CONSULATE GENERAL
Background
1.
We agree with the Committee that we need a presence
which will reflect the importance of our continued
commitment to Hong Kong and that an early announcement would
boost confidence now.
2. There are two aspects to the problem: firstly we must identify a site in Hong Kong and agree terms with the Hong Kong Government. On this we are making good progress. We have been holding intensive negotiations at official and
ministerial level. We are now working on final details of
what we believe is a satisfactory solution.
3.
But
There is also the Chinese dimension. The Joint
Declaration provides that we may establish a Consulate
General in the Hong Kong Special Administrative Region.
we shall need to inform the Chinese of our plans. It would
clearly be counterproductive to make any public announcement
until we have done so.
4.
As we made clear in our initial reply to the Committee
the Government see no scope for using the Prince of Wales building. It will revert to the Hong Kong Government when
no longer needed by British forces. It would not in our
judgement be the right kind of building in any case.
MUKAJJ/2
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