TNAG-1037-FCO40-1287-Future-of-Hong-Kong-1981 — Page 48

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attitude to sovereignty over the whole Territory. This

could take various forms, ranging from a confidential assurance

on our part that we recognised Chinese residual sovereignty

to a public statement to that effect. China's treatment of the

Sovereignty issue is discussed at Annex B.

b) Chinese Representative in Hong Kong; the Chinese Government

have made proposals for such a representative on a number of

occasions, the latest in 1979. (See Annex C). They have

not been specific as to his role, though they would presumably

expect him to take over at least the liaison functions between

Hong Kong and the Chinese Government at present performed

by the New China News Agency (NCNA). So far HMG have taken

the line that the time was not ripe for such a move.

c)

Participation in the Administration of Hong Kong; this might

be an extension of a request for a Chinese representative.

Where functions might go beyond a quasi-'diplomatic' role.

This could be done in a number of ways, eg:

i)

a right to represent the interests of the

Chinese population of Hong Kong (whatever their legal

status in the eyes of HMG);

ii) The right of consultation by the Governor on major

decisions of policy;

iii)

HMG's Response

Sovereignty

13.

A seat on the Executive and/or Legislative Councils.

A concession on sovereignty would be such a major move that it shoul

only be made as a part of a general agreement on the long-term future.

Should HMG contemplate relinquishing its sovereignty over Hong Kong

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