TNAG-0060-FCO40-96-Strength-of-Hong-Kong-garrison-1968 — Page 19

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9. The inter-Departmental rule, recently confirmed, is that Civil Votes should reimburse the Ministry of Defence the extra budgetary costs of forces provided in colony for internal security purposes or for other reasons than UK defence purposes.

It is then for HMG to decide to what extent these costs should be recovered from the colonial government concerned.

10.

The distinction between forces provided for UK defence purposes and for other purposes is inevitably somewhat arbitrary but a realistic division might be as follows:-

UK defence purposes

(a) two frigates

(b) 22/3 major army units;

(c) the staging facilities at Kai Tak and the

signals and radar units at Thi Mo Shan;

Internal security and other non-UK defence purposes

(d) five mine counter measures vessels;

(e) five major army units and support;

(f) six Whirlwind helicopters;

(g) five Hunters, if provided;

(h) the elements of an RAF Regiment Squadron;

the costs of support being allocated as appropriate.

11.

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In general, the extra costs of the forced listed at paragraph 10 (d) - (h) will tend in due course to equate to full budgetary costs, as there could otherwise be corresponding decreases in our long term force structure. Transitionally. this will not always be the case and, for example, so long as the sixth infantry battalion remains in the Colony on temporary basis, Defence Votes should recover merely the extra costs of keeping it there instead

but as soon as a of in its present permanent duty station: sixth battalion is permanently stationed in Hong Kong (i.e. in 1971) we would expect to recover its full costs including works. As for the four battalions to whose costs the Hong Kong Government contributes, we would not object to the present arrangement going undisturbed until 1971 although our latest costing shows they are getting good value for money. And we are content that mine counter-measures vessels should be provided on rotation from Singapore until June 1969, and that Hunters should continue to visit Hong Kong periodically until they are withdrawn from Far East Command, both on the present basis without charge.

12. Much of the proposed increase in our forces in Hong Kong is a consequence of our withdrawal from Singapore and Malysia. But we cannot therefore burden Defence Votes indefinitely with the costs of the increased force levels in the Colony for non-UK defence purposes: and it can equally be argued that our presence in the Far East has

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allowed/