CONFIDENTIAL
BRIEF FOR PRIME MINISTER'S QUEST IONS
HONG KONG: CHINESE STATEMENTS ON NAT IONAL ITY PACKAGE
Background
1. On 16 January the Deputy Secretary General of the Basic Law Drafting Committee, Lu Ping, was reported to have made the following comments on the UK Nationality Scheme:
(a)
Those who had settled in Hong Kong and obtained British
citizenship under the scheme would still be regarded as Chinese
nationals.
(b) Those covered by the scheme would be welcome to stay in Hong Kong but would not be entitled to British Consular
protection.
(c) There would be some restriction in political participation
by those covered by the scheme ie they could not become "top
officials", Chief Executive or Executive Councillors. The
Chinese were also considering whether top judges and members of
the legislature should be included.
2. The Nationality issue in Hong Kong has always been a sensitive
one for the Chinese largely because Chinese nationality law does not recognise dual nationality and is ethnically based. That is why this subject was dealt with in the Joint Declaration through an exchange of memoranda. The Chinese memorandum states that "all Hong Kong Chinese compatriates, whether holders of the BDTC passport or not, are Chinese nationals". In effect, we agreed to differ over
the nationality status of BDTCs and BN (0)s.
The Chinese have always
treated overseas Chinese living abroad with foreign passport as
foreign nationals.
3. Our decision to grant full British citizenship to Hong Kong residents without requiring them to live abroad presents problems for the Chinese. If they insist on continuing to treat beneficiaries under the scheme as Chinese nationals they would not
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