Advertisement

How Hong Kong’s war on poverty can be won

Paul Yip says even though policy intervention has had some effect on poverty rates, real change requires a better job market and training to boost income levels among the poorest, along with a combination of community effort and visionary government planning

Reading Time:4 minutes
Why you can trust SCMP
Members of the Society for Community Organisation march to the government headquarters to demand more poverty reduction measures in the Hong Kong chief executive’s policy address, on October 5. The 2017 policy address, delivered on October 11, pledged more resources for poverty alleviation and the disadvantaged. Photo: Sam Tsang
The latest Commission on Poverty report reveals that the poverty rate in Hong Kong – or the number of households earning less than half the median household income – went up slightly, from 19.75 per cent in 2015 to 19.9 per cent last year. The number of people in poverty rose by 7,000, whereas the city’s population increased from 7.29 million to 7.34 million in 2015-2016. Counting the government’s recurrent cash benefits, the poverty rate dropped from 19.9 per cent to 14.7 per cent in 2016.
Advertisement

The Hong Kong government has spent considerable resources on achieving this reduction. Nevertheless, the continued increase in the number of older-adult and single-parent households has brought extra difficulties, as their poverty rate is worse than that of the general population.

Groups contributing more to the poverty rate rise included singleton households aged 65-74 and 75 or over, and three- and four-people households with young people aged 15-24. But a very notable reduction in poverty among four- or five-people households with children under 14 was observed.
The increase in poverty among households with young people can be related to unemployment, especially among early school leavers, and the improvement among large households should be linked with the government’s targeted subsidy for poorer families with young children, the Low-income Working Family Allowance.

Third of Hong Kong’s poorest children ‘going without regular meals of meat or fish’

Hong Kong Chief Secretary and Commission on Poverty chair Matthew Cheung Kin-chung (second left) releases the latest poverty report, along with (from left) government economist Reddy Ng, Labour and Welfare chief Law Chi-kwong and the deputy commissioner for Census and Statistics, Marion Chan Shui-yu, in Tamar on November 17. Photo: Xiaomei Chen
Hong Kong Chief Secretary and Commission on Poverty chair Matthew Cheung Kin-chung (second left) releases the latest poverty report, along with (from left) government economist Reddy Ng, Labour and Welfare chief Law Chi-kwong and the deputy commissioner for Census and Statistics, Marion Chan Shui-yu, in Tamar on November 17. Photo: Xiaomei Chen

What does it mean to be poor in Hong Kong?

Advertisement