TNAG-2100-FCO40-2989-HM-Overseas-Civil-Service-(HMOCS)-policy-matters-1990 — Page 50

1968 by

Sir

Reginald

CONFIDENTIAL

Prentice, the Minister for Overseas

not

Development, who told the House of Commons that the assurance "does

amount to a formal commitment to pay loan advances [in lieu of

pensions] if there has been a de fault, but it has been understood

since by OSPA and by the British Government that this would in

effect happen if there was a default".

12.

fundamental part of

on 12 occasions with

Rhodesian" public

fallen into arrears

The "Carr-Robertson" Assurance has become a

HMOCS lore. Since 1943, HMG has intervened loan advances in lieu of pensions: Shanghai, Burma, Pakistan, Aden, Tanganyika, Zanzibar, Malaysia, Nigeria, Uganda, Somalia, the East

African Community and Rhodesia (for "loyal

servants). In most of these cases, pensions had

through domestic upheaval or civil war. Eight of the loan advance

schemes postdate the Carr-Robertson Assurance. We have not yet been

asked specifically about the as surance in relation to Hong Kong though the general question of default crops up frequently. We have parried enquiries about default by pointing to the draft agreement,

but we recognise that a direct question about the Carr-Robertson

Assurance (which is bound to come) will require a direct answer.

Given the statement on record, the weight of precedent and the fact

that s ome thousands of pensions yet to be taken over from

territories other than Hong Kong are understood to be protected by

the Assurance, it is certain that there would be an outcry i f

Ministers were to repudiate it. Nor is it easy to see how a retreat

from the Assurance could be defended.

13.

I t is therefore recommended that Ministers should, if asked a

direct question, confirm that the assurance applies to HMOCS officers anywhere, including Hong Kong. (The contingent liability

is quantified in para 14 below). Pressure from local officers for similar undertakings, which would probably arise,

would have to be

resisted on the grounds that HMG has historically accepted a special

obligation to members of HMOCS and that its

reaffirmation of this

has no implications for the pensions of local officers.

SHOULD HMG GO BEYOND THE CARR-ROBERTSON ASSURANCE AND SEEK TO TAKE

OVER THE PENSION ENTITLEMENTS OF HONG KONG HMOCS OFFICERS?

ON WHAT TERMS?

IF SO,

CONFIDENTIAL