Raising GST 'difficult' but needed to take care of seniors: Chee Hong Tat

GST revenue helps Govt provide support in areas like public transport, healthcare, he says

- Samuel Devaraj

Increasing the GST from 7 per cent to 9 per cent was a "very difficult decision" but one that was needed to "fulfil our promise to take care of seniors in an ageing society", said Transport Minister Chee Hong Tat on April 26.

Mr Chee, an incumbent MP for Bishan-Toa Payoh GRC, made the comments in a video on Facebook, addressing proposals made by several opposition parties to lower the goods and services tax to 7 per cent. In the video, he said raising the GST was a very tough decision, and that the Government would have avoided it if it could.

"We studied all the options, and without the GST increase, we would not be able to fulfil our promise to take care of our seniors in an ageing society," said Mr Chee, who is also Second Minister for Finance.

He added that the revenue generated from GST is part of the progressive system that helps the Government provide support in areas such as healthcare, education, housing and public transport.