Hi, I heard this sutiped news too. I wanted to get long term F visa with multible entry, Bu I think very difficult. So, I have to go to Hong Kong for my business than I have to come back to Shenzhen, but if I go to HK, I will need to get new business visa. I'm not sure get new short term visa in HK. because I did not get any visa from HK before. Meanwhile, My wife and two daughters will come to Shenzhen via HK from my country, I'm not sure that they can get any term visitor or business visa easily.

Regarding your new passport, I don't understand why you will be in China illegally, when you get new passport. I think, British Embassy should give back to you both your new and old passports.