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CONFIDENTIAL V\X \ 4-0 Treasury Chambers, Parliament Street, SW1P 3AG O1-233 3OOO 14th November, 1978 CABINET A ll A »..: 1 5 f4"V PILING INST FILE No. OFF 2 \\ RUC UGANDAN ATTACK ON TANZANIA M Please refer to Stephen Wall's letter of 9th November to Bryan Cartledge on the above. In the light of the discussion in Cabinet yesterday I am writing to inform you that the Chancellor of the Exchequer would have no objection in. principle to the supply of a really modest amount of military equipment to Tanzania. He has noted that identified savings in the PCO Vote in the current financial year should be sufficient to more than cover additional expenditure (.including the costs of military assistance to Zambia). In the light of all the circumstances, the Chancellor takes the view that the 'modest supplies' to President Nyerere should be covered by residual savings on the vote for the current financial year. I have copies this letter to the Private Secretaries to the Secretary of State for Defence, the Foreign Secretary and Sir John Hunt. 0 CP.K. JONES) J, Private Secretary B.G. Cartledge, Esq., Private Secretary, 10, Downing Street CONPIDENTIAI