Privatising Public Housing in Hong Kong: Its Impact on Equity

Abstract

Three processes are examined to assess the impact on equity of policies to privatise public housing in Hong Kong. These are changes in the inter-sectoral distribution of subsidies, changes in the quality and quantity of public rental housing, and changes in access to public housing. It is found that housing subsidies have remained concentrated in the public rental sector, and the quantity, quality and amenity of housing in this sector has actually increased. The Hong Kong Government has not sought to reduce eligibility for and access to public housing; the lengthy waiting list to join this tenure reflects increases in demand since the privatisation policy was introduced. Thus, unlike the experiences of many other countries, the Hong Kong Government's policy to privatise public housing has not had a notably adverse impact on housing equity to date.