Millions of commuters will continue to receive a monthly handout to help cover public transport costs until April next year, Chief Executive John Lee announced in his Policy Address on Wednesday, extending a temporary fare subsidy scheme that has been in place since 2019.

The Public Transport Fare Subsidy Scheme had been scheduled to end on October 31, but travellers will now continue to receive a subsidy amounting to one-third of their monthly public transport expenses above $200 until April 30. The subsidy is capped at $500 per month.

"The Public Transport Fare Subsidy Scheme has been well received by the public. I hereby announce that the special temporary measures under the scheme will be further extended for another six months," he said.

The subsidy covers the MTR, franchised buses, ferries, trams and green minibuses, as well as designated red minibus routes. People can collect the previous month's subsidy from the 16th of each month at dedicated machines in stations.

The move is among a series of measures unveiled by the CE to relieve the financial burden on citizens and support enterprises, which also include continuing for a further year the interest-free deferral of loan repayments under student financial assistance scheme for higher education.