263 debates and bills about cost of living
Parliamentarians questioned the government on fuel and electricity price hikes, supply chain risks, and support for households and businesses due to Middle East conflicts. They sought assessments of impacts on LNG, trade, and SMEs, and asked about measures like price controls, grants, and strategic reserves to mitigate shocks.
Abdul Muhaimin Abdul Malik asked about the trend in utility bill arrears and support for lower-income households facing arrears. Goh Hanyan reported that the percentage of households in arrears for six months or more has decreased from 0.5% to 0.2% over the past five years. The Government offers targeted support like U-Save rebates for eligible households and various community and social assistance schemes, with flow restrictors installed for severe arrears rather than cut-offs. Abdul Muhaimin raised concerns about the U-Save rebate system not considering households with higher utility needs due to caregiving responsibilities, and Goh Hanyan acknowledged the need for further consideration of these circumstances for enhanced support.
Lee Hong Chuang questioned the Prime Minister on whether the distribution of CDC vouchers to all Singaporean households, regardless of income, could worsen cost-of-living issues due to demand-pull inflation. Shawn Huang Wei Zhong responded that there is no evidence linking the CDC Vouchers Scheme to increased inflation, and noted that overall inflation has actually moderated. The government regularly assesses the effectiveness of its measures, including the Assurance Package, which has expanded to provide greater financial support during inflationary periods. Additionally, targeted support programs exist for vulnerable groups to help manage essential costs such as education and healthcare.
Elysa Chen asked about the comparison between real wage growth for the lowest 20th percentile of local workers and essential living costs over the past three years. Tan See Leng responded that from 2022 to 2025, nominal wages for full-time employed residents at the 20th percentile increased by 13.9%. During the same period, headline inflation was 8.3%, and core inflation was 7.8%. After adjusting for inflation, real wage growth for these lower-wage workers was 5.2%.
Assoc Prof Terence Ho raised concerns about the expected faster growth of non-domestic water demand and questioned how the Ministry for Sustainability and the Environment would ensure water affordability for households and whether industrial users should cover more costs. Grace Fu Hai Yien explained that water pricing reflects supply costs and scarcity, with heavier users, including industries, paying larger bills. The Government also offers targeted support for lower- and middle-income households, including U-save rebates and initiatives to promote water-efficient appliances, and provides Climate Vouchers to assist with these purchases.
Yip Hon Weng questioned the Deputy Prime Minister about the impact of the 10% US tariff on Singapore and the decrease in exports to the US. The Minister of State for Trade and Industry clarified that while the tariffs are not expected to directly affect Singapore's inflation, there could be indirect impacts from higher US prices affecting exports to Singapore. Despite the tariff situation, Singapore's import prices have decreased, resulting in lower inflation rates for consumers. The Ministry monitors macro price pressures and uses various indicators to assess impacts on different income groups, particularly lower-income households, to ensure targeted support.
Poh Li San asked how the HDB will ensure sufficient budget meal options in coffee shops for those unable to afford regular-priced meals following the introduction of optional budget meals. Chee Hong Tat referred to a previous response from the Ministry of National Development regarding budget meals, indicating there may be changes affecting lower-income residents due to the scrapping of the budget meal initiative.
Foo Cexiang raised a question regarding the need to ensure at least one budget meal option per stall at hawker centres managed by NEA in light of HDB's policy changes. Grace Fu Hai Yien responded that the NEA does not mandate budget meals at all hawker stalls but requires Socially-conscious Enterprise Hawker Centres (SEHCs) to offer value meals. SEHC operators must ensure at least one value meal is available per stall and consider operational costs in their pricing. The NEA will continue to require SEHC operators to implement measures that maintain food affordability and periodically review meal prices based on stallholder feedback.
Hazlina Abdul Halim asked the government when it would study the effectiveness of initiatives like the GSTV scheme and CDC vouchers in addressing cost-of-living issues and what cost control measures could be implemented for vulnerable Singaporeans. Indranee Rajah responded that the government regularly reviews these schemes and has enhanced the Assurance Package to offset inflation effects, increasing support from $6.6 billion in 2022 to over $10 billion by 2025. Structural supports, including Workfare and Silver Support, target vulnerable groups, while one-off assistance complements these measures. The government emphasizes broad-based wage growth, economic growth, and skill development as long-term solutions to cost pressures.
Assoc Prof Terence Ho raised concerns about the impact on budget meal options for lower-income residents following the decision to make budget meals optional for HDB coffeeshops, suggesting potential financial incentives for stallholders. He Ting Ru questioned the factors influencing the decision to discontinue mandatory budget meals and how the changes will be evaluated. Chee Hong Tat responded that while budget meals will be optional from January 2026, existing operators will continue to provide them until their tenancies end. HDB is increasing funding support for stallholders who offer budget meals and standardizing the scope of options provided. The new arrangement aims to balance sustainability for operators with the needs of residents.
Abdul Muhaimin Abdul Malik asked about measures to keep utility bills affordable for Singaporeans amidst rising energy costs and a shift towards greener energy. Gan Kim Yong explained that Singapore relies heavily on energy imports, and electricity prices reflect these import costs. The government encourages households to reduce bills by using energy-efficient appliances and offers financial support through Climate Vouchers and U-Save rebates, which can total up to $760 by 2025. Additionally, businesses are encouraged to invest in energy efficiency with government grants to support such initiatives.
Gerald Giam Yean Song asked if there would be an increase in Public Transport Vouchers to assist lower-income households with recent fare hikes and whether the government plans to maintain its previous goal of covering six months of fare increases. Jeffrey Siow confirmed that the voucher amount increased to $60 in 2024, mentioning that six months is a guideline rather than a limit. He also stated that households needing extra support can appeal for additional vouchers through online or community channels.
Dr. Choo Pei Ling questioned the Minister for National Development about HDB's mechanisms for monitoring food prices in rental coffee shops under its Price-Quality Method tender framework and whether there have been interventions due to affordability concerns. Chee Hong Tat responded that HDB conducts regular surveys on food prices but does not directly regulate them, instead focusing on providing a sufficient number of coffee shops to ensure diverse food options. He mentioned enhancements to the budget meal initiative to support operators in offering affordable meals, including specific meal options, while noting that nutritional requirements are generally not imposed.
Poh Li San asked about a potential review of the per capita household income benchmark for Comcare applicants due to rising living costs post-pandemic. Masagos Zulkifli confirmed that the benchmark is reviewed every two to three years and was last updated in July 2023.
Gabriel Lam raised concerns about the effects of illegal hawker stall subletting on food prices, particularly regarding hidden rent costs for consumers, the impact on younger aspiring hawkers, and measures to ensure fair access for new entrants. Grace Fu indicated that the National Environment Agency (NEA) opposes subletting and conducts inspections to prevent rent-seeking behavior, issuing warnings and termination notices to non-compliant stallholders. NEA promotes fair access for new entrants through a transparent stall bidding system, ensuring that applicants must personally operate their stalls and do not sublet, with clear terms outlined in tenancy agreements.
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