Not just another year, 2025 could set course for the future

A key general election is in the offing and issues such as cost of living, jobs and birth rates are being addressed.

- Terence Ho

The year that has ended – 2024 – was a momentous one for Singapore. The nation saw a new prime minister sworn in and witnessed groundbreaking policy and legislative moves that have redefined the labour policy landscape.

But it is the year that we have ushered in – 2025 – that could prove to be the game changer. It is a year that marks SG60 – Singapore’s 60th birthday. It is also a year in which Singapore goes to the polls.

The general election, with Prime Minister Lawrence Wong and the 4G leadership at the helm, will be a watershed one. Much rides on the outcome of this election, which could set the direction and tone for the nation for the next five years and beyond.

The election will undoubtedly see hot-button issues like the cost of living and immigration intensely debated. Hopefully, there will be as much attention on the longer-term vision for Singapore, particularly policies to take Singapore further in the direction of a more inclusive society.

COST OF LIVING

Expectations are high for Budget 2025 to address the cost of living. While inflation has receded from the post-pandemic highs of 2021–22, prices for many goods and services are now significantly higher than they were a few years ago.

PM Wong noted in his speech at the People’s Action Party Convention that, around the world, frustration with the cost of living had resulted in governing parties losing vote share in elections held in 2024.

The Government has not waited for the Budget to roll out support. A property tax rebate for 2025 has already been announced. National Service LifeSG credits have been disbursed, while adult Singaporeans have also received cash payouts under the Assurance Package in December. Further support is likely forthcoming in Budget 2025, with its size dependent on Singapore’s fiscal position before the current term of government ends.