TNAG-0902-FCO40-1112-Implications-for-Hong-Kong-of-changes-in-British-nationality-1979 — Page 119

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Given that a separate Home Ownership Scheme would

have to depend on Government for the allocation of sites,

it is difficult to see how it could, of itself, result in

a gain in the supply of flats. Some of the price differential

achieved by Government foregoing the developer's profit would

be offset by administrative costs incurred because of the

need to examine applications and to ensure the effectiveness

of the ban on resale.

As the Acting Secretary for Housing explained in

Legislative Council on 18th July in reply to you, the Hong

Kong Government's policy is to increase the supply of land

for building medium and large flats. I understand that a

number of sites have already been offered, and while the

supply of medium flats will remain relatively disappointing,

the supply of large flats and houses in 1979 and 1980 should

be substantially higher than in 1978.

Urban Council

I have noted the points which your Association makes

with respect to the composition of the Urban Council and an

extension of the franchise for elections. Although Her

will Majesty's Government naturally keep these matters under

review

whit the stability and prosperity of Hong Kong and it does

It has to bear in mind the paramount need to maintain

but dow not andfit cnet

consider that it be appropriate to introduce the sort

would

of changes you are proposing at the present time.

/Cont'd.