The budget on Wednesday should focus on healthcare and Northern Metropolis tax incentives, experts and lawmakers said.

Speaking on RTHK's Backchat programme, DAB lawmaker Holden Chow called on Financial Secretary Paul Chan to give a blanket exemption from hospital charges for everyone who is on the Old Age Living Allowance in his blueprint next week.

Currently, only seniors aged 75 and above who receive the allowance are exempted from paying the higher hospital charges that were instituted as part of a fees revamp that came into force in January, but Chow said younger recipients aged between 65 and 75 should also be exempted.

"We received a lot of feedback from the elderly... It seems to us that the government, the budget, also the financial situation this year will turn better, unlike last year, so I think the government may be in a position to better look after the elderly," he said.

Ho Lok-sang, senior research fellow at Pan Sutong Shanghai-Hong Kong Economic Policy Research Institute at Lingnan University, proposed an additional allowance to CSSA recipients that is equivalent to the HK$10,000 cap on medical expenses to compensate people for having to pay the higher healthcare expenses, especially those with critical or severe illnesses.

As for research and development, Polly Wan, budget team lead partner at Deloitte China Hong Kong, called for tax incentives and other subsidies to encourage private firms to set up shop in the Northern Metropolis.

"Northern Metropolis has the advantage of being close to Shenzhen and the Guangdong area, so we believe certain incentives can help to attract them to set up R&D centres in Hong Kong and build up R&D capabilities," she said.

Streamlining administrative procedures and reducing red tape to speed up development and ensuring there are sufficient international schools to attract international talent are also needed for Northern Metropolis to develop as envisaged, Chow said.

On housing, Ho suggested increasing rents for public housing tenants whose household incomes are more than two times that of the income limit set for people on the waiting list, as part of efforts to enhance the housing ladder.

And in attempts to provide more performance venues for artists, the academic proposed utilising space at the Kai Tak Cruise Terminal and its vicinity, as well as areas in Tsim Sha Tsui and Wan Chai, for local arts demonstrations, training and rehearsals.

"They are always short of space. We have been talking about mega events, but we are forgetting the fact that a lot of our artists who can display their art and talent, and that is very attractive because you cannot find the same in other cities," Ho said.


Edited by Edmond Fong