Mr. Wilford
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Copy No.
17
this is the real point
The Future of Hong Kong
At the risk of over-burdening you with comment, may I add one further point to my minute of 15 December ?
2. As you recognised in your covering minute, a statement as in paragraph 9 of the paper, that our first objective should be to try for a solution along the lines of Course 4(c)(ii) and only then to fall back on Course 4(c)(i), would involve an important change of policy. There are of course considerations in its favour, including the following: the continuing benefits we might hope to draw from Hong Kong, e.g. in intelligence; the fact that this might be the only way we could continue to look after the interests of some two million citizens of the UK and Colonies, who would otherwise pass under Communist rule; the difficulty of extricating ourselves cleanly; the chance that if we hang on time might mellow the Chinese and permit an eventual final settlement of Hong Kong on tolerable terms.
There would, however, be powerful considerations pointythe other way, including the following. Such a decision would run counter to our general policy to divest ourselves as far as possible of our remaining Colonial responsibilities. We would retain a dis- torting element in our relations with China. This disability has not meant so much to date, since it is arguable that China has little to give anyway; but at the time we are thinking of, about a quarter of a century ahead, things could be very different. We could be involved in continuing defence commitments, Why increasingly beyond our power to fulfil, and in a commitment to
sustain economically a territory which had become a financial Inecessarily liability A great deal would of course depend on the terms which we could get. But at the least, I think the paper ought to bring out that there is an important issue of policy lying behind paragraph 9 and that there are powerful considerations pointing each way.
Lintiquated
Into EEC]
Musi
Copied to: Sir L. Monson
Tomlinson
Sir S. Mr. Laird
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(P. Cradock) Planning Staff
17 December 1970
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