CONFIDENTIAL
HKC
MINISTRY OF DEFENCE
WHITEHALL LONDON SW1A 2HB
SECRETARY OF STATE
MO 6/19/1s
Эхо
Telephone 071-21 82111/3
•Pa/Love Castries
PS/RO
аже
Pa
Sir John Coles HKB 063/1 294 July 1991
Mr Quina
Nii Goulden News
NPCO
гео
Jes Stephen, FED
Special Dorsers
FUTURE RN PRESENCE IN HONG KONG
156, Thank you for your letter of 24th July recording the Prime Minister's view that we should retain three patrol craft in Hong Kong, with the financing to be pursued in the PES round.
30
The Defence Secretary has directed we should now plan on retaining three patrol craft until 1997, but on the clear understanding that the defence budget will be compensated for the extra cost of doing so from one source or another. He entirely agrees that much the preferable source remains the Hong Kong government. We shall be suggesting that the FCO should press hard during August for the funds to be made available from them and we hope the Frime Minister will add his support during his visit in September if the matter is not resolved by then. If it comes to the point of having to seek funding through PES we would need an assurance that the MOD would not have to find offsetting savings to meet what is in effect an imposed additional commitment - and in this respect the Chief Secretary's minute of 23rd July is relevant.
It follows from this that if neither avenue yields the necessary finance, the Defence Secretary must reserve the right to propose the review of the decision to retain the patrol craft.
On the Lord Chalfont PQ, the immediate answer was an undertaking to write, given before the House
It will followed up by a substantive reply saying that on current plans we intend to retain three patrol craft in Hong Kong until 1997. This will also give time for any other reactions to your letter to be considered.
I am sending copies of this to Richard Gozney (FCO), Nicholas Holgate (Treasury), and Sonia Phippard (Cabinet Office).
Lom juceriler
Sun Wass
(S WEBB)
Private Secretary
J S Wall LVO CMG
10 Downing Street
CONFIDENTIAL
100% Recycled Paper
No comments yet.
Private notes are available after approval.