TNAG-1030-FCO40-1280-Proposed-visit-by-Humphrey-Atkins--Lord-Privy-Seal--to-Hong--1981 — Page 162

DSR 11C

LORD PRIVY SEAL'S VISIT TO HONG KONG:

8. 11 JANUARY 1982

BRIEF NO

:

Points to Make:

HONGKONG AND SHANGHAI BANKING CORPORATION'S BID FOR ROYAL BANK OF SCOTLAND

(FOR DISCUSSIONS WITH GOVERNOR)

1. Outcome of bid dependent on decision of Monopolies and

Comment on the bid would be inappropriate

Mergers Commission.

while it is still under consideration.

2.

HMG takes no position on commercial merits of rival bids.

3. Have no reason to believe that the Government intends to

introduce legislation on bank mergers.

ጎ

4.

Concerned that HMG must be seen to have confidence in

Hong Kong.