TNAG-0441-FCO40-506-Visits-of-leading-personalities-of-Hong-Kong-to-UK-1974 — Page 26

SECRET

THE DEFENCE CONTRIBUTION

There is one naval

1. Britain maintains an army force of 6 + major units

(battalion strength) in Hong Kong.

frigate as guard ship and also some coastal mine sweepers

as well as a small RAF contingent at Kai Tak.

By the

latest agreement concluded after much hard bargaining

in 1971 Hong Kong agreed to contribute at the average

rate of £8 m. per year (largely for capital works in

Hong Kong) towards the cost of this force. Under the

agreement, which expires in 1976, a reduction of the

Hong Kong garrison by more than 1 major unit would

trigger off a re-negotiation.

2. In the current Defence Review being conducted by

the Ministry of Defence, all options are open, including

the possibility of a reduction, or even (though this

is most unlikely) the removal of the Hong Kong garrison.

In fact there is probably a good technical case for

some reduction. The force is probably unnecessarily

large for use in internal disorders. It is certainly

too small to cope with the Chinese army, against which

Hong Kong would be virtually indefensible in a determined

attack.

3. But the garrison is an important factor in Hong Kong's

confidence about its own future. Moreover the Defence

SECRET

/contribution