Our ref
Your re
HKG/680/1
Direct line
071 389 4810
Direct fax
071 389 4141
Mrs Deborah Barnes Jones
Hong Kong Department
FCO
London SW1
The British Council
118
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
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NEW BUILDING
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RECE
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INDER
- 1 DEC 1993
25 November 1993
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I understand that OED have proposed a draft for a letter to the Treasury which includes a reference to the British Council terms of occupation. This I expect is the letter you intend to circulate for agreement beforehand. CRD have been in touch with our top management and advised that this, at present, includes a reference to a rent review mechanism that will, in the long-term, deliver an economic rent. Top management have discussed this internally and find it difficult to accept as a condition of colocation.
The idea of a rent review moving towards economic rents goes much further than the proposal that we give up any 'savings' we might make from the move. We would therefore suggest that the notion of 'rent' and 'rent reviews' be dropped and that the letter discusses arrangements specifically to do with any savings we might make. These arrangements could then be reviewed after a period.
Perhaps we could discuss this further on the telephone today?
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Romesh Gunesekera
Assistant Regional Director East Asia & Pacific
Ма Валли Mr Bara Jones
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I spoke with Mr. Gune Schiera This
morning and told him that would not be in today. I said that the had pose not yet been issued and suggested that L
wend with pw Smith initially had a
in OED.
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