TNAG-2472-FCO40-3599-Confidential-talks-between-the-UK-and-China-regarding-financ-1992 — Page 59

tel: 071-270 2721

fax: 071-270 3369

7 May 1992

PERSONAL AND CONFIDENTIAL

BY FAX TO 010 852 840 0569

Mr K Y Yeung

Secretary of the Treasury Finance Branch

Government Secretariat

HONG KONG

VISIT OF RACHEL LOMAX

As you may know, there has been some minor government

reorganisation following the election. One element of this is

that the Treasury has taken over some of the Department of

Trade and Industry's responsibilities for Financial Services Regulation. Rachel Lomax has been put in charge of the consolidated operation, and is going to be fully stretched

over the next few months getting it to work.

This means, unfortunately, that she will not be able to come to Hong Kong in June as we had hoped, although she is very keen to do so as

soon as this is feasible. However, that would have to be in

connection with her new responsibilities, and I doubt that it would fit easily with the sort of assignment you had in mind.

The Treasury are very apologetic about this, and will no doubt

be explaining the circumstances in more detail when they see you in a couple of weeks time. They and we do not wish to

-

let you down, and have been discussing possible alternatives which might be offered to you. One possibility might be Sir John Anson, who retired from the Treasury in 1990 after many years involvement in the public spending side of the Treasury,

latterly as Second Permanent Secretary. He has vast

PERSONAL AND CONFIDENTIAL