TNAG-0937-FCO40-1156-Visits-of-Sir-Murray-MacLehose--Governor-of-Hong-Kong--to-th-1980 — Page 99

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MR BLAKER'S MEETING WITH SIR MURRAY MACLEHOSE: 14 JULY 1980

FUTURE OF HONG KONG AND LEASES IN THE NEW TERRITORIES

POINTS TO MAKE

√1.

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1. Need to consider line for the Secretary of State to take

in Peking in October.

2. Useful correspondence between the Governor and HM Ambassador

Peking. Problem of how far the Chinese differentiate between the

long- and short-term problems.

3. Accept that the short-term must be our priority. We must not

rebuff the Chinese if they offer a dialogue but they will probably

not be ready for a long-term solution for many years.

4.

What is the most promising step on leases? Can we get an under-

standing that leases should run beyond 1997, without any reference

to continuing British administration?

5. How significant is the China Resources proiect at Tin Shui Wai

in the New Territories In that case an indeterminate lease has been

suggested. This would not be possible legally without legislation

of the kind which frightened off the Chinese when proposed last

year, but eg a 25-year lease would.

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6. If the Chinese were prepared to accept this tacitly, do we

also need further public statements from them? What about a

confirmation that their assurances apply to leases issued by the

present 'authorities in Hong Kong'?

7. If they will not buy this, would Chinese private assurances

to individual intending investors be sufficient?

8.

If the Chinese were to ask for a political price (eg a

declaration on China's sovereignty over Hong Kong) we would need

to look very carefully at what we were getting out of it.

May

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