TNAG-2209-FCO40-3169-Future-of-Hong-Kong-principal-officials-1991 — Page 57

CONFIDENTIAL

071117

MDHIAN 5356

LAST WEEK'S LEGCO DEBATE. BUT IN FUTURE HE WOULD EXPECT THEM TO SUPPORT DECISIONS ON THIS ISSUE TAKEN COLLECTIVELY.

5. ON THE IMPLICATIONS FOR THE JLG, THE GOVERNOR AGREED THAT THE CHINESE ALWAYS TENDED TO SAY THAT A PROBLEM IN ONE AREA AFFECTED OTHERS. BUT IN PRACTICE, EACH MAJOR ISSUE IN THE JLG HAD ITS OWN DYNAMIC. IT DID NOT LOOK AS IF WE WERE LIKELY TO REACH AGREEMENTS SOON ON EITHER DEFENCE LANDS OR ASAS. FROM THE POINT OF VIEW OF HANDLING LEGCO THAT WAS PERHAPS JUST AS WELL. BUT OVERALL, THE LACK OF PRACTICAL PROGRESS IN THE JLG WAS WORRYING GIVEN THE

IMMENSE AMOUNT OF WORK TO BE DONE.

HMOCS

IMPORTANCE OF TAKING SANDRA BROWN THEIR CONCLUSIONS WOULD CARRY HE HOPED THAT THE CS AND FS

6. LORD CAITHNESS EMPHASISED THE AND THE TREASURY TEAM SERIOUSLY.

GREAT WEIGHT WITHIN THE TREASURY. WOULD GIVE THEM TIME, AND THAT THE FS IN PARTICULAR WOULD TAKE THEM CAREFULLY THROUGH THE ARGUMENTS ON THE RESERVES AND HONG KONG'S BUDGETARY POSITION. IT WAS ESSENTIAL TO PUT THE INTELLECTUAL ARGUMENTS OVER EFFECTIVELY: HE KNEW THAT THE ISSUE WAS AN

EMOTIONAL ONE IN HONG KONG BUT THIS WOULD CUT NO ICE WITH THE TREASURY. THE GOVERNOR NOTED THIS, AND SAID THAT AFTER HIS EARLIER DISCUSSION WITH ME HE PLANNED TO KEEP OPEN THE OPTION OF SEEING THE TREASURY TEAM HIMSELF FOR A FINAL MEETING AT THE END OF THE WEEK. LORD CAITHNESS THOUGHT THAT THIS WOULD BE VERY HELPFUL.

AIRPORT PROJECT

7.

THERE WAS A GENERAL DISCUSSION OF PROSPECTS FOR THE AIRPORT.

PRINCIPAL OFFICIALS

8. I UNDERSTAND THAT LATER IN THE EVENING OVER DINNER

LORD CAITHNESS MENTIONED TO THE GOVERNOR THE CONCERNS THAT HAD BEEN EXPRESSED IN LONDON ABOUT THE TIMING OF MOVING ON FROM GENERAL DISCUSSION WITH THE CHINESE ABOUT CIVIL SERVICE ISSUES, TO SPECIFIC DISCUSSION OF LISTS OF INDIVIDUALS. THE GOVERNOR EXPLAINED THAT THE DISCUSSIONS DURING CHEN ZIYING'S VISIT WOULD DEAL ONLY WITH THE PRESENT STRUCTURE OF THE CIVIL SERVICE. I HAD MENTIONED SEPARATELY TO THE GOVERNOR IN MY OWN DISCUSSION WITH HIM THAT WE WOULD BE INTERESTED TO SEE ANY FORTHER PAPERS GENERATED BY THE CPU ON THIS SUBJECT.

MCLAREN

•