TNAG-0242-FCO40-278-Conduct-of-Hong-Kong-commercial-relations-1970 — Page 26

876

Mr. Wilford

Sir L. Monson

CONFIDENTIAL

38

UK Relations with Hong Kong

legal

advisers

I am not surprised at the reaction of the

recorded in the minutes of Mr. Steel and Mr. Rushford. Nobody

can dispute anything Mr. Steel has said about the legal position. Nevertheless I submit that we must contemplate breaking new ground.

2. The plain facts of the matter are that we cannot run Hong Kong from Whitehall. The more the economy of the Colony develops (with the consequential introduction of all the paraphernalia of a modern state) the more difficult relations between the UK and Hong Kong will become, and, as we all know, the problem is not confined to the commercial field. There seems to be a growing tendency

for the Hong Kong Government to resent what they regard as interfer-

ence by Whitehall in the affairs of the Colony. It is difficult to judge the extent to which this attitude reflects the views of the people of Hong Kong generally or, to be more realistic, the

views of the leaders of local opinion. There can, however, be no doubt about the strength of the feelings both of the Governor himself

and also of his senior British advisers. But, whatever the present position may be my own impression (admittedly after only three months in the Department) is that sooner rather than later we shall run into

serious trouble in Hong Kong if we do not somehow associate the

new generation more closely with the affairs of government. We may, of course, run into trouble anyhow whatever we do, but we should, I submit, do what we can to reduce the likelihood of trouble.

3. I consider, therefore, that we should look at the proposals

made by Mr. Carey at the same time as we look at the suggestions for administrative reform on which I minuted to you recently.

Surely it is not beyond our reach to work out a delegation of powers with checks both here and at the Hong Kong end on the application of those powers.

CONFIDENT IAL

4.