· 1945 1947-479
DTI HEADQUARTERS 01 222 2629
P.4
pelling and overriding factors in favour of the consumer existed they would contemplate dissolving the international monopoly. As internal telephone calls are virtually free (bar a monthly standing charge of £4), revenue from international calls is a particularly significant factor in the financing of the current network.
While any liberalisation programme would in theory, open the door for British Telecom to enter the market, the likelihood is that there would be pressure within Hong Kong to introduce non-British companies into the telephone network rather than maintaining it as a wholly British interest. Any change would be at the expense of Cable & Wireless and UK interests would be likely to be net losers.
In the light of the UK's pro-competitive stance on telecommunications and determination to ensure that overseas Governments open up their own markets, it would be extremely difficult for Ministers to press the Hong Kong Government to continue Cable & Wireless's current monopoly position. However, Ministers should be aware of the importance of the Hong Kong telecommunications market to Cable & Wireless and their equipment suppliers and the considerable UK interest, at stake. If the Hong Kong Government moves to end the current monopoly, these interests are likely to lobby DTI Ministers to intervene on their behalf.
Nevertheless, in the statement to Ca Wis. AGM
che
July / hard Young Thames, said
ол
16
I have received the
personal arrwances of the Govenor that there is no intention
Goverment
of the Hong Kong abrogating or before their due date
cancelling
our
franchises
No comments yet.
Private notes are available after approval.