It is on the island that the majority of the British residents dwell, but Liukungtao does not occupy with respect to the mainland the same all-important and dominating position that Hongkong occupies (or did till recently occupy) with regard to the Kowloon peninsula and the New Territory. The seat of the British Government of Weihaiwei is on the mainland, and the small group of civil officers are far more busily employed in connexion with the administration of that part of the Territory and its 150,000 villagers than with the little island and its few British residents and native shopkeepers. The British administrative centre, then, is the village of Ma-t'ou, which before the arrival of the British was the port of the walled city of Weihaiwei, but is gradually becoming more and more European in appearance and has been appropriately re-named Port Edward. It lies snugly on the south-west side of the harbour and is well sheltered from storms; the water in the vicinity of Port Edward is, however, too shallow for vessels larger than sea-going junks and small coasting-steamers. Ferry-launches run several times daily between the island and the mainland, the distance between the two piers being two and a half miles. Government House, the residence of the British Commissioner, is situated on a slight eminence overlooking the village, and not far off are situated the Government Offices and the buildings occupied, until 1906, by the officers and men of the 1st Chinese Regiment of Infantry. At the northern end of the village, well situated on a bluff overlooking the sea, is a large hotel: far from beautiful in outward appearance, but comfortable and well managed. A little further off stands the Weihaiwei School for European boys. It would be difficult anywhere in Asia to find a healthier place for a school, and certainly on the coast of China the site is peerless. [Illustration: IMAGES OF "MR. AND MRS. LIU" (see p. 27).] Elsewhere in the neighbourhood of Port Edward there are well-situated bungalows for European summer visitors, natural sulphur baths well managed by Japanese, and a small golf course. Other attractions for Europeans are not wanting, but as these pages are not written for the purpose either of eulogising British enterprise or of attracting British visitors, detailed reference to them is unnecessary. It may be mentioned, however, that from the European point of view, the most pleasing feature of Port Edward and its neighbourhood is the absence of any large and congested centre of Chinese population. The city of Weihaiwei is indeed close by--only half a mile from the main street of Port Edward. But it is a city only in name, for though it possesses a battlemented wall and imposing gates, it contains only a few quiet streets, three or four temples, an official _yamên_, wide open spaces which are a favourite resort of snipe, and a population of about two thousand.