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Hong Kong makes HK$550 million pledge to better compensate villagers forced to make way for new towns

Government says move is part of its ‘people-oriented philosophy’ and more than 8,000 households stand to gain from enhanced resettlement measures

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Drone aerial view taken from Hung Shui Kiu in the New Territories. Photo: Roy Issa
Naomi NgandErnest Kao

Up to HK$550 million (US$70 million) of Hong Kong taxpayers’ money will be spent in the next two decades on more generous rehousing and compensation terms for northern New Territories villagers forced to make way for new town developments.

Secretary for Development Michael Wong Wai-lun said the move was part of the government’s “people-oriented philosophy” and that more than 8,000 households would benefit.

For instance, those who opt for the government’s ex gratia compensation will just need to prove they had lived in their home for two years continuously, instead of 10 years, while the maximum allowance offered to them will double from the current HK$600,000 to HK$1.2 million. 

“We completely understand the concerns of those who are affected as a result of development and clearance exercises … therefore, with the new administration’s people-oriented philosophy, we hope the enhanced measures can pragmatically take care of different people’s needs,” Wong said at a press briefing on Thursday. 

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Providing more affordable flats for Hongkongers has been a priority for Chief Executive Carrie Lam Cheng Yuet-ngor since she took office last July, and her government has ramped up efforts to seek new sources of land. A public consultation on 18 options to boost land supply is under way.
Land supply options for public consultation
Land supply options for public consultation
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Officials had previously identified three northern New Territories sites as new towns – Hung Shui Kiu in the western part, and Kwu Tung North and Fanling North in the eastern part – to be ready from 2023 onwards.

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