CE Ramps Up Student And Transport Subsidies

The Chief Executive, Carrie Lam, has offered an array of sweeteners to students and poor families in her policy address.

Lam said she’s aware that the costs associated with children starting a new school year pose a heavy burden on parents, and suggested regularising the one-off provision of a student grant which the Financial Secretary announced in August this year.

From the 2020/2021 academic year onwards, an annual grant of HK$2,500 will be given to all secondary and primary school students, as well as children in kindergarten. The grant is expected to benefit about 900,000 pupils across the city.

The Chief Executive added that her government will give a boost to kindergarten-age children by introducing a 20-month pilot scheme early next year, to provide early intervention for those who show signs of having special needs.

Another 2,500 free places will be provided under an existing after-school care programme, with various subsidies increased and eligibility requirements relaxed. More than 5,700 students and their families are expected to benefit from these measures.

Payments under the existing Working Family Allowance, meanwhile, will be increased by between 16.7 percent and 25 percent, while the child allowance will be increased substantially by 40 percent.

For a four-person household with two eligible children, for instance, beneficiaries will get 30 percent more – with the current HK$3,200 a month going up to HK$4,200.

Meanwhile, maximum payments under the existing Public Transport Fare Subsidy Scheme will be increased from HK$300 to HK$400.

People can claim up to one third of their monthly expenses on public transport – up from a quarter at present.

Lam said this will cost the government around HK$3.1 billion a year – up from the current annual expenditure of around HK$2.3 billion.