TNAG-2171-FCO40-3108-Special-quota-of-work-permits-for-the-Dependent-Territories-1990 — Page 59

Mr Daul, HI

HKD

Hi faul

Mr

Morfis

4

7/2

Dependent Territories Work Permit Quota

The Home Secretary's Private Secretary has telephoned me about the Secretary of State's minute of 1 February to the Home Secretary (paragraph 5) in which the Secretary of State supported the Employment Secretary's view that we should continue the Dependent Territories Quota Scheme for Hong Kong for a further year and "reconsider the matter thereafter" Mr Storr said that the Home Secretary wondered whether the Foreign Secretary was reserving judgement on what the decision would be after a further year of the scheme, or whether he simply wanted to let the scheme run for one more year before dropping it. The strong implication ws that the Home Secretary would resist the former, but might be prepared to go along with the latter.

I told Mr Storr that I would consult the Foreign Secretary and revert to him by telephone. I should be grateful for urgent views from you before I do this. Mr Lidington may also wish to comment. My suspicion is that the Home Secretary is keen to close "loopholes" of this kind as a sop to Conservative MPs who have doubts about the Hong Kong assurances scheme. If this is right we should probably think twice before giving Mr Waddington difficulties on this point.

6 February 1990

cc:

PS/Mr Maude

Mr McLaren Mr Lidington

(R N Peirce)