SECRET
revised Annex B enclosed with our Saving Despatch
No. 126 of 10 April 1970. Caveat in paragraph 6 of
that despatch applies to this larger programme also.
Envisaged annual rates of expenditure out of this total
vary from £42 million (the lowest) in 1971/72 to
£6.7 million (the highest) in 1974/75.
3. The capital element in the total ig increased
from £12 million to £162 million. The cost of Erskine
Mr Brack, Treasury
A F Thorpe Rm. 0257 Ministry of
Defence ..
E G White Finance Dept, FCO
Barracks has of course been excluded but a figure of
£7 million has been included for proposed new item
of married quarters (foreshadowed in paragraph 3(i)
of Saving Despatch referred to above) plus ancillaries
including schools. Remaining changes are relatively
minor and are due mainly to rephasing of services already
known to you. 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 on the basis of our
1971/72 estimates at autumn 1970 Hong Kong prices.
5. 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 justify to your unofficial advisers. In the hope that
you will agree that some increase over £7 million
can be offered, we should be grateful for the earliest
possible indication of what figure you are prepared to
try for.
6.
There is now no hope of getting this matter to
Ministers before the return of Prime Minister and Secretary
(12803) Dd.643296 150m 8/69 G.W.B.Ltd. Gp.863 (13541) Dd.643727 200m 12/69 G.W.B.Ltd. Gp.863
OBE
NOTHING TO BE WRITTEN IN THIS MARGIN
SECRET
No comments yet.
Private notes are available after approval.