MPs hold lively debate on keeping public housing affordable, accessible

Ramping up BTO supply urgently, capping flat prices among suggestions

- Ng Keng Gene

MPs weighed in on the issue of public housing affordability on Monday, with suggestions that ranged from urgently ramping up the Build-To-Order BTO) flat supply to capping prices of four-room BTO flats.

They were debating two motions one tabled by National Development Minister Desmond Lee that called on Parliament to affirm the Government’s commitment to keeping public housing affordable and accessible while meeting the needs of present and future Singaporeans, and the other by Progress Singapore Party Non-Constituency MPs Leong Mun Wai and Hazel Poa for a review of government policies to keep public housing affordable and accessible.

In his speech, Mr Leong proposed that Singaporeans who live in the same flat their entire lives be exempted from paying for land cost to keep homes affordable. Several People’s Action Party MPs rose to question his proposal.

Here are some key points raised by MPs on day one of the debate, which continues on Tuesday.

INCREASING SUPPLY OF BTO FLATS

Workers’ Party MP Louis Chua Sengkang GRC) questioned if the Government’s plan to build up to 100,000 flats between 2021 and 2025 is adequate to meet demand.

He noted that with the Government launching 23,000 flats each year in 2022 and 2023 35 per cent more than in 2021 BTO supply should fall by 20 per cent to about 18,400 flats in 2024 and 2025.

While building an average of 20,000 BTO flats yearly between 2021 and 2025 would be an increase from the 17,000 flats built per year from 2016 to 2020, it is still 13 per cent below the average of 23,000 flats built yearly from 201 to 2015, he said.

BTO application rates have climbed to new highs over the past decade, he said, citing how it has increased from 2.8 times in 2012 to 5.6 times in 2021.