Income and asset limits for public rental housing for 2023/24

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17th March 2023 – (Hong Kong) The Subsidised Housing Committee (SHC) of the Hong Kong Housing Authority (HA) has approved the proposed income and asset limits for public rental housing (PRH) applicants for the year 2023/24. The new limits will take effect from 1st April, 2023.

The PRH income and asset limits are subject to annual review as per the established mechanism. The HA spokesperson stated that if a review is conducted strictly in accordance with the formula, the PRH income limits for households with six or more persons will be adjusted upwards while those for one to five-person households will be adjusted downwards.

However, the SHC has taken into consideration the ongoing impact of the COVID-19 pandemic on the livelihoods of low-income families, which are a target group for PRH. Hence, the SHC has endorsed a continuation of exceptional treatment and has proposed to freeze the income limits for one to five-person households at the current levels of 2022/23. Meanwhile, the income limits for households with six or more persons will be adjusted upwards as per the established methodology. The SHC has also proposed a 1.9% upward adjustment of the PRH asset limits for all household sizes in line with the established mechanism.

The PRH income limits are derived using a household expenditure approach, which considers housing costs and non-housing costs, along with a 5% contingency provision. Housing costs are based on the differential unit rents of private accommodation per square metre and reference flat sizes. Non-housing costs are determined based on the results of the latest Household Expenditure Survey conducted by the Census and Statistics Department. Adjustments are made in intervening years using the latest movements in the Consumer Price Index (CPI)(A), excluding housing costs, or the change in the nominal wage index as the income factor, whichever is higher.

The PRH asset limits are adjusted annually based on the movements in CPI(A) over the year. The SHC’s endorsement of the proposed income and asset limits is aimed at providing affordable housing to low-income families in Hong Kong during these challenging times.