TNAG-0712-FCO40-899-Policy-on-salary-and-allowances-for-Governors-1979 — Page 59

CODE 18 - 77

Mr Hall HKGD

Mr Dale

база

WIAD

RESTRICTED

234/1

HKA 434/1

RECENLO SRSARY NO. 51

Blu

Oched alr PC

9/5.

Reference

- 9 MAY 1978

DESK

separate copy to each INDE

བ་་དཔ༞

MISTRY Action Tak

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1. Mr Stratton has asked HKGD to 100k into the possibility of the FCO taking over financial responsibility for the salaries, allowances and leave journeys of Governors. As you know, at present DTs are responsible for all these items, except that the FCO tops up the salaries of HMOCS Governors of poor

Rs

DS

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Territories, pays the full salaries and allowances of DS officers serving as Governors (except of Hong Kong and Bermuda) but receive in return only as much as each Territory has voted for salary and allowances in its estimates, a sum usually

FCO who appreciably lower than the FCO's expenditure, pays for 'consultation visits for Governors (not their wives) when it is

felt desirable for them to have breaks more often than the once in eighteen months that DTs are prepared to pay.

2. I am aware that it has long been the policy for DTs to be financially responsible for their Governors. In the cases of Bermuda, Caymans, Hong Kong and Gibraltar (just) this policy. is viable. However in the remaining Territories the policy has been undermined by the inability of the local Governments to pay emoluments sufficient for the post. This was solved first by topping up of salaries from an FCO subhead (C3(4)(d)) and now also by the posting of DS officers as Governors, as mentioned above. Thus, leaving aside the three DTs which will become independent within the next year or so (Gilberts, Solomons and Tuvalu), and the four Territories which pay their own way (Bermuda, Caymans, Hong Kong and Gibraltar), if the FCO were to accept financial responsibility for Governors' emoluments, it would need to do so only for Anguilla, Belize, BVI, Falklands, Montserrat, New Hebrides, St Helena and Turks & Caicos. Of these, all but

Montserrat and St Helena will be held by DS officers by the end

of 1978.

3. The additional cost to FCO of taking over financial

responsibility for Governors would therefore be small were we

to make the Governors of these two Territories contract DS4 officers. The cost of this would be offset by the scrapping of topping up and the Territories' contribution to salary and allowances (I have assumed that we should still require each