The Government is committed to providing a sustainable safety net for the needy who are not financially self-sufficient to meet their basic needs, the Health, Welfare & Food Bureau says.

A wide range of supporting grants and services have been put in place to supplement this safety net to help the more vulnerable groups such as elders and the disabled to meet their special needs.

To help these vulnerable groups, relevant welfare institutions will strengthen their outreach programmes to attend to their special needs.

In response to media enquiries on the second phase of the downward adjustments of the Comprehensive Social Security Scheme, which will be effective from today, the bureau reiterated that the Administration is fully aware of the debate in the community and the concerns of those who will be affected by the adjustments.

Recipients should still be able to meet basic needs

In general, the adjusted amounts should be able to help recipients meet their basic needs, although some recipients may encounter difficulties in meeting some of their special needs.

The Social Welfare Department, in co-operation with other welfare organisations, will step up outreach programmes to help the elderly and disabled who may face difficulties after the adjustments.

It cannot agree with the allegation that the Government is apathetic to the call of the elderly and disabled as it has been devoting substantial resources to better the services and support provided to them, in addition to direct financial assistance.

Recipients' buying power not compromised

The downward adjustments reflect the continuous deflation recorded over a three-year period without compromising the buying power of the recipients.

The move helps to ensure the safety net's sustainability to assist people who most need help.

Total CSSA spending has increased substantially in recent years.

The approved provision for CSSA in 2004-05 will be $17.9 billion, an increase of 5.2% over 2003-04.

CSSA accounts for 8.8% of recurrent Gov't spending

Of the $33.7 billion allocated for welfare spending in 2004-05, CSSA will take up 53%, or 8.8% of the total recurrent Government expenditure of the year.

The implementation of downward adjustments to the standard rates of CSSA for non able-bodied recipients - the elderly, the disabled and those medically certified to be in ill health - is being carried out in two phases: it was lowered by 6% from October 1, 2003 and is being cut by 5.4% from today.

The adjustments have to be made due to continuous deflation since 1999 with an accumulated over-adjustment of 12.4% up to March 2002.