HOUSING
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charged at $55.30 per square metre for the newest urban estates and $31.70 for the newest New Territories estates, domestic rents represent, on average, 8.5 per cent of the median household income of Housing Authority tenants. Rents are reviewed every two years, taking into account rates increases, maintenance, location, facilities, and tenants' ability to pay.
Housing Subsidy Policy
Under a modified housing subsidy policy introduced in April 1993, tenants who have lived in public housing for 10 years or more, and whose incomes are more than twice but less than three times the waiting-list limit, are required to pay 1.5 times the rent plus rates. Tenants whose income exceeds three times the waiting list income limit are required to pay double rent plus rates. There are some 332 700 households with 10 years' residence in public housing, and 16 per cent of them are required to pay extra
rent.
In December, the Housing Authority published proposals to ensure that public housing subsidy is enjoyed by those most in need. In future, tenants already paying double rent and whose household income and net assets exceed specified limits will be required to pay market rent or to move out. The public consultation period will end in March 1996.
-Rent Assistance
Temporary relief is granted to domestic tenants facing financial hardship. Those whose rent-to-income ratio exceeds the qualifying percentages as a result of an increase in rent or a reduction in household income, may apply for a reduction of rent for 12 months, subject to annual review. In 1995, 920 families received rent assistance under the scheme. Tenants who continue to face financial difficulty after receiving assistance for 24 months may seek a transfer to cheaper housing in the same district with a domestic removal allowance and a rent-free period of one month.
Allocation
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In 1995, 21 943 new flats and 15 688 refurbished flats were let to the various categories of eligible applicant. Some 9 809 flats (26 per cent) went to waiting list applicants. Applicants are considered in the order of their registration and in accordance with their choice of district. Accommodation is offered to those who are eligible in respect of their family income and residence in Hong Kong (normally seven years). There were 149 047 applications on the general waiting list at the end of the year and 23 917 applications on the single-person waiting list, established in January 1985.
Two other large groups of allocation were tenants affected by the comprehen- sive redevelopment programme (32 per cent), and families affected by development clearances (20 per cent). The remainder of the flats were allocated to junior civil servants, victims of fires and natural disasters, occupants of huts and other struc- tures in dangerous locations, and compassionate cases recommended by the Social Welfare Department. The Housing Department has computerised the information on applicants to enable faster allocation and duplication checks.