TNAG-2484-FCO40-3615-UK-Hong-Kong-Scholarship-Scheme-donation-to-the-UK-Governme-1992 — Page 47

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lette to Busts to indiąte le francial pressues, ital if itke wildraw Her Mandy thing Ney On 20 November Michael Long, CRD asked for our comments on an article in ECS Marketing News which suggested that Hong Kong were considering withdrawing their share of the Joint UK/HK Scholarship Scheme (which offsets the difference between home fees and overseas fees). Mr Long has had the report confirmed by Mr Smith-Laittan, BTC as true but that the matter was still under consideration. Mr Long has produced a draft reply to BTC for our comments.

2.

Mr Smith-Laittan's letter indicates that Hong Kong are considering withdrawing their share of funding on the existing scheme with the idea that the FCO may transfer their

HAR contribution of £2.2 million to a scholarship fund" Mr Smith-Laittan states that this would have the full support of BTC and British Council. However Mr Long's point of view is that there is severe pressure from the forthcoming PES cycle for savings on scholarships and it would not necessarily be the case that savings from the UK/HK Joint Funding Scheme would go to Hong Kong. Hong Kong is presently the largest recipient of FCO Scholarship resources.

3. I provisionally said that the department had heard nothing officially about this matter. I should be grateful for your comments on how we wish to pursue this. In the past our argument for support of scholarships funding have been based on concerns for political support in Hong Kong up to 1997.

4. Mr Long wishes to act on this urgently and is seeking our response.

Farah Hape

S J Haspel

Hong Kong Department

30 November

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Citistu

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we should fax a letter to HK (*dication & Manpower, capped to Gort. House)) asking of they

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considering wiltdrawing funding from the joint scheme pointing out the likely consequences (u. that the uk shave could well in allocated elsewhere x not to 177; given existing pressures on princence.)

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a good 2. HKD, & we assume iTks, attach importance & Maintaining

standard of English in itk - for economic as wel as

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