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Medical savings plan moves step closer

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Mary Ann BenitezandStella Lee

It is one of a dozen ideas intended to cut the Hospital Authority's deficit

The government will discuss plans for a health savings scheme with lawmakers in June, with the Hospital Authority facing a deficit of $600 million.

In a green paper released in December 2000, the government proposed that all workers aged 40 to 60 contribute 1 or 2 per cent of their monthly income to a Health Protection Account scheme.

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Studies costing $2 million had looked into the feasibility and implications of the scheme.

Deputy Secretary for Health, Welfare and Food Thomas Yiu Kei-chung told the Legislative Council health services panel meeting yesterday: 'We have jointly examined the issue with universities and by June we will be able to come to this panel to discuss initial findings.'

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The medical savings scheme is one of 12 measures that the Hospital Authority is considering to help solve its deficit problem.

'On the question of health-care financing, on many occasions people have told me that we must face this issue. We must come up with proposals,' said the authority director for professional services, Ko Wing-man.

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