CO537-6046 — Page 143

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how far we agreed with the new proposals and enclosing for their consideration the draft of the open despatch which was to be sent eventually in reply to the 1949 proposals. This would enable Mr.Nicoll to suggest possible amendments to the proposed draft reply and at the same time to comment on the timing of any announcement to be made, i.e. whether this should be made just before or just after Sir. A.Grantham returns to Hong Kong. The Secretary of State's open reply, which is to be published, might lay down the general principles which he is prepared to accept and leave the Government of Hong Kong to work out the details.

The new proposals were then considered.

Mr. Sidebotham said that he had had an opportunity of a brief discussion with Sir Charles Jeffries last Saturday morning and they had agreed that whoever was elected must be a British subject though it did not matter who the electors were. They were, however, doubtful about the size of the Unofficial majority. Mr. Sidebotham pointed out that the Constitution had to be framed for "fair weather or foul". He thought it might be preferable to have a closer balance between the official and unofficial sides. The Governor considered that in any international, political issue he could depend on 10 votes out of the 15. These were made up of

The Governor's original and casting vote

4 officials

1 J.P. non Chinese.

1 Hong Kong General Chamber of Commerce (who would be a

European).

2 nominated by the Governor.

He agreed, however, that on financial and taxation issues there was a NA risk that the Unofficial Members might vote against the Government.

Mr. Sidebotham pointed out that the trouble in the Seychelles had started because of differences of opinion on income tax. The Governor felt, however, that on any major issue the members would take a reasonable view. If they went against the Government on any very important issue the Governor, after consulting the Secretary of State, would have to use his reserve powers. He thought this was a risk which wexx be accepted but that we must be prepared to show confidence in the local people.

Mr. Paskin enquired what the reactions would be if there were a 50/50 balance. Sir A. Grantham replied that if there were not an unofficial majority he thought that there would be a slightly bigger outcry. He would be prepared to accept the present proposals, but if Mr. Nicoll in Hong Kong after consultation with the Unofficial Members made the suggestion that the Governor's casting vote should decide the issue, he would be happy.

1.2.

Sir A. Grantham asked whether it was essential to guard against dangers which arise in any colony or against dangers peculiar to Hong Kong on several"international issues” From the Government's point of view it would be preferable if there were an unofficial majority of only one then the Governor's original and casting vote would carry the day. The Governor however, was satisfied that the new proposals would safeguard the vote on any "international issues".

Mr. Sidebotham enquired that if it was decided that there should be an unofficial majority of one only, what would be the best way to arrange this. Sir A. Grantham replied that this could be done by increasing the number of official members or by reducing the number of the Governor's nominees by two and adding three officials, or by reducing the Urban Council members from 2 to 1.

Mr. Sidebotham enquired whether there was any chance of a woman being elected. The Governor replied that he did not think there was at the moment. He was all in favour of it, but any suggestions by him had been met with singularly little success either from officials or non-officials. The main difficulty was that Chinese women would not utter at all.

/Mr. Faskin