TNAG-2677-FCO40-3874-Hong-Kong-garrison-withdrawal-plan-1993 — Page 181

chex.ps/ob/46

SECRET

CELLOR OF

THE EXCHEQUER

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Treasury Chambers, Parliament Street, London, SW1P 3AG

LETTER UMBER:

103948

PRIME MINISTER

071-270 5000

HICA 063/1

RECEIVED BE

10 AUG 1993

HIND

CPS

Marshall,

19/1

(SL

داول

Ps/Mr Goodlad PSIPUS

Chig Clerk

FED

DESK OFFICER INDEX

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PA

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Sir J. Coles Mr tuuni

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RPO NODD Planners

NEWS

Mr Frener

HONG KONG: THE FUTURE OF THE BRITISH GARRISON

8/11417

I am content with Malcolm Rifkind's proposals for an announcement on 19 July, to the effect that the Hong Kong garrison will be reduced to 1 battalion by the merger of the 2 Gurkha battalions

and the withdrawal of 1 Black Watch to the UK.

I am able to agree to this announcement because it does not

prejudice the decision we have yet to take on precisely which battalions will form the garrison after September 1994. I am glad that Malcolm is prepared to cost the alternative of disbanding the Gurkha battalions early, and I look forward to further advice from officials in due course.

But unless that option offers us a net saving over existing plans, I will want to return to the option of disbanding a UK regiment. As I made clear in my earlier letter, it is not acceptable for the

Hong Kong Government to make savings through changes to plans

which increase costs for the UK Government. We can revisit this

once we have advice from officials, which I would like to include

the costs of this other alternative. However, I do not think this need affect Malcolm's proposed announcement, which covers current plans.