Coll 29/86 'Diplomatic and consular expenditure: incidence; revision; general' [‎234r] (467/561)

be made,if India’s proposals are accepted otherwise,
to pay for three years a fixed annual contribution
in aid of Foreign Office expenditure of an amount
approximately equal to the difference between what
India pays under the existing system of division
and what she will pay under the new system - say,
(taking the 1923-24 figures used in this note)
£7000 or £7500 a year;
(3) as a last resort the offer might be made to
bear one-half instead of one-third of the cost of
Bushire.
(2) , which the Government of India in their
telegram of the 25th June 1926. expressed their
willingness to agree to only in the last resat ,
is here put before (3), because it is felt that
(3) alone would probably not secure an agreement
witn the Foreign Office, whiek (2) alone conceivably
might. Also.(3) is really the larger concession
of the two, and it is undesirable to make it if it
can be avoided.
The cost of (2) alone is roughly £22,000, spread
over three years. The cost of (3) alone would be,
on present figures, roughly £5,000 a year,
continuing indeiinitely. The cost of making both
concessions would be £7,000 or £7,500 a year for
three years, plus £5000 a year thereafter.
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