Nearly all Hong Kong residents to receive HK$10,000 in e-vouchers, but would cash serve some better?
- A centrepiece of finance chief’s budget is a doubling of last year’s consumption voucher handouts
- Some concern groups say cash handouts would have been more beneficial for poor residents who need support to pay rent and other bills
The government will hand out HK$10,000 (US$1,280) in digital vouchers to 6.6 million eligible Hongkongers, with the first half to be distributed in April, but some concern groups and politicians argue cash would serve many struggling residents far better.
In the final budget of the current government term, Financial Secretary Paul Chan Mo-po revealed on Wednesday a basket of relief measures for individuals and businesses, with a repeat of last year’s e-voucher scheme among the highlights.
Other one-off measures to ease the financial strain of residents included a salaries tax cut of up to HK$10,000 for more than 2 million residents, rates concessions totalling as much as HK$5,000 for residential properties, a HK$1,000 electricity tariff subsidy for every household, and a fee waiver for university entrance exams.
Additionally, the threshold for the public transport fare subsidy arrangement will be lowered from HK$400 to HK$200 between May and October, benefiting 3.8 million people at a cost of HK$1.08 billion to the government.
Another key relief measure was a tax reduction starting this financial year for tenants who also pay salaries tax or tax under personal assessment. The deduction is capped at HK$100,000 a year per person and the scheme is projected to cost HK$3.3 billion.
