TNAG-0592-FCO40-725-Inspection-of-Hong-Kong-and-Indian-Ocean-Department-1976 — Page 59

CONFIDENTIAL/ADMINISTRATION IN

CONFIDENCE

Mr O'Keeffe, HKIOD

cc Mr Cortazzi

Mr Larmour

GIBRALTAR & GENERAL DEPARTMENT:

INSPECTION REPORT

1. You will see that the report (which does not reach finality on Gibraltar & General Department pending inspection of HKIOD) recommends in paragraph 36 of Part II that the Hong Kong Govern- ment should be asked to accept responsibility for recruiting their own staff. This recommendation has obvious merit in that it should lead to the saving of public funds. But against this we need to consider whether the new policies which have been discussed with Lord Goronwy-Roberts and which envisage closer insight into and possibly more control of Hong Kong affairs by London, square with this erosion of responsibility. The Inspectors might well

not have been aware of Departmental thinking.

2. Could you please consider whether the recommendation needs amendment or at least (as I think) should be held in suspense until after the inspection of HKIOD, by which time hopefully the lines of policy will be clear.

Par

P JE Male

22 March 1976

CONFIDENTIAL/ADMINISTRATION IN

CONFIDENCE