-32in 2001-02) would be insufficient. It was also estimated that the requirement
for 2003-04 would be well in excess of $18 billion.81
84.
This was seen as a threat to the system’s sustainability:
“Firstly, against the general economic situation and high unemployment, the number
of families and individuals requiring support by Government is bound to increase. To
sustain this safety net, we have to ensure our existing resources go further to meet the
increasing demand. Secondly, prices for goods and services have come down
considerably even as measured specifically by the SSAIP.82 ... Thirdly, the HKSAR
Government is facing some unprecedented budget deficits and of the Government is
committed to restoring fiscal balance by 2006-07 as announced by the Financial
Secretary...”83
85.
The Government therefore decided to reduce the CSSA and SSA
standard rates of payment:
“For fiscal reasons and to ensure that we could continue to meet increase in demand, it
is therefore proposed that the CSSA and SSA rates should be adjusted downward; that
the over-adjustments in standard rates for able-bodied recipients under the CSSA
Scheme, and those of the non-means tested [Disability Allowance] under the SSA
Scheme should be recouped in one go through an 11.1% reduction from June 2003 ....
and for non-able-bodied CSSA recipients, namely the elderly, the disabled and those
medically certified to be in ill health, the 11.1% reduction the standard rates will be
effected in two phases, first by 6% from October 2003, followed by the second phase
adjustment from October 2004.”84
86.
Again, in my view, the rational connection between the
sustainability objective and those across-the-board reductions of the standard
rates is plain to see.
J.3
The seven-year residence requirement
87.
The Government’s case in support of the seven-year requirement
based on rising cost is unfocussed and sparse. Mr Cheung points to rising
public expenditure on social welfare generally (reaching $32.8 billion in 200681
Ibid, §5.
82
Social Security Assistance Index of Prices.
83
Legco Brief HWF CR 2/4821/58 (03) Pt 68, §4, 25 February 2003.
84
Ibid, §6.
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