TNAG-0255-FCO40-291-Contributions-of-Hong-Kong-for-costs-of-maintaining-military-1971 — Page 13

SECRET

The bulk of this programme will involve local

expenditure on capital works which will remain as

permanent assets for the benefit of Hong Kong. We

accordingly hope that you will regard it both as

justifying a reasonable increase in your figure of

£71 million and as being the kind of expenditure which it will be easiest to jusrity

likely to prove acceptable/to your unofficial advisers.

Grateful to learn as soon as possible what devised

figure you might hope to negotiate with them on the

strength of this latest information.

56.

In the hope that

There is now no hope of getting this matter to

Ministers before return of Prime Minister and Secretary

of State from Singapore towards the end of January.

If this delay is likely to present difficulties as

regards the inclusion of an agreed figure for the

defence contribution in your draft estimates, you may

wish to consider the advisability of having preliminary

consultations now with your Executive Council. This

would at least enable you to let us have their reactions

based on actual consultations instead of on guesswork.

We should be grateful to receive your views on this

at the same time as your reply to paragraph

above.

You will

agree

that some increase

over ₤1/2 million

can be offered & should be

Ka

grateful for earliest prosible

=dication of

what figure you

prepared by for.

SECRET

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