TNAG-0544-FCO40-639-Strength-of-garrison-in-Hong-Kong-1975 — Page 44

Present:

DEFENCE COSTS

SECRET

Record of the Third Plenary Meeting at

Government House on 31 October 1975

UK

HK

Minister of State

H.E.

for Defence

Mr. Andrew

Cdre. Perowne

Mr. O'Keeffe

Mr. Jones

C.S.

F.S.

S for S

Mr. Ward

Mr. Thorpe

Mr.

Sandars

DIS

Mr. Wiggham Mr. Jenney PS/GH

Advisers

C.B.F.

Capt.-in-Charge

C.R.A.F.

Col. Tillotson

Col. Palmer

Mr. Russell-Croucher

H.E. said that the HK Government was prepared to agree

to a new Defence Costs Agreement along the following lines:

HK's contribution to defence costs should be:

1976/77

1977/78

1978/79

50%

62.5%

75%

and 75% thereafter for the currency of the agreement which should be for as long as possible, preferably for 10 but not less than

7 years.

2.

A time schedule for the release of MOD land (including repro- visioning by the HK Government where appropriate) should be agreed and annexed to the agreement.

3.

allow:

This time schedule should include provisions that would

a) vacant possession of Kai Tak that would

coincide with or be very closely related

to the increase to 62.5%

SECRET

2