Starting October, each household will pay an additional HK$10 to HK$128 each month, or an average of HK$51.
Chairman Stephen Cheung described the hike as fairly mild and acceptable, given that the figure was lower than the increase in inflation over the last two years, as well as the accumulated increase in the minimum wage over the same period.
He said the authority also faces higher costs.
“Following a 2.04 percent rent increase, the financial surplus will rise by HK$540 million,” Cheung said.
“But everyone has to remember that the costs for management and maintenance have also increased. So, I suspect that the 2.04 percent hike may not offset the rise in costs.”
The city had about 820,800 public rental households as of March this year, and the chairman called on those with financial difficulties to turn to the Housing Authority for assistance.
The authority would decide whether or not to grant them rent relief for a certain period depending on the situation.
He said that the authority had been reviewing the scheme to see how they could speed up the approval process as well as look into the eligibility criteria.
Meanwhile, Cheung also said that the rent adjustment mechanism would not be changed at the moment, as it is working effectively and representative, adding that consistency is crucial.
Public rental housing rent would be reviewed every two years and adjusted based on the changes in tenants’ overall household income.
