XN000022-1992-10-09 — Page 3

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FRIDAY, OCTOBER 9, 1992

THE GOVERNOR THE RT HON CHRISTOPHER PATTEN'S LUNCHEON SPEECH TO THE BUSINESS COMMUNITY

ON FRIDAY, OCTOBER 9, 1992

]

PAUL, LADIES AND GENTLEMEN, FIRST OF ALL I WANT YOU ALL TO KNOW THAT I'VE ALWAYS THOUGHT EXTREMELY WELL OF MOTHERS-IN-LAW, HAVE, AS SOME OF YOU MAY HAVE NOTICED, BEEN SPEAKING RATHER A LOT RECENTLY, SO TODAY I WANT TO SHOW PERHAPS UNCHARACTERISTIC VERBAL RESTRAINT AND JUST MAKE A FEW REMARKS AT THE OUTSET, SO THAT YOU THEN HAVE THE MAXIMUM OPPORTUNITY TO THROW QUESTIONS AT ME OR CHAIRS OR WHATEVER COMES TO HAND.

THERE ARE THOUGH, A COUPLE OF THINGS THAT I WOULD LIKE TO SAY AT THE OUTSET. IN MY LEGISLATIVE COUNCIL SPEECH ON WEDNESDAY, I STARTED WITH A STATEMENT OF THE BLINDINGLY OBVIOUS, NAMELY THAT ECONOMIC SUCCESS, CONTINUING ECONOMIC SUCCESS, IS THE KEY TO ALL ELSE THAT WE WANT TO ACHIEVE IN HONG KONG. WE KNOW SOME OF THE REASONS FOR THAT ECONOMIC SUCCESS IN THE PAST AND WHAT I WANT TO ENSURE IS THAT WE DON'T FORGET ANY OF THE LESSONS THAT WE'VE APPLIED SO WELL OVER THE LAST DECADES.

TO.

ONE REASON WHY I AM SETTING UP A BUSINESS COUNCIL IS TO ENSURE THAT THE LEADERS OF THE BUSINESS COMMUNITY CAN REMIND ME, VIGOROUSLY FROM TIME TO TIME, JUST WHAT THOSE LESSONS HAVE AMOUNTED I'LL BE ANNOUNCING THE NAMES OF THAT COUNCIL THIS AFTERNOON AND I'M VERY GRATEFUL TO ALL THOSE WHO'VE AGREED TO SERVE ON IT AND ΤΟ ADVISE ME ON HOW WE CAN ENSURE THAT HONG KONG REMAINS THE MOST BUSINESS-FRIENDLY COMMUNITY IN ASTA.

THAT IS WHAT WE

ΤΟ HAVE

CONTINUE TO ACHIEVE.

LOW

LOW

ILL

I MENTIONED IN MY LEGISLATIVE COUNCIL SPEECH SOME OF WHAT I BELIEVE TO BE THE REASONS FOR OUR ECONOMIC SUCCESS. THE FIRST OF THEM AND I MENTION THIS WITH ENTHUSIASM THE FIRST OF THEM, AND PREDICTABLE TAXES. I THINK THE BEST INVESTMENT INCENTIVE IS AND PREDICTABLE TAXES.

I NOTICE ONE OR TWO PEOPLE, PERHAPS ADVISEDLY, HAVE ASKED ABOUT MY VIEWS ON TAX, AND I JUST WONDER IF WHEN THEY ASK THAT QUESTION THEY HAVE ANY NOTION AT ALL OF WHERE IT IS I CAME FROM.

ALL OF US HAVE A PAST, AND MY PAST INCLUDED BEING CHAIRMAN OF THE CONSERVATIVE PARTY IN THE UNITED KINGDOM, IN A GENERAL ELECTION CAMPAIGN, WHICH WE WON LARGELY BECAUSE WE ARGUED THE CASE FOR LOW TAXES.

I AM NOT ABOUT TO COME TO HONG KONG AND CHANGE MY POLITICAL PHILOSOPHY ON TAXATION.

SECOND, ANOTHER CRUCIAL LESSON WHICH WE'VE GOT ΤΟ REMEMBER: PRUDENT CONTROL OF PUBLIC SPENDING. ONE OR TWO PEOPLE HAVE ASKED WHETHER THE PROPOSALS I OUTLINED ON WEDNESDAY WERE EXTRAVAGANT. 1'VE EVEN HEARD IT SUGGESTED BY ONE OF MY FUTURE IN - LAWS, THAT MAYBE I'M A SOCIALIST. I'M NOT SURE WHETHER, GIVEN THE SOURCE, THAT WAS A TERM OF ENDEARMENT OR A TERM OF ABUSE. BUT I WANT TO

MAKE IT ABSOLUTELY PLAIN TO YOU! THAT IN MY OWN VIEW THE PROPOSALS THAT WE BROUGHT FORWARD WERE PRUDENT AND SENSIBLE. JUST LET ME GIVE YOU TWO FACTS WHICH ARE EXTREMELY IMPORTANT TO THIS ARGUMENT.

/THE FIRST