CO129-586-3 Grant of subsidies to vernacular schools 4-6-1940 - 7-8-1941 — Page 9

Mr Davidson

24

Hong-Kong after long deliberation & with the variong lodie's concerned has produced revised Codes of (a) Grants-in-Aid

decided that this need not to and (6) Subsidies.

It was

afraid I have told them up. refered to the A.C.E.C. and I am

They must vow to pushed

for some

time.

over the Menwardin

wld own gur eye

Let we

tast

comments

any

I obald to grateful the rector's explanatory attacked sport copies of of the two revised Codes and points gus

think shold to then up.

not attacked - tells are

an

The Gowi's despatch -

nothing except that the Grant Code is the result of holonged discussims in which the for himself the W. K. educational system is outlined The structur Colmial Yearbook and can es put togettes ins

took an active part.

very

war

wifly

in the

Sebail from

Tables IT &

XILI

ite

the grant

Cast Annual Rehab attached

Code

fle

it

especiale

war so than the The revision his extremely generous, ***

Grants. in Aid wer contemplated, since ACEC wenward in apparently nothing will to put into current expand chi recurrent revenue except from fees & from Gork; and principal fear is lest Goot, Laving dove this vow, find it needs of money for financing hoojects of its own

But H.K. is wealthy & which will then not to available.

bas presumably thought of this.

my will liter

We must find out what is going to happen to the presumably substantial contributing litter to made by the

The Subsidy Schools, authorities owning the Grant Schools. i.e. the vernacular poimary schools (as opposed to the "English" secondary & primary schools and the vernacular seconden, schools), must deviously tresumably to poover but don't get such

generous

treatment.

Cul C.

27.4.41

Page

Page

e 10

10

53923/40

50R

Mr. Cox,

I have scrutinized the revised Grant and Subsidy Codes for Hong Kong in the light of the Director's Memorandum, the Annual Report for the year 1938 and the A.C.E.C's Memorandum on Educational Grants-in-Aid.

The new proposals are far reaching and munificent: as the Director states, they provide more generous assistance than that contemplated in the Advisory Committee's Memorandum. Both Codes are clearly the result of careful thought and planning and it is scarcely conceivable that the Government of Hong Kong can be unaware of their financial implications. Indeed, it is specifically stated that an immediate increase of approximately 60% in annual recurrent grants is contemplated.

The Grant Code applies to "English" Schools which provide a five year course. Pupils entering such schools have usually completed at least four year's schooling at a Chinese School first. Besides the seven "English" schools conducted by Government, there were, in 1938, seven Grant-in-Aid "English" schools which, with one exception, were managed by Missions; these latter had both primary and secondary classes providing in all an eight year' course. Under the existing system grants are paid on a capitation basis, each school receiving $40 per pupil annually. There were also 133 private "English" schools at the end of 1938 and it may be inferred that most, if not all, of these are maintained for private profit and thus ineligible for admission to a grant-in-aid system.

A

The proposed Code also applies to Higher Grade Vernacular Schools approved by the Director. So far as can be judged from the 1938 Report very few

I assume institutions are likely to be affected. from Section 24 that these may include Vernacular Middle Schools of which six received a subsidy in 1938.

The Grant Code provides for recurrent grants, contributions to provident or superannuation funds and capital grants. Section 5 sets out the considerations which will guide the Director in recommending to Government what grants shall be paid. The proviso states that nothing shall limit the Director's power to withdraw or reduce grants under Section 28. Such power may be exercised only after two warnings have been given over a period of two years.

Sections 7-28 refer to the mode of assessment. Recurrent Grants are to be determined for a triennium in advance and are to be assessed on the estimated difference between approved expenditure (which may include salaries, passages, rent, and other charges) and income from school fees.

Section 7 suggests that, apart from the powers conferred in Section 28, the Director cannot vary the amount of grant payable during the triennium.

The salaries payable to Europan

sented, clearly with

I do not quite

European staff are carefully bean and non-

due regard to local conditions.

understand

+

Lan

e 10Page 11

11

It is optional & appears to be,

designed

which

to meet scruples Some religious bodies may

feel at drawing a "colour

bar between their members

7

LBA 7.13/6