TNAG-0848-FCO40-1058-Future-of-Hong-Kong-New-Territories-leases-1979 — Page 97

SECRET

DILU

ET MON

From the Private Secretary

10 DOWNING STREET

Hick Owoll

Dear Stemmes,

2 & MAR 1979

0

20/3

Leases

Hong Kong: New Territories

нной

ras بہت

47

A Ps / Cord Goranes. Kordon

PS

Roberts

Ps/pus mi contozz

m. mur 26 March 1979

кело

m. Stegal

See (5768

The Prime Minister has seen the Foreign and Commonwealth Secretary's memorandum to DOP (DOP (79)15) of 22 March putting forward the proposal that future leases in the New Territories should be issued without a fixed term, valid "so long as Her Majesty may administer the Territories", and that the Governor of Hong Kong should sound out the Chinese on this idea during his visit to Peking.

Subject to the views of his colleagues in DOP, the Prime Minister sees no objection to the proposal that Sir Murray MacLehose should float Dr. Owen's ideas, without commitment, during his talks with the Chinese in Peking. The Prime Minister considers, however, that DOP should be informed of any Chinese reactions, and of the line which Dr. Owen proposes to take in the light of these during his own visit to Peking, in time for the subject to be considered, if necessary, at a meeting of DOP before Dr. Owen's departure for China on 8 April.

The Prime Minister considers that special attention will have to be given to the public presentation of a change of policy on leases in the New Territories and, in particular, to what is said about the extent of Chinese acquiescence in the change. The Prime Minister has in mind the point that Chinese association with the new formula - essential, if its purpose is to be achieved would have implications for the Chinese attitude to the future of Hong Kong which the Chinese might be reluctant to see spelled out in public. The Prime Minister therefore considers that the question of public presentation is one which Dr. Owen may need to raise during his visit to Peking.

I am sending copies of this letter to the Private Secretaries to the other members of DOP and to Martin Vile (Cabinet Office).

Yours ever,

Водим важидал.

J.S. Wall, Esq.,

Foreign and Commonwealth Office.

SECRET