CO129-606-2 Treasury control over Hong Kong finances 22-1-1948 - 9-12-1948 — Page 57

purposes at as early a date as possible each year.

8.

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The work of review proposed in paragraph 4 will take time, and the

Committee on Colonial Regulations will have to consider conditions not only

in Africa but in all Colonial Territories.

Concurrently the African Gover:

Meanwhile,

ments will no doubt take steps to put in hand the review of the local

machinery of budgetary authorisation and control to which I have referred in

paragraph 4 and which will presumably involve an examination of the General

Orders of each Territory. It seems desirable that those concerned in cach

Territory in this local review and the Committee considering the revision

of Colonial Regulations should work in close touch with each other.

and without waiting for the results of this review, I am anxious, and I know

that this view is shared by Governors, that the measures of devolution which I

have decided upon for the African Territories whose finances are not under the

control of His Majesty's Treasury should come into force as soon as possible.

I should be grateful accordingly if you would inform me whether you agree with

the arrangements for consultation proposed in paragraph 7 and if you would explain

explain in your reply how you propose to implement them. If, as I confidently

assume, you are prepared to make the arrangements proposed in paragraph 7, the

following measures of devolution may be brought into effect as soon as you

desire, subject to any views which the Legislative Council may express.

9. Formal approval of the Annual Estimates by the Secretary of State can be

dispensed with, and it follows that it will be the approval of the Legislative Council

Colonial

rather than of the Secretary of State which should be the authority for

expenditure from public funds required by Colonial Regulation 245.

Regulations 224 and 225 regarding the execution of important public works will

in consequence cease to operate. The formal approval of the Secretary of State

for supplementary expenditure, as prescribed by Colonial Regulation 265, will

no longer be required. The Colonial Office should, however, continue to be

informed of supplementary estimates whether by schedules of additonal

provision or other appropriate means, not later than their presentation to the

Legislative Council The authority of the Secretary of State will no longer

1

be needed under Colonial Regulations 240 and 278 for the writing-off of losses,

the abandonment or omission of claims or the writing-off of assets, on the

understanding