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this sum be provided without difficulty from

your Technical Assistance vote, with the

balance being made available later ?

7. When you mentioned that Hong Kong tends

to grumble about neglect, you touched on the

most important single factor responsible for

the souring of our relations with Hong Kong in

recent years. As you say,

we have not been

running an aid programme to the Colony for

several years.

a

Even when we did, it was by

no means/generous programme in comparison with

the size of our programmes to other dependent

territories. The Hong Kong complaint is in

China.

fact that in the post war years we left the

Colony to grapple alone, without significant

financial assistance, with the tremendous

problems posed by the influx of refugees from

At the same time we are seen in Hong

Kong as having dealt the Colony a series of

blows to its trade and finances: the restric-

tions on its exports of cotton textiles to this

country since 1959, the import surcharge (1964)

the increase in the defence contribution (1964)

the increase in the defence contribution (1966)-

we are now engaged in difficult negotiations

with a view to increasing the size of the

defence contribution still further, devaluation

(1967), the import deposit scheme (1968) and

the decision to impose a tariff on cotton tex-

tile imports from the Commonwealth (1969).

actions are seen as showing a lack of concern

for Hong Kong's interests and for her special

problems as indicating an indifference to the

special ties and relationship which should

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