A separate joint statement from several central government departments said that mainland residents aged 18 and above could have their duty-free allowance raised to 12,000 yuan, or HK$12,900.

The limit could be further increased to 15,000 yuan, or HK$16,100, if they shopped at duty-free stores at border crossings.

Currently, visitors from across the border must pay a tax of 13 to 50 per cent to the central government for purchases made outside the mainland above a threshold of 5,000 yuan per trip, or HK$5,400, a measure introduced in 1996.

In comparison, the tax-free purchase limit for travellers coming back from the southern island province of Hainan stands at 100,000 yuan, or HK$107,400, per year.

Six crossings will be covered by the initial roll-out of the new limit: Lo Wu, Futian, Shenzhen Bay, the West Kowloon high-speed rail terminus, the Hong Kong-Zhuhai-Macau Bridge and Gongbei. The full implementation begins on August 1.

“The new measure will enhance the shopping experience for mainland resident visitors in Hong Kong and allow them greater flexibility when shopping, which is beneficial for Hong Kong in attracting more visitors and boosting the development of diversified tourism,” Lee said after the announcement.

Secretary for Culture, Sports and Tourism Kevin Yeung Yun-hung said that the central government had decided on the standard limit of 12,000 yuan “after careful consideration” that took into account various stakeholders’ opinions and suggestions from city authorities.

Asked about the higher allowance granted to Hainan, the minister brushed aside such comparisons as the circumstances in both locations differed.

Tang, who first lobbied for the increase, also encouraged Hong Kong’s tourism industry to step up efforts to attract visitors from the mainland and the rest of the world.

The Hong Kong Retail Management Association said the move was an “important step” in boosting spending among mainland tourists over the summer holiday.

“Hong Kong’s retail and catering industries should not rely solely on measures from the mainland,” the veteran politician said.

Sam Ng Hung-sum, managing director of Max Choice, a retail chain selling dried seafood and health supplements, said he hoped the increase would encourage immigration officers to ease checks for travellers.

He added that he hoped the move would mean a 20 per cent rise in sales among mainland customers.

“If they have to be taken aside and pull out receipts to prove that they don’t exceed the allowance, this can become a bad experience and they will spend less in Hong Kong next time so they are not checked,” he said.

Feng Zhihua, a tourist from Sichuan province, said the standard limit of 12,000 yuan was not enough when buying luxury goods in Hong Kong, adding she would rather visit Hainan.

“I will definitely go to Hainan if I have the need for luxury goods because I can get an allowance worth 100,000 yuan in one trip, ” the 40-year-old said.

The policy change will also affect travellers coming to Hong Kong under the individual visit scheme, which allows residents from 59 mainland cities to travel there without joining tour groups.

Under the shake-up, such travellers can purchase up to 15,000 yuan worth of items for each of the two permitted visits with every successful application, giving them a limit of 30,000 yuan.

Tourists are allowed to apply for more trips once their current pass has expired or been used up.

Additional reporting by Tom Shuai