Please use a Javascript-enabled browser. 041115en06002
news.gov.hk  
 From Hong Kong's Information Services Department
*
November 15, 2004
*
*
Housing
*

Rent adjustment mechanism needed: Michael Suen

*
Michael Suen
Policy explained: Secretary for Housing, Planning & Lands Michael Suen says the Government would not raise public housing rents - no matter which way a court decided in a rent policy challenge.

A public housing rent adjustment mechanism that can ensure sustainable development of the public housing programme is needed in the long run, Secretary for Housing, Planning & Lands Michael Suen says.

 

Speaking on RTHK's "Talkabout" programme today, Mr Suen said reference can be made to the existing the consumer price indices when doing the review.

 

The Court of Appeal will hand down its judgment on rental policy on November 22 and the Government will act in accordance with the court's verdict, he said.

 

If the verdict was not in the Government's favour, the Housing Authority would adopt a rent adjustment option of waiving the rent of the Comprehensive Social Security Assistance households and give a 10% rent reduction for other households. 

 

Public housing rents will not be raised

However, he said, even if the verdict favoured the Government, it will not raise public housing rents, adding that the Government will introduce measures to reduce tenants' burden.

 

Mr Suen denied that there will be a vacuum in the property market the next few years, adding that there are still 15,000 completed flats available for sale in the market.

 

In addition, he said, 48,000 units are being built and will be ready for sale in the next few years, excluding another 10,000 units which can be built immediately if there is a need in the market.