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WEDNESDAY, JUNE 2, 1993

IF THAT WERE ALL THE MOTION MEANT, I WOULD BE HAPPY TO AGREE WITH IT. WE IN THE ADMINISTRATION YIELD TO NOBODY IN OUR CONCERN FOR THE VULNERABLE, FOR THOSE AT RISK. THE WHOLE HISTORY OF THIS ADMINISTRATION BEARS WITNESS TO OUR CONCERN FOR THE WELL-BEING OF THE ORDINARY CITIZEN OF HONG KONG. AND OUR CONVICTION THAT A CARING GOVERNMENT MUST PROVIDE A SAFETY NET FOR THOSE WHO NEED IT. WE ALL KNOW THAT ESSENTIAL SERVICES SUCH AS EDUCATION, MEDICAL AND HEALTH CARE AND SOCIAL WELFARE ARE AVAILABLE TO ALL, EVEN IF THEY CANNOT AFFORD TO PAY FEES. I BELIEVE THAT THE MEASURES OUTLINED IN THE GOVERNOR'S SPEECH LAST OCTOBER, AND IN MY RECENT BUDGET, PROVIDE AMPLE EVIDENCE THAT WE CONTINUE TO BE COMMITTED TO HELP THE VULNERABLE.

A

MR FUNG ALSO MENTIONED TAX POLICIES. WE IN THIS ADMINISTRATION ALSO YIELD TO NOBODY IN OUR DETERMINATION TO KEEP TAXES AT REASONABLE LEVEL, AND TO RELIEVE THEIR PRESSURE ON THE LESS WELL-OFF. THIS IS AGAIN EVIDENT FROM THE MAJOR TAX CONCESSIONS IN THE LAST BUDGET. AND FROM THE FACT THAT ABOUT HALF THE POPULATION PAYS NO SALARIES TAX WHATSOEVER.

BUT MR FUNG GOES FURTHER THAN THIS, AND WHILE I ADMIRE HIS ELOQUENCE AND SINCERITY, THIS IS WHERE WE MUST PART COMPANY. THE THRUST OF HIS ARGUMENT IS THAT IT IS WRONG FOR THERE TO BE A SIGNIFICANT DIFFERENCE IN PEOPLE'S INCOMES "DISPARITY BETWEEN RICH AND POOR" MEAN AND SOCIAL POLICIES TO REDUCE THIS DIFFERENCE. FOLLOW MR FUNG DOWN THIS PATH WOULD BE A MAJOR BREAK WITH THE PHILOSOPHY THAT HAS HITHERTO SERVED HONG KONG SO WELL. AND I BELIEVE IT WOULD BE A WRONG PATH TO FOLLOW. LET ME EXPLAIN WHY.

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THAT'S WHAT THE WORDS AND THAT WE SHOULD USE TAX I HAVE TO SAY THAT TO

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ONE OF THE GREAT STRENGTHS OF HONG KONG HAS BEEN AND THAT WE ARE GENERALLY MOTIVATED NOT BY ENVY BUT BY A DESIRE FOR IMPROVEMENT WHEN WE SEE A SUCCESSFUL MAN, WE SEEK TO EMULATE HIM, NOT TO DRAG HIM DOWN. AND CONTRARY TO WHAT MR FUNG SAYS I BELIEVE YOU ALL KNOW THAT WE HAVE ACHIEVED GREAT SOCIAL MOBILITY IN HONG KONG THERE ARE GOOD EXAMPLES OF IT INDEED IN THIS CHAMBER.

THAT HEALTHY ATTITUDE THAT I HAVE JUST DESCRIBED HAS BEEN FOSTERED BY CLEAR AND CONSISTENT GOVERNMENT POLICIES, WHICH HAVE THE GENERAL SUPPORT OF THE PUBLIC, RICH AND POOR

POLICIES TO ENSURE MERIT CAN FIND ITS WAY TO THE TOP, THAT TALENTS CAN BE FULLY DEVELOPED THROUGH SUBSIDIZED

EDUCATION;

POLICIES TO PROVIDE INCENTIVE FOR HARD WORK BY A LOW TAX SYSTEM;

POLICIES TO PROVIDE A SAFETY NET FOR THOSE WHO NEED HELP, THROUGH OUR SOCIAL SPENDING ON HOUSING, ON WELFARE. ON HEALTH AND ON HOSPITALS - AND IT IS WORTH RECALLING THAT WE ARE CONTINUALLY UPGRADING OUR EFFORTS HERE. Ι REFER FOR EXAMPLE TO THE SANDWICH CLASS HOUSING SCHEME, AND то THE MAJOR IMPROVEMENT IN SOCIAL SECURITY BENEFITS WITH EFFECT FROM 1ST JULY THIS YEAR.

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/BUT MR

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