HENRY KISSINGER has welcomed Oxford University's new American Institute as a milestone in Anglo-US relations.

The former American Secretary of State was speaking before a groundbreaking ceremony for the £20m institute, to be sited between Rhodes House and Mansfield College.

Dr Kissinger, who is a member of the founding council, said: "I am delighted that the permanent home of the Oxford American Institute will soon become a reality."

The veteran statesman said it represented "an important intellectual centre and milestone in the historic relationship between the UK and the United States."

Oxford University's Vice-Chancellor Dr Colin Lucas was joined at yesterday's ceremony by Lord Rothermere, chairman of the Daily Mail and General Trust plc, who donned a hard hat. The University raised £13m for the project, with the Rhodes Trust contributing £4m and the Rothermere Foundation £2m for a state of the art library.

There was also a message of support from President Reagan's Secretary of Defense Caspar Weinberger,who said: "It will strengthen the already fine relationship that exists between our two countries."

The institute will be a research centre in American history and politics. Building work will start in July on the site, currently occupied by derelict outhouses.

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