TNAG-0122-FCO40-158-Future-of-Hong-Kong-1968 — Page 75

SECRET

MINISTRY OF DEFENCE Main Building, Whitehall, LONDON S.W.I

Telephone:weball 1702x, ext.

01-930-7022

2971

r reference: bur reference:

DS 11/6/7/4

Jear Carlik

Carlin Ne

-21/11

20 November 1968

HONG KONG LONG TERM STUDY

Following our recent talk about the long term study on Hong Kong and subsequent discussions in this Department, I should like to put a couple of points on record.

2.

The first concerns the question of cost figures for the future force levels of the Hong Kong Garrison agreed by Ministers earlier this year.

I must confirm what I said to you at our meeting on this point, that is that we could not agree to any figure being quoted in the paper as regards the cost of the garrison post 1971, until we and the Treasury have completed the assessment of the full costs of the garrison which Ministers instructed us to carry out when they approved OPD(68)32. As I told you, this exercise is under way now; I hope that it will not delay too long the next stage of your paper.

3.

in consideration

You told me that there

This brings me to the second point. was now some doubt in your department as to whether the paper should be considered again inter-departmentally before it is given a at the Ministerial Committee on Hong Kong. You explained to me that following the various consultations which had taken place, on the instructions of the Commonwealth Secretary, since the Defence Review Working Party last considered the draft, there have been considerable changes to Section G in particular. For these reasons you doubted whether it would be feasible to expect to get an agreed official view if the paper was to reach Ministers within a reasonable period. I must I think make it clear that the view here is certainly that the paper should be seen again by all the officials concerned before it goes to Ministers. For our own part we would certainly want to see the full paper in draft before commenting on the "military" section and, without question, berore it is put, to Ministers.

4.

I believe that this last point is very much in line with your o view;

I hope that you may be able to make some use of it in que

course.

Your Sundersty

Many Serait

(J. M. STEWART)

W. S. Carter Esq.

C.V.O.

Hong Kong Department

Foreign and Commonwealth Office London, S. W. 1.

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