It is much harder to do this year's budget than the last one because the public's expectations are different, Financial Secretary Henry Tang says.

Speaking to the media after attending a radio phone-in programme today, Mr Tang said despite that an increase in revenues in a number of areas such as land sales and stamp duties, we still have $26 billion in debt to be repaid.

He said it is not right to be over-reliant on non-recurrent income to pay for recurrent expenditures.

As far as the fees and charges are concerned, Mr Tang said, those which will have no effect on people's livelihood and no direct effect on business will be taken forward.

Some of them have already gone to Legislative Council panels and have received their consent, he said.

"I believe Hong Kong people are realistic and genuinely supportive of Government measures on those regards," he said.

Noting that the verdict on the judicial review over civil servants' pay-cut legislation may have impact on the coming budget, Mr Tang said the Government respects the outcome.

"We are appealing to the Court of Final Appeal. The rule of law is one of the most important cornerstones of Hong Kong. We respect the outcome," he said.