TNAG-0321-FCO40-357-Effect-of-1971-UK-Immigration-Bill-on-entry-of-Chinese-from--1971 — Page 40

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CONFIDENTIAL

are aliens to enter the United Kingdom than it is for those who are United Kingdom citizens. This anomaly may disappear if the entry of aliens for employment

is further restricted a possibility of which the Governor is of course unaware but in that case there would be a further direct cut in emigration from Hong Kong to the United Kingdom which would no doubt be unpopular.

4.

We cannot justify maintaining Hong Kong's entitlement at a maximum of 300 work permits a year, for in addition to the reasons mentioned in paragraph 2 above, it would mean granting Ilong Kong 75% of the total allocation for the dependent territories. This would be hard to defend even though the other territories have not in the last two years taken up as many as a hundred employment vouchers. It does seem to us, however, that we might go some way towards meeting the Governor of Hong Kong's request without prejudicing the interests of other territories if we were to raise Hong Kong's maximum entitlement (ceiling) from 200 to 240 work permits per year, i.e. by allowing any one territory to take up to 60% of the total quota instead of 50% as at present agreed. It is most unlikely, so far as we can judge, that the other territories will take up as many as 160 vouchers in a year. Since Hong Kong would certainly take up all the 240 vouchers available to her, 40 more United Kingdom citizens from Hong Kong would come to the United Kingdom each year than we had planned in January, but I would hope that this is a small enough number to be accepted.

5.

I should be grateful if you and Pickford of the Department of Employment and Productivity, to whom I am sending a copy of this letter, would let me know as soon as you can whether you find this proposal acceptable.

Yours from

Bahi

CP Scott..

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CONFIDENTIAL