TNAG-2699-FCO40-3905-Hong-Kong-Civil-Service-appointments-and-promotions-1993 — Page 22

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reason for his decision although he has made some private comments suggesting that he is out of sympathy with the Governor's proposals (Mr Wiggham is confident that Mr Chan will not say anything disloyal publicly after his

resignation). The announcement that he is leaving will catch Hong Kong by surprise. There is bound to be speculation that he is distancing himself from Britain with a view to playing

a role after 1997 (although there is no evidence for that). His departure will not help morale in the Civil Service.

4.

Although Mr Chan has a formidable reputation within the

Hong Kong Administration, I have to say that in my 18 months

here I have not seen him sparkle: and I think the Governor

also had some doubts that he was really Chief Secretary

material. Mr Chan's departure means that in practice the field for the next Chief Secretary is narrowed to two, Mrs

Anson Chan and Mr Michael Sze. The Secretary of State has

met both: Michael Sze is bright, forceful and a good PR

operator, who has been in the forefront of developing and marketing the Governor's proposals; Mrs Chan is a feisty negotiator on a range of economic issues. Both have recently been put onto ExCo (together with John Chan). Mr Wiggham

said that the Governor wanted Ministers to know that he had

not yet made up his mind on his preferred candidate for Chief

Secretary.

5.

Mr Chan's departure, and that of Mr Wiggham (to a new post overseeing Hong Kong offices in the US) requires a

The main moves will be:

reshuffle.

- Mrs Anson Chan to succeed Mr Wiggham as Secretary for the Civil Service (the job from which Sir D Ford became Chief Secretary: the press are likely to see Mrs Chan now as the heir-apparent);

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