TNAG-0477-FCO40-542-Strength-of-garrison-in-Hong-Kong-1974 — Page 32

SECRENT

2.

DRAVE TELEGRAM TO THE GOVERNOR OF HONG KONG

As you know, the principles underlying the Dofence Review (a)

dician 3 policy are "the Government's conyLotion in Britain'e present and prospective economic situation forence expenditure Let be

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ک استکانه

roduced by several hundred million pounds a year over a period;

(b)

deunan

and their determination to give first priority to the security of the United Kingdom which in turn rests upon our membership

of the North Atlantic Alliance.

2. Against this background Ministers are giving clone consideration to the concept of a Oritical Level of military Capability which in the judgement of the CkLots Of STATI represents the minimum British contribution of forces to MATC below which the credibility of NADo's strategy of deterrence, flexibility in response, and forward defence could no longer be preserved and which could at the same time be contained within a defence allocation of 44% of GNP (compared with the present 51%) by the mid-1980s

3. This concept involves very considerable reductions in the Armed Forces and their civilian and industrial support, will not bo easy to present to our NATO allies, and comes close to the margins of security of the United Kingdom itself.

In its stret

form it involves the abandonment of all our military commitmento

Ministors have recognined, outside NATO and in the Mediterranean.

however, that relevant political considerations, including responsibilities for the internal security and external defence

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