TNAG-2239-FCO40-3218-Future-of-Hong-Kong-Royal-Navy-presence-1991 — Page 51

CONFIDENTIAL

We therefore face the unattractive prospect of

having to withdraw the patrol craft in 1992, in the

absence of any agreement over the financing. There is

now an urgent need for a decision but before committing

ourselves irrevocably to withdrawal], I believe, as I made

ministe

it

clear in my note to you on 18 June abut HMS Endurance,

would be sensible to consider this issue in the wider

context of our overall defence responsibilities for Hong

Kong (including the garrison withdrawal plan and the

Gurkhas) and our other out of area responsibilities. For instances the patrol craft visit Brunei and Malaysia where we have substantial interests and take part in

joint exercises such as the recent one under the Five

Power Defence Agreement. Accordingly I have asked my

officials to produce an urgent paper on this, and I

should be grateful if you could agree to defer any final

decision for a couple of weeks until this work has been

completed.

mmite

I am sending copies of this letter to the Prime Minister and the Chief Secretary to the Treasury, and to

Sir Robin Butler.

UGAAL

Douglas Hurd