Cash Allowance｜Groups worry about landlords' rent increase during the "open window period" to promote coverage of single applicants

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Written by: Zhang Jiamin

2021-06-17 20:40

Last update date: 2021-06-17 20:41

The housing problem in Hong Kong is serious. The average waiting time for public housing is 5.8 years.

The government announced that it will launch a three-year pilot cash allowance scheme starting next month to distribute cash allowances to grassroots families who have been waiting for public housing for more than three years and have not received CSSA.

However, single non-elderly public housing applicants will not benefit, and the authorities will review the plan only after three years.

Chen Yingtong, organizer of the Kwun Tong Residents Concern Group, questioned the authorities' reference to the CSSA rent allowance. He believed that the relevant target amount was not close to the current rent level. At the same time, he was worried that landlords would increase rent during the "open window" period when rent control was not implemented.

She also criticized the government for excluding single non-elderly public housing applicants. She suggested that the application criteria should be set for this group of people and the plan should be reviewed annually.

The Trial Scheme of Financial Subsidy is to distribute cash subsidies to grassroots families who have been waiting for public housing for more than three years and have not received CSSA.

(Profile picture)

The organizer of the Kwun Tong Residents Concern Group Chen Yingtong criticized that the plan did not cover single non-elderly public housing applicants, saying that they had been in contact with cases for more than 10 years, and they were also paying high rents. They believed that it was the policy of the authorities to transfer them to Waiting for public housing on a scoring system, "This is not the applicant's fault."

The rent ratio is more than 25% of income

At present, applicants of the scheme can receive a maximum of $3,900. The authorities stated that the level of subsidy would refer to CSSA.

Chen Yingtong pointed out that many CSSA recipients still need to pay additional rent, and questioned whether the CSSA as an indicator could not reflect the current rent level.

She pointed out that the ratio of rent to income should not be more than 25%, but many sub-divided households have exceeded the relevant level. In addition, due to the implementation of the cash subsidy scheme and the implementation of rent management, there will be at least half a year's window period, worrying that the landlord will take the opportunity to increase rent. .

She pointed out that the neighbourhood has received reports of rent increases, with a maximum rent increase of 500 yuan.

Urge to review the plan every year

She suggested that the authorities should consider setting application criteria for single non-elderly public housing applicants. For example, referring to the Housing Society’s "Subsidized Sale Housing Rental Scheme without Premium", the allowance should be demarcated based on waiting for public housing for six years or more.

The level of the allowance should be reviewed annually to adjust it in response to rent increases.

Single non-elderly public housing applicants are not benefited from the cash subsidy scheme.

(Information Picture/Photographed by Li Zetong)

The government does not understand the situation at the grassroots level

Ms. Poon, a member of the Kwai Chung Sub-Housing Residents Alliance, also criticized the plan for treating single non-elderly public housing applicants as unfair, saying that the policy is like discriminating against the group of people and the rent they pay will not be lower than that of family applicants.

She also pointed out that the government had introduced cash subsidies before the implementation of rent control, and questioned that landlords would take the opportunity to increase rents, "is it subsidizing landlords to set up neighbourhoods?"

The Director of Housing, Wang Tianyu, said today that the plan is to relieve the pressure of tenants and may not be used by applicants to pay rent. Ms. Poon criticized the relevant argument, saying that she did not understand the situation at the grassroots level and pointed out that many sub-housing tenants used most of their income Pay the rent, "Don't you pay the rent?" She pointed out that some tenants have been waiting for public housing for 9 years, and the plan has only been implemented for 3 years. She is worried that the tenants will not be able to go upstairs by then.

The Housing Department announced the application details of the cash subsidy program. Starting this month, application forms will be sent to 90,000 eligible applicants.

(Photo by Lu Yiming)

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