TNAG-0752-FCO40-956-Future-of-Hong-Kong-1979 — Page 79

HKK

N Thompson

022417

RECEIVED IN 90.51 14 AUG 1978

DESK

INDEX

No

Mr Quantrill, HKGD

CRY

cuon Taten

CC:

Mr Cortazzi

CONFIDENTIAL

ΕΝΤΙΑΙ

CHINESE POLICIES TOWARDS HONG KONG

Mr Quastrill

The study

70A)

anill aced

to consider Hacties and

What we

can offer

lf. on

representation to meet.

thas any Chinese "Concession"

on leaves.

We must also,

the argumento

take account of

for and against any move

representative

Sort

towards more 1. In Lord Goronwy-Roberts' meeting with the Governor of Hong Kong on 19 July we discussed the need to consider the whole question of developments in Hong Kong, including possibly a move towards political institutions, in preparation for the agreement that will have to be reached with the Chi within the next few years. Sir Murray MacLehose concentrs on the question of land leases and the need for legislati to remove 1997 as the terminal date as the single most impo: requirement in the immediate future. Lord Goronwy-Robert. it clear that, though the lease question was important, we reme thinking in much wider terms; and that although there was po hurry, we should wish to start soon on a comprehensive review of policy.

2.

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21/1.1

Subsequently, at lunch, Mr Cortazzi and I went over this ain with Sir Murray MacLehose, who repeated that the most important and difficult issue, in his view, was the leases question, mord 3 once this had been resolved with Chinese acquiescence aspects of future development in Hong Kong would be relati easy to consider. He showed a disinclination to move frow this particular issue to a wider review, but accepted that should take place. Accordingly I repeated to him the wording I had used in the meeting with the Minister of State, stren that this was not a precise FCO formulation, but just an indig of terms of reference which might emerge more precisely in months. The wording was:-

Given the recent indications of Chinese attitudes, which su: we might assume a continuation of the status quo after 1977. should consider what developments need to be put into offer in Hong Kong, both for themselves and also to remove the co We should form a jn imposed by the lease termination date. ment on the extent to which these needs would be ncceptabl or conflict with, what we know about Chinese attitudes and them accordingly. We should then consider how we should our thoughts to the Chinese, so as to draw the reactions for future planning policy.

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You will need to consider whether bho to any amendments suggested by He Cortazzi in the FCO, might be worked into wholerin to Sir Murray MacLehose's letter of 6 duly so lu Delons was ultimately sent by Sir Denys Rober

21 July 1978

CONFIDENTIAL