TNAG-2961-FCO40-4240-Future-of-Hong-Kong-British-Consulate-General-building-incl-1993 — Page 8

The British Council

Ane.

fect fax.

071-389 4335

1.5

Mr D Savage de

니

Manager Area 1

OED

FCO

X4 3631

VED IN

1 1 APR 1991

CC: HKN 3631

Promoting cultural, educational and technical co-operation between Britain and other countries

10 Spring Gardens London SW1A 2BN Telephone 071-930 8466 Telex 8952201 BRICON G Fax 071-839 6347

3.

Dear Mr Savage

HONG KONG

8 April 1991

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where

The Comill

for thai figures?? (para 2.2

874

1. I refer you to the minutes of the last OED/BC liaison meeting which read as follows:

"Ministers had decided on Colvin House as the best site for co-location of the Consulate-General, Immigration Section and the British Council. The next step was the approval of the Chinese authorities and the

Land Commission, which was expected in spring 1991. British Council wished to maintain a separate identity, but whether this implied a separate building or a separate entrance to a joint building depended on planning and design".

2. With the next liaison meeting in mind (15 May) and conscious that we have had little contact since the November meeting, we are anxious to know how far the negotiations have progressed, and also whether the financial position of the Council in the proposed project remains the same. Specifically, can you

confirm

2.1 whether we yet have the appoval of the Chinese authorities and the Land Commission?

2.2 that the British Council will receive £6 million of the £25 million PESC bid (which will cover the new development) and that our £6 million will be allocated direct to us to cover our proportion of the development.

2.3

our understanding that there will be no rent payable by the Council, except possibly a nominal rent on the site.

Perhaps we could discuss in broad terms at the liaison meeting followed

We should, however, appreciate a

by a more specific meeting thereafter.

statement in writing from you confirming if you can the points raised in paragraph 2

John Chandler:

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1 I attach extracts from the Secretary of State's bidding minute to the Chief Secretary to the Treasury and

Mr Blatherwick's supporting letter. If you need help to decipher the figures I will be pleased to go through them with you.

2 The next stage in the PES process is likely to begin in July when the Treasury traditionally ask supplementary questions on some of our bids and/or ask for further information on possible offsetting cuts to accommodate the proposed new spending. RMD will seek Departments' help as necessary in answering the Treasury's questions.

3 The outcome of the PES round is likely to be known sometime between late September and the end of October. Until then, no assumptions can be made about the success of any bid. The 1990 PES round will be exceptionally difficult and the only prediction that can safely be made about the outcome is that few, if any, bids will be met in full. Some are almost bound to fail completely.

4 The rush and difficulty in putting the figures together this year will, I hope, reinforce the need within OED for forward planning and objective setting.

Sex below

E. Chandle

AP 409

Ext 8023

Н.К.

In Loose The CG Builoung alove is likely to coor them. The tram mention can hose in

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I find not only

but why

Residence

5 staff accom

5 June 1990

J CHANDLER

JM355.M MANAGEMENT IN CONFIDENCE/COVERING CONFIDENTIAL

80%

My bids for Hong Kong include provision for Vietnamese Boat People, for the expansion of English language teaching and other reinforcement of educational development.

The latter two

initiatives are to bolster confidence in Hong Kong's future and

Funds are also ensure continuing educational links with the UK. needed for the construction of a new purpose-built office complex to house the Consulate-General and the British Council, which will provide the base for British representation after 1997.

Vietnamese Boat People

Educational Development

Consulate-General Building

-

1991/92

20.00 (-)

1.50 (-)

(-)

1992/93

18.00 (-)

1.58 (-)

1993/94

18.50 (-)

7.00 (-)

1.67 (-)

12.00 (-)

し

Totals

21.50 (-)

26.58 (-)

32.17 (-)

12. The demand for visas, particularly in Eastern Europe, is increasing rapidly. Funding and visa staff manning levels have

In the 1989 Survey, future growch to keep pace with this demand.

was predicted at 4%. over 10% in 1989 quarter of 1990.

In fact, visa applications increased by and in Eastern Europe alone by 30% in the first

Statistical returns predict continued growth at over the PES period. 10% to 12% p.a.

On the assumption that no new visa regimes will be established in the Survey period, the additional funding requirement will be:

1991/92

1.19 (1.07)

1992/93

4.06 (3.72)

1993/94

8.75 (8.05)

13.. We must make provision for the cost of arrangements for the UK Presidency of the European Community in the Year of the Single

Market, 1992.

1991/92

1992/93

1993/94

UK Presidency

0.50 (0.50)

3.84 (3.84)

(-)

CONFIDENTIAL