TNAG-1239-FCO40-1552-Future-of-Hong-Kong-1983 — Page 164

Private Secretary

Secretary

cc:

PS

PS/PUS

Mr Donald

SECRET

Mr Clift, HKD

Mr Walker, Research Dept Hd/Planning Staff

Scardon, 18hat.

d

FROM: H B Warren-Gash DATE: 12 July 1983

MKK040/4

RECEIVED IN REGISTRY

(398

A

TU AUG 1933

DESK OFFICER INDSA

1

FUTURE OF HONG KONG:

'ACCEPTABILITY' OF PROPOSALS

1. Mr Luce thought that the Secretary of State should see the attached paper prepared by Hong Kong Department without delay.

2.

Mr Luce remains very uneasy about all this. He accepts that an 'aim' to produce a settlement acceptable to the people of Hong Kong falls short of an absolute commitment. But he does not think that this will cut much ice in Hong Kong or in Parliament, especially if in practice the package achieved falls Significantly short of what opinion in Hong Kong would consider to be 'acceptable'.

3. With this in mind, he strongly agrees with the final para- graph of the paper, which refers to the need to educate Parliamentary opinion on the facts of the situation. If careful ground work is not laid down now, neither Parliament nor the media are likely to be sympathetic when the moment arrives to discuss a final package. Although the analogy is not exact, Mr Luce firmly believes that there are some lessons to be learnt from the Falklands episode over this.

4.

Mr Luce will himself be taking steps to discuss the handling of Hong Kong with Conservative back-benchers, and this may take some of the steam out of the Parliamentary lobby. However, it is unlikely to be sufficient to contain Parliamentary reaction altogether, especially if the package that is eventually presented to the House is one which divides opinion in Hong Kong, and those opposed to the settlement make use of their Parliamentary contacts in the UK to press their point of view. Mr Luce therefore thinks it essential that Ministers should address at this stage the sort of questions that they may be asked in Parliament and consider how best to reply to them.

5. I attach, as an Annex, examples of the sort of questions that he has in mind. Essentially, they are concerned with the definition of acceptability and the means through which it can be tested in Hong Kong. Subject to the Secretary of State's views, he would be grateful if the Department could now start work on suggested replies to these and any other pertinent questions which occur to them.

te Wouwen, Gol

See (422)

12 July 1983

HB Warren-Gash

PS/Mr Luce