $4,000,000 a year, or 20 per cent. of the Colony's revenue (whichever is the less) is at present paid by the Government of the Straits Settlements towards the cost of Naval, Military and Air Defence and that this contribution is accounted for in Army Votes.
I am to enquire whether the Secretary of State would see any objection to this proposal or whether other Colonies would be likely to be affected thereby. A copy of this letter has been sent to the Air Ministry.
13060/33 [No. 52].
SIR,
No. 53.
ADMIRALTY
to
1. TREASURY.
2. WAR OFFICE.
3. AIR MINISTRY.
(Copy received in Colonial Office 11th November, 1933.)
Admiralty, S.W.1, 10th November, 1933. With reference to Admiralty letter of 18th October†, addressed to the Colonial Office and to the reply from that Department of 27th Octobert, I am commanded by My Lords Commissioners of the Admiralty to enquire whether [the Lords Commissioners of H.M. Treasury] [the Amy Council] [the Air Council] concur in the proposal contained in the Admiralty letter referred to, to make a notation in the Navy Estimates and Appropriation Account relating to the annual defence contribution of the Straits Settlements.
My Lords concur in the amendment proposed by the Secretary of State for Colonial Affairs in the reply referred to above.
Similar letters have been addressed to [the War Office and Air Ministry] [the Treasury and Air Ministry] [the Treasury and War Office] and a copy has been sent to the Colonial
I am, &c.,
Office.
J. S. BARNES.
• No. 40.
I am, &c.,
J. S. BARNES.
• No. 50.
† No. 50.
‡ No. 52.
[C38051)
PUBLIC RECORD OFFICE
Reference :-
THEPIC.O. 882/11
ALLY WITHOUT PERMISSION OF THE BE REPRODUCED PHOTOGRAPHIC- | COPYRIGHT PHOTOGRAPH-NOT TO
PUBLIC RECORD OFFICE, LONDON