TNAG-0542-FCO40-637-Strength-of-garrison-in-Hong-Kong-1975 — Page 205

GRS 150

IMMEDIATE CYPHER/CAT A

FM F C 0 011540Z

SECRET. PERSONAL.

UK EYES ALPHA.

SECRET

RECEIVED IN

REGISTRY Na $1

- 4 AUG1975

роккы

TO IMMEDIATE HONG KONG TELNO 593 OF 1 AUGUST.

PERSONAL FOR GOVERNOR.

DEFENCE COSTS AGREEMENT: HONG KONG.

203

1. MINISTERS HAVE AGREED THAT THE GARRISON IN HONG KONG CAN BE REDUCED TO ONE OF FOUR INFANTRY BATTALIONS (ONE OF THEM BRITISH) TOGETHER WITH A GURKHA FIELD SQUADRON OF COMBAT ENGINEERS PLUS. ONE TRAINING WING, ONE HELICOPTER SQUADRON AND ONE FRIGATE. THIS, AT 1975/76 ESTIMATES' PRICES, WOULD COST £33.5M PER YEAR.

2. MINISTERS HAVE ALSO DECIDED THAT, IN VIEW OF THE PRESSURE ON THE DEFENCE BUDGET, HONG KONG SHOULD BE STRONGLY PRESSED TO PAY 75% OF THE TOTAL FROM THE OUTSET OF THE NEW AGREEMENT. IN VIEW OF THE IMPORTANCE HMG ATTACH TO THIS DECISION AND OF THE DIFFICULTIES OF YOUR OWN POSITION, THEY HAVE DECIDED THAT THE MINISTER OF STATE FOR DEFENCE, MR WILLIAM RODGERS SHOULD COME OUT TO HONG KONG TO EXPLAIN HMG'S POSITION.

3. PLEASE SEE MIFT.

CALLAGHAN

FILES

HRIOD

DEF. D SWP D

rs

(3)

PSILORD GORONNY-ROBERTS

SIR. D. WATSON

MR WIL FOR D

MR SYKES

MR MALE

MR THOMSON

COPIES то

MR ANDREW. AUSS MOD. MR HANSFORD, TREASURY,

MR BRYARS. CABINET OFFICE,

MR AGGLESTON. PS A.

STAFF DUTY OFFICER MOD

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