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Hong Kong housing
Opinion
SCMP Editorial

Editorial | Hong Kong public housing abuse cannot be tolerated

  • Scandal of former police officer already with expensive property under his name highlights need to get tough on cheats

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Subsidised flats are precious public resources and must not be abused. Photo: Sam Tsang

Fair allocation of public resources is an integral part of good governance. This is especially important when it comes to the use of subsidised housing, an essential but inadequate welfare service for the needy in our society. Over the years, multiple rules have been laid down to ensure only the eligible can benefit, but abuses are still found from time to time.

The latest scandal concerned a retired police officer who was found to have bought a Home Ownership Scheme flat in 2020 despite having a HK$73 million (US$9.3 million) property under his name. As a public housing tenant, he was allowed to surrender the rental unit in return to purchase, without any means tests, a 291 sq ft subsidised flat in Kwai Chung with a down payment of HK$110,000. The case only came to light after he had been arrested in connection with the high-profile murder of his former daughter-in-law last month.

The revelation was met with outrage, not just because it was a flagrant case of abuse. The government also conceded that it had never required public housing tenants, the so-called green form applicants, to undergo income and asset tests when buying subsidised flats. This is different from the ban on buying that applies to non-public housing residents with properties.

Over the years, some public housing tenants have earned enough to buy subsidised or more upscale properties. The less stringent purchase rule for these tenants is meant to encourage more households to surrender their rental flats and help speed up the allocation of public housing. But it also means many can continue to take advantage of the system.

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Officials have rightly plugged the loophole by banning public housing tenants with local properties from buying. It is regrettable that actions were taken only when the scandal came to light. Properties in mainland China and overseas are still not covered.

The government, to its credit, has been exhausting different ways to build more public flats. But it has to work equally hard to evict those who are no longer qualified for subsidised housing. It is hardly acceptable when well-off tenants can abuse the system while the queue and waiting time for flat allocation lengthen. Subsidised flats are precious public resources and must not be abused.

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