TNAG-0544-FCO40-639-Strength-of-garrison-in-Hong-Kong-1975 — Page 39

Present:

DEFENCE COSTS

SECRET

Record of the Second Plenary Meeting at

Government House on 29 October, 1975

UK

Mr. Andrew

HK

Minister of State

H.E.

for Defence

C.S.

F.S.

S for S

Cdre. Perowne

Mr. O'Keeffe

'Mr. Jones

Mr. Ward

Mr. Thorpe

Mr. Sandars

Mr. Wiggham Mr. Jenney PS/GH

Service Advisers

C.B.F.

Capt.-in-Charge

C.R.A.F.

Col. Tillotson Col. Palmer

H.E. opened the Meeting by asking the working

parties to report.

2.

The F.S., reporting for the working party on

costing and inflation, said that after a thorough examination

of the costing it had been concluded that it might be possible

to reduce the total a little. In addition to the reduction

of $5m per annum in respect of the change from the frigate

to the five patrol craft, there were four areas which it

was thought were worthy of further examination, but he was

not particularly optimistic as to the result. These were:

a)

b)

c)

Straight economies: Signals both personnel and equipment and EME were possible targets:

-

Substitution of local resources:

This may

be possible as regards education and medical

(in addition there was the question of credit

for private fees received in respect of the former);

Reallocation of costs: There may be some

elment of the Gurkha training costs which

should not be shared:

1

SECRET....