TNAG-0182-FCO40-218-Defence-contributions-1969 — Page 104

AWB

138

A

Flag A decision to this effect last year: OPD "agreed that it would be

premature at this time to decide on where the costs of these forces should be borne" and the Prime Minister in summing up is recorded as

saying: "Consideration of where the costs of the garrison should

be borne should be deferred but the Defence Secretary

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авске Flag Hoon

HWB 10/9

should

arrange for the best assessment possible to be made of the full cost to us of the Hong Kong commitment". While it would be difficult to sustain an argument that the first of these extracts from the minutes related to the fighter unit (which did not form part of the force levels proposed by the Defence Secretary and agreed by Ministers), it would be equally difficult I consider to argue that the second extract in its context did not apply to the fighter unit. It is arguable therefore that we have justification for saying to the Ministry of

Defence that no decisions should be taken on who should pay for the fighters except in the context of where the costs should be for the garrison as a whole: such decisions cannot be taken until "the full cost to us of the Hong Kong commitment" is known, meaning of course the post-1971 commitment. (This costing exercise is still in progress: we have no information as to when it will be completed). In taking this line it would be easier to maintain the position Sir A. Galsworthy has enjoined us to take in his minute of 10 June, 1968 namely, that Ministers have decided to station fighters in Hong Kong after 1971, subject to an examination of the use of local resources and facilities. It would carry the additional implication that the decision was not dependent on Hong Kong's willingness to

bear the cost in whole or in part.

(B)

Governor's "commitment" on costs

MOD will undoubtedly draw strength, when it does come to arguing where the costs will lie, from the statement attributed to him in minutes of COS for 30 April, 1968 that: "Such a unit (i.e. one backed by local resources and facilities) would seem adequate to meet the requirement, and it would be cheaper for the Hong Kong Government who would have to meet the cost". The Governor says he did not see the draft record; but I have a very clear recollection of being asked by the COS Secretariat to hand him a sealed copy of the minutes and of having this returned to me by the Governor without comment.

Nevertheless