TNAG-0568-FCO40-701-Planning-paper-on-Hong-Kong-1976 — Page 118

7386 D073815 140M 5/74 Cr.P.C. Gp.839/3

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19. Our overall conclusion is that, if the present momentum of economic growth is to be maintained with the

necessary underpinning of public expenditure to make Hong Kong an acceptable urban and industrial environment. the colonial Government will require the active and evident support of the Executive and Legislative Councils open to influence from Hong Kong opinion generally. There seems little practical possibility of employing HMG's constitutional powers (see paragraph 4 above) to

impose solutions from Whitehall; or of the Governor imposing solutions without the consent of the Councils.

ein france (ca Either could lead to a constitutional crisis in Hong

Kong which could impede the implementation of the desired reforms. Equally, however, Parliament here will need to be convinced that the Councils, when tendering advice on the practicability of particular aspects of a reform programme, are genuinely representative of Hong Kong opinion. It follows that institutional change is the key to the harmonious development of Hong Kong as

an urban industrial society.

20.

The first priority is thus in our view the

extension of the policies of institutional change being

developed by the present Governor. The consolidation of the system of Mutual Aid Committees; the promotion of natural leaders emerging at this level to the Legislative, and later the Executive, Council should thus be accelerated and thought given now to the next stage of institutional reform. (The expansion of the Legislative Council to perhaps 50,may need to be considered) even at the cost of losing the present Official majority. Such a move might be necessary to enable LegCo to deal with the increasing sophistication

of Government and to permit the appointment of responsible "Ministers" with executive powers over some of the major government departments: but care will need to be taken to avoid misunderstandings with the Chinese

over either move. There is a case for considering greater differentiation between ExCo and LegCo with less emphasis on the executive functions of the latter aimed at producing more public discussion of Government policies on LegCo. If so "Ministers" may need to be drawn from

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