2.
Although I think we must now decide to end the quota, I agree that it would be wrong to do this abruptly. I understand that because of the discussions about Hong Kong, no announcement has yet been made about the quota for this year whereas, normally, the permits would have been issued by now. I suggest that we continue the full quota of 200 permits for 1990 but ensure that we say nothing to imply that the quota is likely to continue in its present form in future years. The announcement that there will be no further allocation for Hong Kong can be made later this year, after the passage of the Hong Kong Bill but before the 1991 quota would otherwise have been announced.
I
I hope that you will be able to agree this approach. should be grateful if your officials would prepare the terms of the announcement of the 1990 quota in close consultation with mine as it will be important that our position, particularly in the Courts, is properly protected.
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