Hong Kong's ranking of 71st in a global quality-of-living survey this year had the community up in arms. Regional rival Singapore secured 28th position in a table dominated by European cities, with Vienna topping the list for the second year in a row. Melbourne, Auckland and Wellington all placed in the top 20 of the annual survey by Mercer, a personnel consultancy. In Mercer's companion index of 'eco-cities' - which includes waste removal, air pollution and traffic congestion - Singapore ranked 22nd and Hong Kong finished 142nd. In another ratings survey on expatriate living conditions, published in March by consultancy ECA International, Hong Kong was again beaten by Singapore. We were ranked eighth in the region, with Singapore crowned the best city. Australian and Japanese cities again did well. Air pollution was highlighted by the consultancy as a major reason for Hong Kong's weak showing. Like Mercer, ECA measured factors such as housing, health services, leisure facilities, infrastructure, personal safety and air quality. But what about local residents' perceptions of the quality of life here? Chinese University's Quality of Life Index, measuring social, economic and environmental factors, showed a further downward movement last year. Housing affordability was seen to have worsened, and the human swine flu scare dragged down health factors. It appears that outside and domestic opinions converge: our quality of living is not satisfactory, and is perhaps even deteriorating in some respects. It is high time that the government and community firmly focused on improving Hong Kong's quality of life. Chief Executive Donald Tsang Yam-kuen has launched a plan for massive infrastructure construction. He has also dealt with the financial crisis and its aftermath (although we are still calling for continued support for small and medium-sized enterprises). Our economic links with mainland China have also been enhanced in depth and breadth, thanks to the joint efforts of government and business. For the remainder of Tsang's term, the business community feels that raising our quality of living should be high on his list of priorities. In the Hong Kong General Chamber of Commerce's submission to the chief executive on this year's policy address, we highlighted the importance of making Hong Kong a good place to live and do business. The goal is not just to improve the environment and attract and retain foreign talent, but to allow all who live and work here to benefit. The chamber's members, local and international firms alike, feel strongly about the need to clean up the environment. We have called for firm and decisive action to improve air quality, especially roadside emissions. The government should search for new ways to create incentives for the replacement of old buses and lorries, and to promote green transport such as electric cars and buses. We have also called for higher fuel standards for vessels. We support increasing the supply of land in order to meet people's need for housing. We have highlighted the urgent need for health care reform in view of escalating costs and the ageing population. We also urge the government to improve the overall planning and management of the Victoria Harbour waterfront, as part of the drive to preserve the city's rich heritage. All these proposals have the objective of improving the quality of life. We believe that Hong Kong continues to enjoy advantages from its simple and low tax system, rule of law, strategic location, knowledge of the Chinese mainland market and vibrant capital markets. But the quality-of-life issues are reducing our attractiveness. It is crucial that we as a community tackle them decisively, with a sense of urgency, and the government has a key role to play in its success. Hong Kong has always had an open economy. The government regulates and facilitates, but there are always different views on whether it is doing too much or not enough. We have always believed that, as long as the environment is attractive, businesspeople and others will stay, and more will come to our shores. We must translate our beliefs into action, and work to improve both the physical and human environment. This means pushing to the forefront many issues that might not have been our highest priorities before - clean air, rich heritage, an accessible waterfront, high-quality health care and adequate housing. Hong Kong is one of the best places in the world to do business. We should also turn it into a good place to live. Alex Fong is chief executive of the Hong Kong General Chamber of Commerce