NDP Rally 2018: Housing and Healthcare for the Future

Prime Minister Lee Hsien Loong revealed ambitious long-term plans aimed at improving public housing and healthcare in his National Day Rally speech yesterday.

HOUSING

In housing, residents in selected Housing Board precincts will be given the option of selling their flats to the Government before their leases expire.

The new Voluntary Early Redevelopment Scheme (Vers) is aimed at the progressive redevelopment of older HDB towns over two to three decades as the Government buys back flats that reach about 70 years of age.

Residents in the selected precincts can vote whether to take up the Government's offer, unlike the Selective En bloc Redevelopment Scheme (Sers), which is compulsory and meant for selected HDB blocks or precincts with high redevelopment value. (See table at right.)

They can then use the proceeds to buy a new flat.

Delivering his speech at the Institute of Technical Education College Central campus in Ang Mo Kio, Mr Lee said: "If we do not plan ahead, 99 years later, all the leases in such towns will expire around the same time. These towns will become construction sites all over again... I don't think this is a good idea."

While Vers will start only in 20 years' time, Mr Lee said planning for it will begin now.

"We need time to work out how to select the precincts, how to pace the redevelopments out, the specific terms of the Government's offer and so on," he said.

Mr Lee also announced that every HDB flat will be upgraded twice in its 99-year lifespan under the Home Improvement Programme (HIP) and HIP II.

The existing HIP, which covers flats built up to 1986 that reach 30 years of age, will be extended to flats built up to 1997.

The new HIP II, to be launched in 10 years' time, will upgrade 60 to 70-year-old flats a second time. 

Bedok resident Tan Bak Hua, 49, said the buy-back price offered by the Government would be his main consideration whether to vote yes to the Vers scheme.

"I bought a 40-year resale flat about 20 years ago at a high price, so I would vote no if the price offered is unattractive," he said.

HEALTH

PM Lee also announced a number of key changes to the healthcare financing framework.

This includes the Merdeka Generation Package for the 500,000 Singaporeans born from 1950 to 1959, most of whom are in their 60s and have retired or will soon be retiring.

In 2014, the Pioneer Generation Package (PGP) was launched to support the healthcare needs of Singaporeans born before 1950.

Mr Lee said: "Together with the Pioneer Generation, the Merdeka Generation contributed to building Singapore... I think we owe something to them."

They have similar healthcare concerns as the pioneers, Mr Lee said, and "are looking at their CPF savings and Medisave accounts, worried about having enough for their medical needs as they grow older".

"A significant sum" will be set aside to implement this package, which will cover similar areas as the PGP, including subsidies, MediSave top-ups, MediShield Life premium subsidies and payouts for long-term care.

BENEFITS

While more details will be announced next year, Mr Lee said the benefits will not be as good as those offered to the Pioneer Generation, since those from the Merdeka Generation are generally better off than their seniors.

In other changes, the Community Health Assist Scheme (Chas), which helps lower- and middle-income households with subsidies, will be extended to all Singaporeans with chronic conditions, regardless of income.

New polyclinics will also be built in Sembawang, Eunos, Kallang and Bukit Panjang by 2020 - and in Nee Soon Central and Tampines North by 2023.

By 2020, the Ministry of Health will roll out CareShield Life - a scheme to cover all Singaporeans born in 1980 and younger with an increased payout of at least $600 a month for as long as they live.

"Very few countries can make such long-term plans and anticipate needs and opportunities into the distant future," said Mr Lee.

"But in Singapore we can, and we will."

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