TNAG-1309-FCO40-1666-Future-of-Hong-Kong-1984 — Page 56

FUTURE OF HONG KON POINTS TO MAKE

CONFIDENTIAL

SECRETARY OF STATE'S MEETING WITH THE EDITORS OF THE MAIN DAILY

NEWSPAPERS

FUTURE OF HONG KONG

POINTS TO MAKE

1. Should remind you of historical background described in background note). Hong Kong consists of:

(i) Hong Kong Island, ceded in 1842.

(ii) Kowloon and Stonecutters Island, ceded in 1860.

(iii) New Territories, leased in 1848.

Lease expires on 30 June 1997.

92% of Hong Kong's total area. Over 50% of total population

live there.

Talks on future agreed when Prime Minister visited China

September 1982.

2.

3. Second, more detailed phase began July 1983. Eleven rounds

since, continuing through diplomatic channels in Peking. Common aim

of maintaining Hong Kong's stability and prosperity. Latest round 26/27 March. Useful and construtive. Next round 11/12 April.

4.

Atmosphere good. Content confidential. Common aim of

maintaining Hong Kong's stability and prosperity. British aim is to find a solution acceptable to British Parliament, China and Hong

Kong people.

We want best possible deal for Hong Kong people. Our only return from Hong Kong is that of normal trading partner.

5.

6. We believe continuing stability and prosperity best assured by:

(a) Continuity of systems, (eg legal, financial, commercial,

social).

(b) Minimal outside interference, as now.

7.

We must take into account the reality of Hong Kong's unique

CONFIDENTIAL