TNAG-2382-FCO40-3463-Hong-Kong-nationality-approved-secondment-scheme-1991 — Page 8

CONFIDENTIAL

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RECEIVED

2 1 NOV 1990

DESK O'

INDEX

FROM: J C Morris

Hong Kong Department

DATE: 16 November 1990

cc: Mr McLaren

Mr Burns

Mr Paul, HKD

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Thacks

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PS/Lord/C

Caithness

BRITISH NATIONALITY (HONG KONG) ACT: OUTSTANDING ISSUES

1. Lord Caithness asked for a list of outstanding issues

under the BN (HK) A.

Locally Engaged Staff of the BTC and British Council

2. Mr Lloyd wrote to Lord Caithness on 2 November to say that the Home Office cannot agree to make any special arrangements for LE Staff. Separately, we learned from the British Council that the Governor was prepared in principle to consider applications from a small number of their

LE Staff for consideration under the sensitive service

section of the scheme. We have asked him if he would be

prepared to invite Mr Heap to submit applications for his

LE Staff for consideration on the same basis. We await a

reply.

British Undertakings Advisory Committee

3. The Senior British Trade Commissioner has begun working on a provisional list of British Undertakings which will be required by 1 December. He will be assisted by an Advisory Group in Hong Kong. We shall be submitting a list of names shortly for Lord Caithness' approval.

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Approved Secondment Scheme (ASS)

4.

In his letter of 8 October to the Home Secretary and OD (K) colleagues on the Order-in-Council, the Secretary of

State proposed that officials should consider again the

question of an Approved Secondment Scheme in a year's time in the light of the operation of the nationality scheme and its effect on British businesses in the territory. This

proposal was endorsed by the Secretary of State for Trade

and Industry. The Home Office have told us that the Home

Secretary does not intend to reply to this proposal but that we should regard this as acquiescence in principle.

They thought we might trigger the review of the ASS, if we still

saw the need, by a further Secretary of State letter in a

year's time.

The Multiplier

6. Recent reports in the Hong Kong press have suggested that the figure of 225,000 as the possible total of beneficiaries of the package including dependents is an over-estimate. They contend that given the prevailing average of family sizes in Hong Kong, it is more likely that the 50,000 total for heads of household will produce an eventual maximum including families of only 185,000. We are consulting Hong Kong over a suitable line to take for Lord Caithness' use and will submit shortly.

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Jhoni

J C Morris

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