TNAG-0205-FCO40-241-Pensions-policy-1970 — Page 71

(118281) Dd. 391599 1,500M 2/69 Hw.

NOTHING TO BE WRITTEN IN THIS MARGIN

Registry

No. HKK 18/35

SECURITY CLASSIFICATION

Top Secret.

Secret.

Confidential.

Restricted. Unclassified.

PRIVACY MARKING

..In Confidence

DRAFT

To:-

Captandard Сарым

Mr. O'Brien (FPAD)

се

Х

From

Telephone No. & Ext.

Department

Pension Policy

I explained to Mr. Shakespeare that it would be

impossible to comment by 7 November on the ODM working

papers on this subject attached to your minute of 5

November. We can agree with ODM without difficulty

that Hong Kong poses a special problem. But we shall

require more time, probably much more, in which to

examine this complex question before we can comment,

with any confidence that we have fully explored the

issues in relation to Hong Kong. However, the diffi-

culty is that any announcement which may be imminent,

to the effect that HMG accepts responsibility for the

pre-independence portion of pensions still payable by

other dependent territories, approaching independence

in the ordinary way, may immediately embarrass us in

our dealings with Hong Kong, unless this policy decision

repercussive is very carefully presented with an eye to the impli- Effects an

cations for the unique situation in Hong Kong. In fact

we are inclined to think that it may be impossible to

make such an announcement without exposing ourselves to

a dilemma.

These comments will not therefore be exhaustive;

and are most likely to make only a negative contribution

to the problem.

We accept that the Hong Kong position is unique in

that we are dealing with a territory with no prospect

/ that

...