CO129-566-21 Military contributions 7-5-1938 - 31-1-1939 — Page 29

Telephone No.: WHITEHALL 1234.

Any reply to this letter should be addressed to-

NATIONAL

SCHEM

CUTE PATRED

FOR D

DISABLED

THE SECRETARY,

TREASURY,

WHITEHALL, LONDON, S.W.1.

and the following number quoted: S.33955/3.

Sir,

زيا

13.

29

TREASURY CHAMBERS.

10 November, 1938.

(11)

100

I have laid before the Lords Commissioners of His Majesty's Treasury Mr. Cowell's letter of 23rd August, 1938 (53538/38) and the enclosed despatch from the Governor of Hong Kong suggesting that the present basis for assessment of the Hong Kong Military contribution should be abandoned and that the Colonial Government should pay a fixed contribution of H.K. $6,000,000 a year, or the cost of the garrison if this should be less; this contribution to be

reviewed at intervals of five years.

My Lords have also had before Them War Office letter of 22nd October, 1938, (16/Abroad/764 (F.1.)), setting out the observations of the Army Council on the Governor's suggestion and the conditions on which the Council agree to it.

I am to request you to inform Mr. Secretary MacDonald that My Lords are in agreement with the views expressed by the Army Council, and that They therefore

The Under Secretary of State,

Colonial Office.

concur