TNAG-1311-FCO40-1673-Future-of-Hong-Kong-1984 — Page 76

HKK 040/1

RECEIVED.

11 DEC 1984

DESCOFFICEN

INDEX M

Action Taken

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From the Private Secretary

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CONFIDENTIAL

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on Umelco visitfit.

Coyma (a) Felure free.

(6) Cosht Dent (C1 Mark).

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DOWNING STREET

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968

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WM Wee

CJ

A Cractock

5 December 1984

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5

MEETING BETWEEN THE PRIME MINISTER AND A UMELCO DELEGATION AT 10 DOWNING STREET ON 5 DECEMBER AT 0930

The Prime Minister received a UMELCO delegation led by Sir S.Y. Chung accompanied by the Governor of Hong Kong this morning. A list of the members of the delegation is attached. The Foreign Secretary, the Minister of State for Foreign and Commonwealth Affairs (Mr. Luce), Sir Percy Cradock and Mr. David Wilson were also present.

The Prime Minister welcomed the delegation. She wanted to stress that the purpose of the meeting was not to talk about ending a chapter in Britain's relations with Hong Kong but about how to approach the future and to ensure that the change which would take place in 1997 would happen smoothly.

Sir S.Y. Chung then made the statement annexed to this

letter.

The Prime Minister thanked Sir S.Y. Chung for his statement. She wanted to place formally on record Her Majesty's Government's appreciation of the wise and constructive role played by UMELCO throughout the negotiations. Reflecting upon the negotiations, she was convinced that we had shown the right mixture of firmness and flexibility. The Foreign Secretary's visits to Peking particularly that in August had been crucial. We had stood firm on a number of vital points and earned Chinese respect. She endorsed Sir S.Y. Chung's warm remarks about the British negotiating team. But the result would not have been possible without the help of Sir S.Y. Chung and his colleagues.

Responding to a number of points made in Sir S.Y. Chung's statement, the Prime Minister said that she agreed that the Westminster model of democracy was not necessarily exportable in toto. While the fundamental principles were valid anywhere, one had to take account of the character and variety of people and of the history and future of the territory. Far from being pessimistic about the future of Hong Kong, she believed that it would have a historic role to play in the future development of China. Sir S.Y. Chung had stressed the importance of Britain maintaining its commitment to the administration of Hong Kong until 1997 and a close interest thereafter. She could assure the

CONFIDENTIAL