In an age where the internet and smartphones often bypass face-to-face or even voice-to-voice contact, physical mobility is important in countering social isolation among the vulnerable. In that respect, the government-subsidised HK$2 concessionary fare for senior citizens and the disabled on Hong Kong’s transport system is a stand-out welfare initiative. It helps them to remain active and avoid reclusiveness.

But it is not without a flaw that must be addressed – the ease with which it can be abused by those not old enough to qualify. This has given rise to increasing concerns about the cost of the scheme, especially since the previous administration lowered the eligibility threshold from age 65 to 60 in 2022.

As a result, Financial Secretary Paul Chan Mo-po revealed in his budget the government plans to carry out a review, as well as of the public transport fare subsidy scheme, to be completed by the end of the year. Chan said the annual cost of covering the difference between the HK$2 and regular fares had risen to about HK$4 billion in 2023-24, from HK$1.3 billion in 2019-20. Spending on the public transport fare subsidy scheme has doubled over the same period to about HK$3.5 billion.

Hong Kong ‘can raise fare in transport subsidy or launch proportional discount’

Abuse of the subsidy is not easily detected when there is heavy passenger traffic. In an ageing society where people are living longer, the cost of the scheme is becoming unsustainable. Figures previously tabled before the legislature revealed more than 25,000 suspected cases of abuse during routine ticket inspections and joint monitoring by the Transport Department and operators over the past three years.