The surge in flat prices following the announcement of the mortgage interest allowance was only temporary, said Deputy Secretary for the Treasury. Martin Glass said the $100,000 allowance would not boost prices. 'That may be a short-term reaction to the budgetary measures, part of the feel-good factor the Budget has generated for the economy,' he said. He expected more people to fall back into the tax net next year, following concessions that free some 250,000 taxpayers. 'They will come back due to pay increases. We regard our measures as neutral,' he said. He would not be drawn on whether the public would face a double-digit rise next year after a decision to freeze fees and charges. 'We are prepared to take a flexible approach . . . If there are large fee increases well above inflation, we can contemplate phasing them in year by year,' he said. Meanwhile, pressure is mounting on Financial Secretary Donald Tsang Yam-kuen to set up more funds to improve services. Speaking at a weekly forum, Democratic Party economic affairs spokesman Sin Chung-kai said some of the reserves should fund service improvements. Hong Kong Progressive Alliance provisional legislator Choy So-yuk called for a loan fund for small and medium-scale enterprises. 'These companies have been hit by soaring interest rates . . . the Government ought to help them,' she said. Deputy Secretary for the Treasury Carrie Lam Cheng Yuet-ngor said a $2 billion science park package and a $500 million trust fund to help small and medium-sized firms get loans would be put to the finance committee on Friday.