LegCo Panel on Housing
Concerns raised by members at the meeting on 3 May 1999
which require follow-up actions by the Administration

Rent Review for Public Rental Housing (PRH)


Members' concern

To provide data showing the median rent-to-income ratio (MRIR) for Housing Authority (HA) rental households from 1995 to 2009. The data should include a breakdown of the total number of households for different household sizes in different types of public housing, by rent and household income on a quartile basis.

The Administration's reply

The MRIR are compiled on the basis of the rent-to-income ratio of individual households. Data showing the MRIR for HA rental households from 1995 to 1998 are at Annex. (The 4th quarter 1998 rents are affected by the rates rebate in that particular quarter.) Due to uncertainty in household income growth, it is not possible to project their data for 1999 to 2009.

Members' concern

To conduct a rent review exercise for PRH prior to implementation of the rent increase in September this year after the one-year rent freeze period. The review should take into account the impact of unemployment and pay cuts on tenants, as well as the MRIR of PRH households.

The Administration's reply

Section 16(1A) of the Housing Ordinance does not allow rents of public rental housing (PRH) estates to be varied in less than three years after coming into effect, and requires that the overall MRIR of all HA rental households shall not exceed 10% after any rent adjustment. The rents of the 104 PRH estates involved in the September 1998 rent review exercise were determined last July and will hold good for three years with effect from 1 September 1998. To help affected tenants during the current economic adjustment, the HA waived the amount of additional rent payable by the tenants for the first year (without recouping the rental foregone in the second and the third years). The Rental Housing Committee (RHC) of the HA will discuss this matter on 31 May 1999.

Members' concern

To complete the aforementioned exercise before HA's annual rent review for selected PRH estates and the determination of rents of new estates in July this year.

The Administration's reply

The matter will be discussed by the RHC on 31 May 1999


Housing Department
May 1999

(C:\PR-RENT.Doc)


Median Rent-to-Income Ratio of HA Rental Units
1st Qtr 1995 to 4th Qtr 1998



(%)
19951Q8.4
2Q8.5
3Q8.4
4Q8.7
19961Q8.6
2Q8.6
3Q8.7
4Q8.9
19971Q9.0
2Q9.1
3Q9.1
4Q8.9
19981Q8.8
2Q8.9
3Q9.3
4Q*8.6


Note : * Rent for this quarter is affected by the rebate of rates during the quarter.

Source : General Household Survey conducted by Census & Statistics Dept.




Rent-to-Income Ratio of HA Rental Households by Household Size by Block Type


1st Qtr 1995
Block Type1P2P3P4P5P6P+Overall
Harmony** 9.59.111.7* 10.2
NHA18.612.7 9.18.38.46.4 8.9
Mark type/FGLCH/FHA16.88.9 6.84.84.3 3.56.4
HA Rental17.611.9 8.57.87.7 5.98.4
2nd Qtr 1995
Block Type1P2P3P4P5P6P+Overall
Harmony**10.3 9.610.5*10.3
NHA21.412.79.4 8.58.36.58.9
Mark type/FGLCH/FHA18.58.5 6.44.94.5 3.96.4
HA Rental19.711.3 8.78.07.6 6.08.5
3rd Qtr 1995
Block Type1P2P3P4P5P6P+ Overall
Harmony**9.5 10.49.0*10.2
NHA20.913.09.2 8.57.86.88.8
Mark type/FGLCH/FHA15.68.9 6.45.24.7 3.46.4
HA Rental18.211.68.7 8.17.36.48.4
4th Qtr 1995
Block Type1P2P3P4P 5Pt6P+Overall
Harmony**10.7 11.110.4* 11.3
NHA19.813.99.6 8.78.27.49.3
Mark type/FGLCH/FHA 15.29.2 6.04.94.94.1 6.4
HA Rental17.712.08.8 8.27.86.78.7


Source : General Household Survey conducted by Census & Statistics Department.

Note : * Figures not shown because of their small sample size.


Rent-to-Income Ratio of HA Rental Households by Household Size by Block Type


1st Qtr 1996
Block Type1P2P3P4P5P6P+Overall
Harmony**11.3 11.79.2* 11.7
NHA19.413.39.5 8.68.16.69.0
Mark type/FGLCH/FHA 16.09.46.05.1 4.34.56.5
HA Rental18.211.4 8.88.17.5 6.18.6
2nd Qtr 1996
Block Type1P2P3P4P5P6P+Overall
Harmony*14.611.7 11.310.39.3 11.5
NHA18.613.19.2 8.48.16.68.9
Mark type/FGLCH/FHA 15.29.76.0 5.15.34.3 6.8
HA Rental17.111.8 8.58.17.8 6.38.6
3rd Qtr 1996
Block Type1P2P3P4P5P6P+Overall
Harmony18.415.9 11.711.610.4 7.311.5
NHA19.813.49.4 8.58.36.5 9.1
Mark type/FGLCH/FHA14.89.3 6.05.14.9 3.66.4
HA Rental18.012.2 8.88.07.8 6.38.7
4th Qtr 1996
Block Type1P2P3P4P5P6P+Overall
Harmony20.415.0 11.210.510.2 7.811.5
NHA20.813.6 9.68.48.5 6.79.3
Mark type/FGLCH/FHA15.4 9.56.05.0 4.73.76.7
HA Rental18.312.1 8.98.07.9 6.48.9


Source : General Household Survey conducted by Census & Statistics Department.

Note : * Figures not shown because of their small sample size.

Rent-to-Income Ratio of HA Rental Households by Household Size by Block Type


1st Qtr 1997
Block Type1P2P3P4P5P6P+Overall
Harmony24.417.0 12.511.4 10.39.8 12.1
NHA20.414.5 9.78.58.0 6.99.3
Mark type/FGLCH/FHA 16.210.06.5 5.14.94.7 7.3
HA Rental19.212.98.9 8.17.76.79.0
2nd Qtr 1997
Block Type1P2P3P4P5P6P+Overall
Harmony21.816.4 12.012.19.2 7.711.6
NHA20.713.69.8 8.88.16.9 9.4
Mark type/FGLCH/FHA 17.010.46.6 5.75.34.3 7.5
HA Rental19.312.8 9.18.47.8 6.79.1
3rd Qtr 1997
Block Type1P2P3P4P5P6P+Overall
Harmony23.715.5 11.411.59.3 8.711.7
NHA21.713.7 9.78.57.9 6.99.3
Mark type/FGLCH/FHA16.511.0 6.65.75.5 4.47.8
HA Rental19.5 12.89.18.27.6 6.59.1
4th Qtr 1997
Block Type1P2P3P4P5P6P+Overall
Harmony23.518.2 12.311.310.2 8.512.3
NHA21.713.89.1 8.27.76.68.9
Mark type/FGLCH/FHA15.810.9 7.06.45.05.1 8.3
HA Rental19.212.98.8 8.07.36.48.9


Source : General Household Survey conducted by Census & Statistics Department.

Rent-to-Income Ratio of HA Rental Households by Household Size by Block Type


1st Qtr 1998
Block Type1P2P3P4P5P6P+Overall
Harmony16.514.8 10.411.6 10.68.811.7
NHA17.312.59.1 8.37.67.08.9
Mark type/FGLCH/FHA 14.711.47.1 6.24.5*8.1
HA Rental16.112.2 8.88.17.4 6.88.8
2nd Qtr 1998
Block Type1P2P3P4P5P6P+Overall
Harmony19.714.9 10.911.310.0 8.211.6
NHA17.413.39.4 8.27.96.89.1
Mark type/FGLCH/FHA14.511.27.15.95.5* 7.9
HA Rental16.312.7 8.98.07.6 6.68.9
3rd Qtr 1998
Block Type1P2P3P4P5P6P+Overall
Harmony22.614.912.7 11.210.910.2 12.7
NHA18.513.3 9.78.58.3 7.09.6
Mark type/FGLCH/FHA13.4 10.06.76.0 5.1*7.7
HA Rental16.812.5 9.18.48.0 6.89.3
4th Qtr 1998
Block Type1P2P3P4P5P6P+Overall
Harmony18.013.4 11.910.78.8 10.311.7
NHA16.712.1 9.08.17.3 6.68.8
Mark type/FGLCH/FHA 12.89.86.9 6.25.4*7.7
HA Rental15.311.6 8.57.97.1 6.48.6


Source : General Household Survey conducted by Census & Statistics Department.

Note : * Figures not shown because of their small sample size.