DP’s Response to the Policy Address 2010-2011

The Chief Executive tabled his policy address today. The Democratic Party is disappointed by the scant attention it pays to public aspirations and the inadequacy of its measures to combat poverty. In recent months, a clear consensus in the community has already been arrived at with regard to the resumption of the Home Ownership Scheme. The view is supported by 80% of the Hong Kong population and endorsed by the Legislative Council.

But the Government has chosen to ignore it. The DP regrets this. The policy address has failed to meet public aspirations on other fronts, such as 15-Years of Free Education, small class teaching in secondary schools, and the abolition of appointed seats in District Councils. The Democratic Party is pleased, however, that some of its other recommendations have been adopted.

We are pleased the Government has decided not to introduce legislation for Article 23 of the Basic Law during Donald Tsang’s term as Chief Executive. We are glad for a commitment to long-term planning for stable housing and land supply, and for proposed legislation to regulate the sale of new flats. And we are encouraged by an emphasis on animal rights with promises on improved adoption and contraceptive services for strayed dogs and cats The Hon Lee Wing Tat, DP’s spokesperson on housing policy, reiterates that the “Home Ownership Scheme” is more preferable to the “My Home Purchase Plan” The HOS offers more extensive coverage, helps low-income families just beyond the public housing income limit purchase their flats on discount. Whereas the proposed “My Home Purchase Plan” is afflicted with four major problems.

First, flat supply under this scheme is limited. Only 1,000 units will be available by 2014. Second, the rent value accumulated over the 5 years is most unlikely to be capable of meeting the first payment which is 30% of the price of the property. Participants of such a scheme will find it difficult to purchase and own their home. Third, with property price continuously on the rise, whatever value accumulated over the 5 years of tenancy would be “swallowed” up and disappeared into the black hole of inflation.

The ‘normal’ property market value is simply beyond the reach of most. Fourth, the “Plan” seeks mainly to provide coverage for families of the sandwich class and excludes those just beyond the public housing income limit. Lee finds it a piece of good news that the Government has adopted the DP’s proposal to regulate the sale of first-hand flats by legislation. He hopes that the Government will follow the “White Paper Bill” process to fast track the legislation and that the law will be enacted within a year.

The Hon. Cheung Man Kwong, DP’s spokesperson on Education, observes that while the Government appears to be taking tertiary education seriously, it pays scant attention to elementary education. He finds it a positive development that there will be 500 more subsidized undergraduate places and an additional quota of 2,000 places for associate degree holders, plus a new proviso for HK$2.5 billion for the self-financing tertiary sector. Cheung believes the $2.5 billion would go much further if it could be applied to a tertiary education voucher system.

This would benefit everyone eligible for university admission. The DP is urging the Government to taker concrete measures to improve people’s livelihood. The “My Home Purchase Plan” should give way to the resumption of the “Home Ownership Scheme” A policy for piece-meal poverty-relief should yield to long-term planning of a comprehensive nature. The Kindergarten Voucher System should lead to 15-Years of Free Education. Small class teaching in primary should be extended to small class teaching in secondary.