TNAG-1171-FCO40-1452-Future-of-Hong-Kong-1982 — Page 23

FCO40 Hong Kong Department Records 聯邦事務部香港部檔案 All

Much speculation about form of slide confidence

No firm evidence yet but increasing rumours

of withdrawal of money

Reluctance medium term industrialists

to expand

Real danger is major flight of

capital; fall in NK $

HMG's interest

Do we care?

Economic balance of UK/HK trade and investment

about even. If no HK would not invent

Problem lies in political consequences.

of our presence:

a)

obligations to people of Hong Kong

b) likely outflow of people some with legal

or moral claim to entry to UK

c) difficulty of governing colony with probable breakdown of morale in Civil

Service and Police

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