The Hong Kong government may limit the use of the HK$2 public transport fare for elderly residents and other eligible individuals to eight trips per day, local media have reported.
Multiple local media outlets, including Ming Pao, HK01 and Cable News, reported on Friday citing sources that the authorities will amend the fare concession scheme amid the soaring subsidy costs and the city’s budget deficit.
The scheme currently allows residents aged 60 and above – and eligible persons with disabilities – to pay a flat fare for most public modes of transport. According to the reports, the government plans to retain the HK$2 fare for trips below HK$10. For fares above HK$10, however, the beneficiaries will need to pay 20 per cent of the original fare.
Each individual enjoying the HK$2 concession fare may only use it for up to eight trips per day, sources told local media.
The reported amendment of the scheme came days before Financial Secretary Paul Chan is set to deliver the 2025-26 Budget next Wednesday. The minister is expected to adjust the HK$2 scheme, after he revealed in the last budget that the annual expenditure of the programme had reached almost HK$4 billion.
The figure marked an increase of more than 200 per cent compared to the HK$1.3 billion spent in the 2019-20 fiscal year.
The HK$2 scheme was implemented in phases in 2012. The government said the purpose of the scheme was to “help build a caring and inclusive society by encouraging these groups to participate more in community activities.”
Last November, the authorities said 3,080 people were inspected for suspected abuse of the HK$2 scheme since the Transport Department and public transport operators stepped up joint enforcement actions in June 2023.
Seven suspected abuse cases were referred to the police for investigation, with two passengers among them prosecuted. Both were required to repay the underpaid fares as well as being fined up to HK$14,000.
Calls for the government to adjust the HK$2 came amid projections of a fiscal deficit for the third consecutive year. The finance chief estimated that the deficit for the 2024-25 fiscal year will be just below HK$100 billion.
Hong Kong logged a deficit of HK$122 billion and HK$101 billion in the fiscal years 2022-23 and 2023-24, respectively.
