TNAG-0714-FCO40-910-Future-of-the-Dependent-Territories-1978 — Page 55

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REPORT OF THE GROUP ON NATIONALITY LAW: CONSEQUENCES FOR THE UNITED KINGDOM'S INTERNATIONAL RELATIONS

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RELATIONS WITH DEPENDENT TERRITORIES

1. The Governors of Colonies have been consulted on a "personal" basis. While the change could be made without too much difficulty in a number of territories, most would tend to regard British Overseas citizenship as second class and the change as indicating a diminution of HMG's commit- ments, even though the rights of the present generation would not differ from those now enjoyed by CUKCS without the right of abode in the United Kingdom. The greatest difficulties could arise in Hong Kong, Gibraltar and the Falkland Islands. We are committed to consulting Ministers/Executive Councils before publication of HMC's proposals. We need advance copies of any consultative document 7 weeks before publication. Even this timing would not ensure arrival in time in the re- motest colony.

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2. In Hong Kong any change could lead to pressure for assurances that in the last resort HMG would provide a haven for Hong Kong belongers' wanting to leave the Colony in the event of a Chinese takeover. Such an assurance is surely cut of the question; but its absence could seriously affect the delicate balance of confidence on which the present tranquil- lity and economic self-sufficiency of the Colony depend. More than two million CUKCs are involved and major issues of con- fidence are latent in the situation due to the formal ter- ination of the lease of the New Territories in 1997.

3. In Gibraltar the proposed change is an issue important and emotive enough to unite all parties against the proposals. It could provoke strong and intractable industrial and pol- itical resistance against what would be presented as evidence that HMG intended to break the Colony's link with Britain and drive it into the arms of Spain. We should have to make clear to the Gibraltarians that their freedom of access to the United Kingdom would not be diminished.

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CONFIDENTIAL

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