Hong Kong lawmakers slam HK$20 billion welfare property plan as ‘failed’ policy

Hong Kong lawmakers have labelled the government’s HK$20 billion (US$2.6 billion) plan to buy properties for social welfare purposes as one of the biggest “failed policies”, citing that only up to HK$240 million has been spent on five premises over the past five years.

The government had earlier decided to downsize the scheme to HK$5 billion, saying it would not be “suckers” in deals with landlords even if there was an urgent need for places for social welfare.

The Labour and Welfare Bureau on Monday said in a Legislative Council panel meeting that the Social Welfare Department had considered 191 sale proposals as of March 31 this year and bought only five premises at about HK$240 million under the scheme launched in 2020.

The expenditure represented just 1.3 per cent of the original HK$20 billion earmarked by Finance Secretary Paul Chan Mo-po in 2019, for a plan to ease a long-term shortage of space for the elderly and children by providing service facilities to about 86,000 people.

“This policy has been one of the most failed policies in recent years,” lawmaker Michael Tien Puk-sun said. “The policy means you tell people you want to buy something while showing them what’s in your coffers. How much do you expect them to offer?”

He said the policy did not allow the government to report to Legco about each property deal with landlords.