TNAG-0308-FCO40-344-Contributions-of-Hong-Kong-for-costs-of-maintaining-military-1971 — Page 234

FCO40 Hong Kong Department Records 聯邦事務部香港部檔案 All

SECRET

PROPOSED AMENDMENTS TO TELEGRAM ON HONG KONG DEFENCE CONTRIBUTION

Paragraph 1 - replace by the following

"We have been unable to reach agreement at official level on the basis of your offer to try and negotiate with your unofficial advisers an annual Hong Kong contribution of £72m. The case is being pressed strongly that there is every justification for increasing this figure".

Paragraph 2 - replace by the following

11 One new development since your return to Hong Kong is that we have been informed by Ministry of Defence that a substantial rise in works cost of garrison over five year period beginning 1971/72 is now envisaged partly on account of a planned increase in capital programmes and partly as a result of price increases. This will involve an increase in works expenditure to a total of £27m over the period as compared with the figure of £19m given in revised Annex B enclosed with our Saving Despatch No. 126 of

gespaltt 10 April 1970. Caveat in paragraph 6 of that telegram applies to this larger programme also. Envisaged annual rates of expenditure out of this total vary from £42m (the lowest) in 1971/72 to £6.7m (the highest) in 1974/75.*

Paragraph 3, second sentence. Replace by

"The cost of Erskine barracks has of course been excluded but a figure of £7m has been included for proposed new item of married quarters (foreshadowed in paragraph 3 i of my earlier quoted telegram) ancillaries including school".

plus

Paragraph 6. Add new penultimate sentence

"But in such consultations you would need to make it clear that there is no guarantee that HMG will be able to accept such figures as the Council may have in mind".

SECRET

Aban

comments have bem mborked.

in draft subject to a rewording

of xl, which I

with M° Brack

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