The following is issued on behalf of the Hong Kong Housing Authority:

     The Hong Kong Housing Authority (HA)'s Subsidised Housing Committee (SHC) discussed at its meeting today (October 31) how best to focus efforts in allocating limited public rental housing (PRH) resources to applicants with more pressing need.

     The SHC noted the results of the special analysis of the housing situation of general PRH applicants conducted by the Housing Department (HD) every year. Of the general applicants who were still waiting for PRH as at end-June 2016, a considerable number of those with longer waiting time were three-person or four-person households who opted for the Urban or Extended Urban Districts. With the completion of some large-scale PRH estates in the Urban and Extended Urban Districts, the impact of housing more applicants who have waited for a long time for PRH in these districts on the average waiting time is expected to become more apparent in future quarters. Furthermore, those with particularly long waiting time often involve special circumstances such as change of household particulars, reinstated applications which were previously cancelled (applicants are ineligible for housing during the cancellation period), etc.

     The SHC also noted the latest figures of PRH application at the meeting. As at end-September 2016, there were about 152 500 general applications (i.e. family and elderly one-person applicants), and about 134 000 non-elderly one-person applications under the Quota and Points System (QPS). The average waiting time for general applicants was 4.5 years. Among them, the average waiting time for elderly one-person applicants was 2.4 years. Waiting time refers to the time taken between registration for PRH and first flat offer, excluding any frozen period during the application period (e.g. when the applicant has not yet fulfilled the residence requirement, the applicant has requested to put his or her application on hold pending arrival of family members for family reunion, the applicant is imprisoned, etc). The average waiting time for general applicants refers to the average of the waiting time of those general applicants who were housed to PRH in the past 12 months. The average waiting time target of around three years is not applicable to QPS applicants.

     In light of the increasing demand for PRH, the SHC considered that while the HA was making the best efforts to increase PRH supply, it was necessary to examine how to better utilise PRH resources in parallel to ensure that the HA could focus its efforts towards allocating PRH resources to those with more pressing need. After discussion, Members agreed to implement the following starting from 2017-18:

(a) Merging the Territory-wide Over-crowding Relief Exercise and the Living Space Improvement Transfer Scheme, and reducing the number of flats earmarked from about 2 000 flats every year currently to about 1 000 flats, so that more flats can be released for allocation to PRH applicants. After the two transfer schemes are merged, priority will still be given to overcrowded tenants with an internal floor area below 5.5 square metres per person. In addition, transfer schemes will be arranged in the latter half of each year in order to expedite flat allocation to PRH applicants;
 
(b) Reducing the two rounds of flat selection each year under the Express Flat Allocation Scheme to one round, so that reserved flats can be released earlier for the HD's allocation under the normal procedures; and
      
(c) Stepping up enforcement actions against tenancy abuse to convey the HA's determination in combating tenancy abuse and the message of proper use of valuable PRH resources to the community.

     The SHC also examined a few existing policies, including the "Well-off Tenants Policies", the Grant of New Tenancy Policy, the policy on allowing PRH household members to apply for another PRH unit, and the Under-occupation Policy. Members expressed in-principle views on the relevant issues. Taking into account Members' preliminary views, the HD will submit detailed proposals for Members' further consideration.

     "Some issues discussed at the meeting today are controversial, and relevant options will not have an immediate effect in reducing the average waiting time in the short term. Therefore, the supply-led principle under the Long Term Housing Strategy remains indispensable in addressing the supply-demand problem of PRH. However, in light of the increasing demand for PRH, it is still necessary for us to put up these issues for discussion in order to better allocate PRH resources to applicants with more pressing need, and to enable relevant policies to be more equitable," a spokesman for the HA said.

Ends/Monday, October 31, 2016
Issued at HKT 19:35

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