TNAG-0876-FCO40-1086-Development-of-social-welfare-policy-in-Hong-Kong-1979 — Page 11

Government for most of their financial resources since overseas assistance has declined substantially. The Lotteries Fund also makes a significant contribution, allocations having risen from $7.8 million in 1973 to about $20 million in 1978. Historically, most social welfare activities have been financed through discretionary grants. With most agencies now relying heavily on public funds and in view of the scale of developments envisaged in the coming decade, the Government is examining its present policy on social welfare subventions with the object of giving greater financial security to agencies involved in providing services in high priority areas and also to ensure that the increasing public funds being devoted to welfare services are well-spent in meeting planned objectives.

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Paragraphs 5.6 to 5. 10 of the White Paper examine the relationship between social security payments and direct social welfare services. The conclusion is that there is no inherent overlap between the two, since social security provides financial help for those who are unable to be fully self-supporting, whereas social welfare services are for those who have a need for such services. At present most social welfare services are government financed and to a large extent cater for those with limited financial means. For the reasons outlined in paragraphs 5.8 and 5.9 of the White Paper, the Government does not propose that there should be any general change to reliance on private welfare services, paid for by the user of the service who would be helped through social security or other individual subsidies. However, it is proposed to conduct experiments in encouraging the growth of non-profit self-financed services in appropriate fields, such as child care centres and homes for the aged.

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There is at present no consistency in the fees charged for services provided by the voluntary sector with the assistance of Government subvention. Practices vary from agency to agency. The Government is convinced that the key to establishing a satisfactory relationship between social security and social welfare services lies in a consistent and effective policy on fees for social welfare services, having regard to the considerable improvements made in social security benefits in recent years and to an increasing demand for new and better social welfare services. To assist the voluntary agencies, guidelines for fee charging are now being formulated. These guidelines will attempt to strike a balance between the need not to discourage users of a particular service on the one hand, and the need, on the other hand, to ensure that the aims of individual services and cash benefits are met and that misuse of a particular service is not unwittingly encouraged because it is free.

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