Promote Fertility and Create a Childbearing Environment
113. Hong Kong's birth rate remains at its lowest level. The average parity of local couples dropped to a record low of 0.9 in 2022. Meanwhile, Hong Kong has among the longest life expectancies in the world – the proportion of elderly persons aged 65 and above will increase from 20% of Hong Kong's population to nearly one-third by the end of the next decade.
Support Families with Newborns
114. Childbearing is a major life decision involving many considerations. As experience and research worldwide make clear, government policies alone cannot boost fertility substantially. Nevertheless, it is imperative that the Government set a firm policy direction to encourage childbearing amid our persistently low birth rate. To that end, we will implement the following measures:
Newborn Baby Bonus – We will provide a one-off cash bonus of $20,000 for each baby born today or after in Hong Kong to a parent who is a HKPR. This measure will last for three years and will be reviewed then;
raise the accommodation-related tax deduction ceiling – Starting from the year of assessment 2024/25, we will raise the deduction ceiling for home loan interest or domestic rents from the current $100,000 to $120,000, an increase of 20%, for taxpayers who live with his/her first child born today or after until the child reaches the age of 18;
priority arrangement for SSFs – The HKHA will introduce the "Families with Newborns Flat Selection Priority Scheme" to raise the chances for families with newborns to purchase SSFs. Starting from the HOS sale exercise next year, a quota of flats will be reserved for balloting and priority flat selection by family applicants with babies born today or after until the children reach the age of three. In each of the HOS or GSH sale exercise, an additional 10% of the total number of flats will be reserved for the purpose of selection priority; and
priority arrangement for PRH allocation – The HKHA will introduce the "Families with Newborns Allocation Priority Scheme" to advance the allocation of PRH flats for families with newborns. Under this scheme, applications of families that have babies born today or after will have their waiting time for PRH flats reduced by one year. This arrangement will take effect from next April.