TNAG-2367-FCO40-3440-British-Dependent-Territories-(British-Overseas-Territories)-1991 — Page 107

CONFIDENTIAL

9. The case of St Helena is more difficult. The view of

the authorities there is that the scheme should be retained

if at all possible:

(a) St Helena is the only British dependent territory

which still receives grant-in-aid (an annual bill of around

£10m). Private sector development is so limited that around

75% of the island's working population of some 3,000 people are employed in the public sector. A reduction by 50 in the number of St Helenians going to work in the UK therefore,

though small, would have an effect on the aid bill.

(b) The political impact. St Helenians were deeply

offended by the loss in 1971 of the right of abode in the

UK, which they regarded as a conscious distancing by HMG

from their commitment to the islanders. The islanders would

interpret abolition as a further reduction in St Helenaʼs

status in HMG's eyes.

10.

Conscious of the difficulties which the decision would

cause St Helena, the Department of Employment offered to

increase the places available for St Helena under the

existing arrangements for employment and training in the UK, thereby meeting in another way the main source of demand

(outside Hong Kong) for places under the dependent territories work permit quota. Unfortunately the existing rules for the training and work experience scheme set a

standard of suitability (and educational or professional

qualifications needed) which the majority of the St Helena

workforce would at present find difficult to meet.

BAGAFJ/4

CONFIDENTIAL