Sessional_Paper_1891 — Page 197

HONGKONG. No. 47.

193

No. 1941.

HONGKONG.

DESPATCH RESPECTING MILITARY CONTRIBUTION,

.

Presented to the Legislative Council, by Command of His Excellency the Governor, on the 30th April, 1891.

DOWNING STREET,

7th March, 1891.

SIR,

With reference to my Despatch No. 33 of the 13th instant, I have the honour to inform you that I have given careful consideration to the views of the Un-official Members of the Legislative Council regarding the increased Military Contribution as expressed in the memorandum which formed the 4th enclosure to Mr. FLEMING'S Despatch No. 449 of 22nd December last, to the effect that the contribution should not be increased until the garrison has been brought up to its full strength.

2. In reply to this memorandum I have to point out that if the Colonial contribution covered the whole cost of the garrison, there would, in my opinion, be just grounds for claiming a rebate for deficient numbers which is generally granted under such circumstances, but as the contribution bears only a small pro- portion to the total cost not only of the garrison ultimately to be provided, but of that which is actually present in the Colony, no such claim arises in this case.

3. I am unable to admit the allegation that the demand for the increased contribution was based solely upon the proposed further increase of the garrison; for in paragraph 15 of my Despatch No. 8 of 20th January, 1890, I laid down the general principle that the Colonies, so far as their means allow, should provide the whole cost of their land defence.

4. It must also not be forgotten that the strength and the cost of the garrison have considerably risen since the contribution of £20,000 a year was fixed in 1863 with the intention of increasing it at the end of five years, an intention which was never carried out. In that year the garrison consisted of 1,000 of all ranks, and its cost was £100,000 whereas the garrison now present in Hongkong, according to the latest returns, is 1,700 of all ranks, and the cost is about one hundred and eighty thousand pounds (£180,000).

5. The estimated revenue of the Colony for 1891 is 2,052,098 dollars, or more than three times the revenue of 1863. In my Despatch of 20th January, 1890, the charge of £40,000 was estimated to amount to 17 per cent. of the revenue of 1888, but owing to the subsequent growth of the revenue and the appreciation in the value of silver, the charge now only represents about 11 per cent. of revenue as against 16 per cent. when the contribution of 1863 was fixed.

6. Under these circumstances Her Majesty's Government do not consider that any grounds exist for delaying the payment of the full contribution of £40,000.

7. I take this opportunity of informing you with reference to paragraph 8 of Mr. FLEMING'S Despatch No. 82 of 1st April, 1890, that it is proposed to raise the Indian Battalion for service at Hongkong from among the Mahomedans of Upper India, and steps are being taken to organise the corps as soon as may be practicable.

I have the honour to be,

Sir,

Your most obedient,

humble Servant,

KNUTSFORD.

Governor

SIR G. WILLIAM DES VEUX, K.C.M.G.,

&c.,

&c.,

&c.