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THURSDAY, DECEMBER 21, 1989

FOREIGN SECRETARY'S STATEMENT

THE FOLLOWING IS THE TEXT OF A STATEMENT MADE BY THE FOREIGN SECRETARY, FR DOUGLAS HURD, IN THE HOUSE OF COMMONS YESTERDAY (WEDNESDAY):

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"WITH FERMISSION, MR SPEAKER I SHOULD LIKE TO MAKE A STATEMENT ABOUT OUR PROPOSALS TO IMPROVE CONFIDENCE IN HONG KONG.

"THE CONFIDENCE OF THE PEOPLE OF HONG KONG IS AT A LOW EBB. MY RT HON AND LEARNED FRIEND THE LORD PRESIDENT TOLD THE HOUSE ON 6 JUNE ABOUT THE TRAUMATIC EFFECT IN HONG KONG OF WHAT HAPPENED IN PEKING IN JUNE, AND REPORTED TO THE HOUSE ON 5 JULY AFTER HE HAD PAID A VISIT TO THE TERRITORY. MANY HONOURABLE AND RT HONOURABLE MEMBERS HAVE THEMSELVES VISITED HONG KONG SINCE JUNE. THE HOUSE SELECT COMMITTEE ON FOREIGN AFFAIRS GAVE A LUCID ACCOUNT OF THE PROBLEM IN HONG KONG IN THEIR REPORT OF 28 JUNE.

WE MUST DO ALL WE CAN TO BUILD A SECURE FUTURE FOR HONG KONG ON THE BASIS OF THE SINO-BRITISH JOINT DECLARATION OF 1984. WE HAVE A CONTINUING RESPONSIBILITY WHICH WILL INVOLVE US IN MANY DIFFICULT DECISIONS OVER THE NEXT 8 YEARS. AND IN PARTICULAR WE MUST PROVIDE FOR TROSE WHOSE SERVICES ARE NECESSARY FOR THE PROSPERITY AND EFFECTIVE ADMINISTRATION OF HONG KONG IN THE YEARS UP TO 1997.

THE PROBLEM OF CONFIDENCE IS SHOWN BY INCREASING EMIGRATION FROM THE TERRITORY, AND INCREASING NUMBERS OF PEOPLE WHO CONTEMPLATE LEAVING. 12,000 PEOPLE HAVE LEFT HONG KONG THIS YEAR AND 55,000 ARE EXPECTED TO LEAVE NEXT YEAR. A GROWING PROPORTION OF THESE PEOPLE ARE THOSE WHOM HONG KONG CAN LEAST AFFORD TO LOSE. THIS HAEMORRHAGE OF TALENT PUTS AT RISK THE COMPETITIVENESS OF HONG KONG'S ECONOMY, THE EFFICIENCY OF ITS PUBLIC SERVICE, THE EFFECTIVENESS OF ITS EDUCATION SYSTEM, IN SHORT ITS FUTURE.

'MANY OF THOSE WHO ARE LEAVING HONG KONG WOULD NOT DO SO IF THEY COULD OBTAIN THE ASSURANCE OF RIGHT OF ABODE IN THE UK. AS HON MEMBERS WILL KNOW FROM STATEMENTS BY THE PRIME MINISTER AND OTHER RT HION FRIENDS, WP HAVE BEEN WORKING ON A SCHEME TO GIVE SUCH ASSURANCES TO A LIMITED NUMBER OF KEY PEOPLE AND THEIR DEPENDENTS IN THE PUBLIC* AND PRIVATE SECTORS, THE FOREIGN AFFAIRS COMMITTEE RECOMMENDED SUCH A SCHEME IN THEIR REPORT IN JUNE, AND MY RT HON AND LEARNED PRIEND THE LORD PRESIDENT TOLD THE HOUSE ON 5 JULY THAT WE WOULD PROVIDE ONE. I CAN NOW EXPLAIN TO THE HOUSE THE CONCLUSIONS HAVE REACHED.

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*WE AIM TO GIVE SUCH PEOPLE THE CONFIDENCE TO REMAIN IN HIONG KONG 80 THAT THEY CAN CONTINUE TO MAKE THEIR CONTRIBUTION то THE SUCCESS AND PROSPERITY OF THE TERRITORY. WE HAVE TO WEIGH IN THE BALANCE OUR ABILITY TO ACCEPT THE INDIVIDUALS CONCERNED FOR SETTLEMENT IN THIS COUNTRY, SHOULD THAT EVER BE NECESSARY. WE HAVE TO SET THIS REALITY AGAINST OU DESIRE TO B] AS EFFECTIVE AS POSSIBLE IN RESTORING CONFIDENCE IN HONG KONG.

/"IP, AS

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