Hong Kong: Expanded Sports Betting Included in Budget Proposals

Heung Yee Kuk chair Kenneth Lau Ip-keung prioritized revenue generation over expenditure reduction, suggesting authorities establish a government-owned sports betting and investment company and invite public bidding for its franchise operation.

Lau expected that the company would generate stable betting tax revenues of a few billion Hong Kong dollars annually.

He gave the National Basketball Association as an example of an international sporting event that could be considered for legalized bets.

On other budget suggestions, Heung Yee Kuk, opposed a salary cut or wage freeze for civil servants, saying "such measures could adversely impact their morale and influence the overall salary levels in the private sector."

It called on the government to review the structure and salary system of civil servants and introduce a more flexible and performance-based salary mechanism to enhance the overall efficiency of the administration.

Regarding the HK$2 elderly transport subsidy scheme, Lau acknowledged that it places a financial burden on the government, but stressed it is worth maintaining. He proposed several adjustments to the program, such as setting a monthly cap on the subsidy or increasing the fare for the concession scheme.

Lau said authorities should introduce a basket of measures to convey a clear message on stabilizing the property market.

Suggested measures include resuming the application-based land sale mechanism, lowering the stamp duty on property transactions, exempting first-time homebuyers from rates for two years and allowing developers to pay the land premium in installments.

"When the property market was active, stamp duties, land sales and land premiums had generated some HK$100 billion of income for the government. But now the amount is almost a historic low - only HK$6 billion," Lau said

On the development of Northern Metropolis, Lau proposed constructing a racing circuit that would enable Hong Kong to host Formula One races and other top racing events and attract more foreign or mainland tourists.

He also suggested setting up a tourism resource center as well as recruiting villagers as tourism ambassadors to promote traditional village culture.