TNAG-0269-FCO40-305-Reform-of-local-government-of-Hong-Kong-1970 — Page 28

CONFIDENTIAL

SAVING DESPATCH

HKK 18/12

From the Secretary of State for Foreign and Commonwealth Affairs

To the Governor, HONG KONG

30 July,1970

No. 272

Your telegram No. 457.

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Local Government.

Thank you for this detailed statement.

2. It is fully agreed here that the first step should, as you propose, be to rationalize the existing Urban Council by disentangling it from the Central Government and making it more efficient and more responsible. The approach whereby new functions have to be paid out of rates imposed by the Council

This should also seems the key to making it more efficient. help to create a sense of responsibility but we also think it important from this point of view that the Council should be given an adequate range of functions. We would hope therefore that, where there are border-line cases on transfer of functions to Council or retention by Central Government, bias should be in favour of transfer rather than otherwise. This could also have result of testing in a practical manner how far local people are in fact prepared to take opportunity of associating themselves with decisions on matters of local interest.

3.

We see advantage also in the creation of a new authority in Tsuen Wan on the lines suggested in the Dickinson Report. Is para. 2(iii)(B) of your telegram under reference intended to rule this out?

4.

The practical difficulties to which you refer are formidable but we very much hope you will be able to let us have detailed proposals soon. We also confirm that it would be best if your proposals could be considered here before you put

/them

CONFIDENTIAL