ENG-1995 — Page 229

HOUSING

Policy Review

In November, the government embarked on a review of its long-term housing strategy. The review, scheduled for completion in mid-1996, will consider what changes in current policies are required to meet forecast demand for public and private housing and will enable the government to set housing production targets for the period up to April 2006.

Organisational Framework Housing Branch

The Secretary for Housing has overall responsibility for public and private housing matters in Hong Kong. Set up in November 1994, the Housing Branch is respon- sible for setting government policy on the provision of housing in the public and private sectors. It oversees the public housing programmes, monitors the operation of the private housing market, and ensures the provision of sufficient land and infrastructure to meet housing targets.

Housing Authority

The Housing Authority is an independent, statutory body responsible for carrying out Hong Kong's public housing programmes. The Housing Department is its execu- tive arm. Established in 1973, the authority plans and builds public sector housing, either for-rent or sale. It manages public housing estates, Home Ownership Scheme (HOS) courts, temporary housing areas, cottage areas, transit centres, flatted factories, commercial facilities and other community and ancillary facilities throughout the territory. Increasingly, it has contracted out the management of some of these facilities to private agencies. It also administers the Private Sector Participation Scheme (PSPS) and the Home Purchase Loan Scheme, and acts as the government's agent to clear land and control squatting.

The government provides land on concessionary terms and finance, where necessary, to enable the authority to meet the government's public housing targets. At the end of March, the government's capital investment and contribution stood at about $31.4 billion. This comprised non-interest-bearing permanent capital of $13.5 billion, loan capital of $12.5 billion, contributions to domestic housing of $4.8 billion and non-domestic equity of $600 million. The historical value of land provided on concessionary terms was $141.9 billion.

Housing Society

The Housing Society is an independent, non-profit-making organisation, established in 1948. It provides housing for specific low-income groups in Hong Kong. At the end of 1995, it had 32 307 rental housing units and 8 791 flats for sale under the Urban Improvement and Flats-for-Sale Schemes. Its annual production averaged about 1 684 flats over the past five years.

The society administers a sandwich-class housing scheme on behalf of the govern- ment. The main scheme provides subsidised flats for sale to middle-income families who are neither eligible for public housing programmes nor able to afford a private- sector flat. An interim loan scheme provides low-interest loans for the purchase of flats in the private sector.

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