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 * (b)

The Financial Secretary will be replaced by a Malayan Minister of Finance (see(3)(a) above). The Secretary for Defence will disappear and matters of external defence will be handled by the High Commissioner himself, matters of internal security being handled by the new Minister for Internal Defence and Security. The Minister for Economic Affairs (at present a member of Her Majesty's Overseas Civil Service) will be replaced by a Minister for Commerce and Industry, who may be either an unofficial or an official. The Chief Secretary and Attorney-General will continue to remain members of Her Majesty's Overseas Civil Service and to have seats in the Council.


 * (c)

There will be no significant change except in consequence of the changes noted in (b) above.


 * (d)

The British Advisers to the Rulers will be withdrawn within about a year's time. Their functions have already been overtaken by constitutional change and they no longer have an essential part to play in the administration of the Federation. There was therefore no good ground for opposition to the collective view of Their Highnesses the Rulers and Alliance Ministers that the British Advisers should be withdrawn.

III. (Annex B, paragraphs 10-22).

(1)

The proposed composition of the Commission is set out in Annex B. The Lord Chancellor very kindly agreed that Lord Reid should be invited to be Chairman and he has accepted. The United Kingdom member seems likely to be Sir Ivor Jennings, Master of Trinity Hall, Cambridge. The Governments of the other Commonwealth countries concerned are being approached through our High Commissioners with requests to suggest suitable members.

(2)

The terms of reference are set out in Annex D

There was some difficulty with the Malayan Delegation about the position of Her Majesty the Queen in relation to the British Settlements of Penang and Malacca, but the Conference ultimately recorded a clear understanding that nothing in the terms of reference should be taken to prejudge the recommendations of the Commission on this matter. It was also clearly understood by the Conference that (iv) of the terms of reference will not preclude the Commission from recommending that British subjects and subjects of the Rulers should retain their status as such even if they acquire the proposed common nationality for the whole of the Federation.

(3)

It was agreed that the Commission should be set up as soon as possible and that every effort should be made to avoid delay in the introduction of full self-government. The Alliance had committed themselves