The accumulated surplus of the Protection of Wages on Insolvency Fund amounted to $1.437 billion at the end of October, Secretary for Labour & Welfare Matthew Cheung says.

Mr Cheung today told lawmakers the fund's financial position is subject to the amount of levy income and ex gratia payment.

"How much longer the accumulated surplus of the fund can cope with the disbursement of ex gratia payment and whether any adjustment to the rate of the business registration certificate levy would be necessary in the next five years will depend on the state of Hong Kong's economy as well as the number of major insolvency cases in the years to come.

"The Labour Department, together with the Protection of Wages on Insolvency Fund Board, will continue to monitor the financial position and levy rate of the Fund closely."