British Prime Minister Tony Blair said Thursday that serving and retired fighters of the army's famous Ghurka Brigade would be allowed to settle in Britain.

But the law applies only to those demobilised after July 1, 1997, the day Britain disbanded its Hong Kong regiment and returned the city to Chinese control.

"The law has been stacked against Hong Kong's Gurkhas, they have been deliberately left out," said Hem Thapa, an agent at Gurkha International, an employment agency that finds work for former Gurkhas who still live here.

"Those who went back to Nepal will definitely be making some noise about this -- many were definitely counting on Britain offering them citizenship."

The Gurkhas have served in the British army since 1815 when they impressed officers with their valiant defence against British invasion.

The brigade was transferred to Hong Kong from Malaysia in the 1970s to help quell Chinese-communist fomented political unrest.

Some 7,500 were stationed here in 1997, but ahead of the handover Britain trimmed to brigade's numbers by some 5,000, the rest being redeployed around the world.

About half those demobbed remained in the city, taking advantage of the Beijing-backed government's offer of right of abode.

They boosted the community of former Gurkhas and their families to about 20,000, a spokesman at the Royal Nepalese Consulate General said.

With a motto "It's better to die than be a coward" and renowned for carrying their traditional Nepalese fighting knives, the 45-centimeter (18-inch) kukri, the Gurkhas are famous the world over as fearless, loyal fighters.