New Hong Kong British Consul-General Andrew Seaton has pledged to promote local business ties with the United Kingdom and work with the city to address pollution concerns.

Seaton told reporters yesterday that business ties between the UK and Hong Kong should be strengthened with the presence of about 1,000 UK companies in Hong Kong.

He said Hong Kong is facing challenges to tackle the impact caused by the economic downturn in the United States, where he was posted between 2003 and 2007.

The impact will worsen with the rising inflation affecting food and energy prices, he added.

"It seems to me that the mood in Hong Kong is very much dominated by how the economy is going," he said. "If we do see some level of economic downturn this year, then clearly there will be a challenge for the Hong Kong government to respond to that."

But Seaton said the mood of Hong Kong people has turned upbeat since his last position in Hong Kong as the Deputy Consul-General and Trade Counsellor of the British Trade Commission between 1995 and 2000.

He recalled that Hongkongers had faced uncertainty regarding the region's relationship with the mainland, and they had to cope with the aftermath of the Asian Financial Crisis in 2000.

However, he believes that Hong Kong people are now more confident with economic development and more comfortable with the mainland.

He believes the Hong Kong community is also more concerned with the rising level of air pollution.

He said that taking measures to control climate change is the top priority of the UK government, and he will work with Hong Kong to address the issue.

"I will be very interested to look into whether there is more we can do to work together with Hong Kong to promote that agenda," he said.

Meanwhile, Seaton also defended UK Prime Minister Gordon Brown's decision not to attend the opening ceremony of the Beijing Olympics.

He said Brown, who planned to attend the closing ceremony instead, has no intention of boycotting the Olympics.

(HK Edition 04/23/2008 page2)