CO129-576-10 Estimates 1940 6-10-1939 - 22-10-1940 — Page 52

The British members of the community are quite conscious of the obligation upon the Colony to contribute its share towards the war cost. The most loyal resident, however, is entitled to insist upon fair pro- portiun. Apart from the two years strain already experien- ced, it is not appropriate that the Colony should make the same contribution to the war as the United Kingdom: the signi- ficance of defence is entire- ly different. It is certainly not equitable that it should pay (proportionately to its revenue) more than any other part of the 'Empire. The annual $7,000,000 gift for the duration of the war is in addition to the $6,000,000 Defence Contribution, which is itself normally a greater per- centage than is devoted to de- fence even in the United King- dom. No part of the $7,000,000 is likely to be spent in the Colony. The $13,000,000 per year will be approximately 25 per cent. of the Colony's revenue— to be paid in greater part by Chinese, who may be pardoned if they fail to exclude from their ears their own fatherland's cries for aid, and if they recall the many occasions upon which Government has postponed pub- lic works and refused to improve the amenities because of lack of

money. If these proposals are adopted, there will be a flight of capital despite all restric- tions: and Government cannot with good face expect the Colony also to respond to the call for War Charities. The Colony's own unshared burdens cannot be ignored and Government ideas will need much revision if the unfortunate impression is not to be given that Hongkong is re- garded as an everlasting orange, to be squeezed as required.

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