Hong Kong cash handout scheme will cost government HK$330 million to administer
Administration fees to eat up 2.9 per cent of HK$11 billion scheme that gives up to HK$4,000 to eligible people
The government on Friday revealed it would spend HK$330 million to administer a cash handout scheme to give up to HK$4,000 each to eligible Hongkongers.
This means administrative costs will amount to 2.9 per cent of the HK$11 billion scheme, much higher than in 2011, when costs were only 0.5 per cent of a HK$37 billion giveaway.
In a paper submitted to the Legislative Council, the government explained that the bulk of the costs would go towards hiring 706 temporary staff and renting an office for a year, with the rest spent on IT, publicity and other operating expenses.
2.8 million Hongkongers to get cash handout of up to HK$4,000 each
It estimated that 3 million people would benefit from the handouts. They would need to apply to the Social Welfare Department’s Working Family Allowance Office, and applications would be open for a three-month period from February 1 to April 30 next year.
It was a remedial measure, after his budget announcement in February was panned for not doing enough for the needy. In the budget, he had dished out a combination of salary and profits tax rebates and increased old age and disability allowances for at least two million people.