TNAG-0893-FCO40-1103-Refugees-from-Vietnam-in-Hong-Kong-Vietnamese-boat-people-1979 — Page 247

Mr Flower, SEAD

CONFIDENTIAL

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Mr Murray

Mr Simons, SEAD HKGD UND

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INDO-CHINA REFUGEES : CONTRIBUTION TO UNHCR

1. Mr Blaker raised this at the Lord Privy Seal's meeting this morning and subsequently spoke to Mr Marten (who had not been briefed by his officials beforehand) on the telephone.

2.

Mr Marten explained that the Treasury were insisting that the £1 million could not be taken from the contingency reserve which the ODA are seeking to re-establish. Mr Marten also said

that he had been unable to identify a saving of £1 million in the ODA's existing budget. The Treasury were taking the line that if he could not identify such a saving, they were not prepared

to agree to the £1 million being given to UNHCR. Mr Marten

said he hoped that the Prime Minister would overrule the Treasury and give an instruction that the £1 million must be provided

to UNHCR and that the ODA should work out later where a compensating saving might be found.

3.

Mr Blaker agreed with Mr Marten that the Secretary of State would need to minute the Prime Minister about this on her return. Mr Blaker considers that the question of the £1 million should be linked in the Secretary of State's minute with the question of how many refugees we are going to take in this country.

3 July, 1979

CONFIDENTIAL

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C A Munro PS/Mr Blaker