TNAG-0308-FCO40-344-Contributions-of-Hong-Kong-for-costs-of-maintaining-military-1971 — Page 97

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12. IF UNOFFICIAL MEMBERS PURSUE THE LINE OF ARGUMENT IN PARA 15 OF THEIR MEMORANDUM YOU MAY SAY THAT WE DO NOT CONSIDER THAT A

HYPOTHETICAL ISSUE OF THIS NATURE SHOULD FORM ANY PART OF THE CURRENT NEGOTIATIONS. YOU SHOULD ADD HOWEVER THAT IF THE ECONOMY OF HONG KONG WERE TO SUFFER SUCH A SERIOUS ADVERSE CHANGE THAT THE CONTINUED PAYMENT OF A CONTRIBUTION OF £8.5 MILLION COULD BE SHOWN TO BE AN UNREASONABLE BURDEN ON THE COLONY'S FINANCES, HMG WOULD ALWAYS BE WILLING TO CONSIDER ANY REPRESENTATIONS HONG KONG MIGHT WISH TO MAKE

ON THE MATTER.

13. I APPRECIATE THE DIFFICULTIES TO WHICH THE UNOFFICIAL MEMBERS REFERRED IN PARA 16 OF THEIR MEMORANDUM. MY COLLEAGUES AND I FACE SIMILAR DIFFICULTIES HERE. WE MUST BE ABLE TO JUSTIFY IN PARLIAMENT AND ELSEWHERE THAT ANY DEFENCE CONTRIBUTION FROM HONG KONG IS AS MUCH AS CAN REASONABLY BE EXPECTED IN THE LIGHT OF THE FINANCIAL AND ECONOMIC SITUATION 30TH IN THE COLONY AND IN THE UK.

14. PLEASE ADDRESS ANY FURTHER TELS. ON THIS SUBJECT IN NORMAL MANNER AND NOT TO INDIVIDUAL OFFICERS. (PARA 13 OF YOUR TELNO 144

REFERS).

DOUGLAS-HOME

FILES

HKD

FED

DEFENCE DEPT

FFAD

A & TD CCD PS

PS TO PUS SIR L MONSON

SIR S TOMLINSON MR WILFORD MR D A SCOTT MR ROSE

COPIES TO

MR D J J BRACK, TREASURY MR AF THORPE F1(AIR) 2 MOD MR RJ SMITH, DOE.

LAMBETH BRIDGE HOUSE

MR P D NAIRNE, MOD MR R GEDLING, TREASURY MR E STRETTOŃ, DOE,,

LAMBETH BRIDGE HOUSE MR E H GWYNN, MOD

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3.

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