Government-subsidised housing may be revived by redeveloping old public estates now under the management of the Housing Society, Eva Cheng said yesterday.
The Secretary for Transport and Housing said there was strong public support for resuming the Home Ownership Scheme (HOS) - shelved in 2003 - as she released the preliminary results of a public consultation on ways to address growing demand for affordable homes.
She said the government was willing to work with the Housing Society to increase future flat supply. 'The [society] is studying its future plans. We are willing to work with it in providing subsidised flats and flats targeting low-income groups and the elderly,' she said.
However, Cheng warned that any subsidies would need to avoid fuelling a property bubble. She said: 'We have to adopt a careful approach.'
She said many people had expressed concern that, by encouraging people to buy their own flat, they could be left at risk if there was a property bubble in future.
Cheng said most respondents in the consultation had opposed giving a direct cash subsidy as it could encourage property speculation. They had also cautioned that some owners could face bankruptcy if interest rates rose abruptly.