(134392) Dd. 737115 750м 4/70 Hw.
NOTHING TO BE WRITTEN IN THIS MARGIN
Registry No.
HK
SECURITY CLASS.
Top Secret.
Secret
Confidential.
Restricted.
Unclassified.
| PRIVACY MARKING
.In Confide
From
No. & Ext.
\ent
Copies to: R.J. Smith, Department of
the Environment Lambeth Bridge
House, SE1
Mr. Brack,
Treasury.
A.F. Thorpe, Rm. 0257, Ministry of
Defence
G.J. Gammon Rm. 0259 Ministry of
Defence.
Hare
Miss B. Hare Rm. 0241, Ministry of
Defence.
E.G. White, Finance Dept.
FCO.
Way
OBE
why
- veen informed by Ministry of Defence
that there will be a substantial rise in works.
costs of garrison over 5 year period beginning
1971/72. This will involve an increase in works
expenditure to a total of £27 million over the
period as compared with the figure of £19 million
given in revised Annexe B enclosed with our Saving We understand that this rearted fifum Les Tsy affal Despatch No. 126 of 10 April 1970. Envisaged annual
rates of expenditure out of this total vary from £4 million (the lowest) in 1971/72 to £6.7 million
highest
(the largest) in 1974/75.
3. The capital element in the total is increased
These f que
from £12 million to £164 million. The cost of
Erskine Barracks has, of course, been excluded, but
a figure of £7 million has been included for proposed new item of married quarters plus ancillaries,cluding schoole Remaining changes are relatively minor and balance
of increase is required to bring programme broadly
to present price levels.
4.The minor works and maintenance element is
increased from £7 million to £10 million primarily
as a result of higher wages and of price increases
in Hong Kong of more than 30% during the last six
months.
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