TNAG-2193-FCO40-3130-Hong-Kong-nationality-package-1990 — Page 115

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HONG KONG NATIONALITY PACKAGE

BACKGROUND NOTE

The Need for the Legislation

Following events in China last June, the Government sought to find ways in which confidence in Hong Kong could be bolstered. The House Select Committee and many individual MPs visited Hong Kong to see for themselves the effects of the loss of confidence on prosperity and emigration from the territory. The problem of confidence is clearly demonstrated by the increase in emigration: 42,000 people left Hong Kong in 1989; 55,000 are forecast to leave this year. A growing proportion of these people are those whom Hong Kong can least afford to lose. Emigration rates are particularly high amongst the professional and business categories where occupational mobility is high.

Under the Sino-British Joint Declaration of 1984, both Britain and China have a responsibility to ensure the continuing prosperity and good government of Hong Kong in the run up to 1997. The haemorrhage of talent and experience amongst Hong Kong's workforce caused by increased emigration is putting Hong Kong's prosperity at risk.

The Foreign Secretary's Statement

The Foreign Secretary announced on 20 December the Government's intention to introduce legislation to grant British citizenship to 50,000 heads of households and their spouses and minor children without their having to leave Hong Kong. He made it clear that it would not be possible to grant all 3.25 million British Dependent Territories Citizens in Hong Kong full citizenship rights enabling them to be admitted freely to the UK. Beneficiaries would be selected mainly on the basis of a points system from a range of different occupations. The main criteria would be the value of the individual's contribution to Hong Kong, taking into account the rate of emigration amongst people in that category of employment. Provision would be made for the public and private sectors. The scheme would also provide for those who, by virtue of their position, may find themselves vulnerable in the years ahead. Long service with British institutions would be taken into account, as would knowledge of English.

The Home Secretary and Foreign Secretary circulated a Dear Colleague letter on 9 February setting out the case for the package, emphasising that the intention of the legislation was not to encourage immigration into the UK but to persuade key personnel to remain in Hong Kong.

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