TNAG-0311-FCO40-347-Contributions-of-Hong-Kong-for-costs-of-maintaining-military-1971 — Page 31

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

Q. Mr Haddon Cave said that the cost to Hong Kong will be neutralised by the benefit we get back.

It's estimated that the Services spend about £15 million per year, here. They spend it partly on what individual officers and men buy by way of local goods; they spend it on buildings, constructing and maintaining what the Services need and so on. It's also estimated that something over half of that £15 million stays in Hong Kong. Part of it of course, doesn't stay, part of it is used to buy things which have themselves been imported. It's not possible to be absolutely precise as to just how much stays and just how much doesn't. Estimates have been made in the past in connection with, for instance, the tourist industry, and whereas you have differences of view amongst the economists and statisticians about whether 34'a 60% or 55% or just what percentage it is that stays, I think there is general agreement that in this case at least as much as 8 million and probably rather more then 8 million out of the fifteen does remain in Hong Kong and is a benefit to our economy.

Q. What about the reversion of landand facilities that the Army or other defence forces have, which come back to the Government?,

Some

A. In the past, that's during the last four years, the Services have been able to release 160 acres. It was valued at £15 million, compared to the £20 million we contributed for the garrison during that period. Some of it was at Whitfield Barracks, parts now a public park. We expect to be recovering more in future • probably about 500 acres, in both the urban areas and the New Territories. is in Chatham Road and Argyle Street, particularly valuable locations. Q. With the greater expenditure over the next five years, will there be any expansion of the troop strength or with the facilities that the troops have here?

Essentially the size of the garrison today is the same as it was four years ago and we expect it to remain at that. There have been some minor changes. For instance we now have both Army and RAF helicopters here, expensive to run, but which we think particularly valuable. the capital works programme, mostly married quarters for the to be substantially larger during the next few years than it was over the past four. Q. Mr Haddon Cave said in the Legislative Council that the Governor had intervened rather strongly and objected to the Luch larger increases that Britain had requested.

A.

which are quite

Also it's true that

Services is expected

A. There have been consultations over a long period about what size our contribution should take and of course the Governor has been personally involved in them. For instance, when he went to London during June he discussed the question with both officials and Ministers then.

End Of Interview

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