MEDISAVE ACCOUNTS (Common limit for couples)

Mr Philip Tan Tee Yong asked the Minister for Health whether he will consider exempting a working spouse from contributing to his or her Medisave account if the combined balance in the working couple's Medisave accounts is $15,000 so as to allow more money for the repayment of a housing loan.

Mr Leong Horn Kee asked the Minister for Health whether he will allow the Central Provident Fund Medisave accounts of a married couple to be considered jointly so that when their combined Medisave savings exceed $15,000, the balance can be transferred to their CPF ordinary accounts for use towards repayment of any housing loan.

Mr Yeo Cheow Tong (for the Minister for Health): Mr Speaker, Sir, since Question No. 9 is also on the same topic, may I have your permission to answer both questions at the same time.

Mr Speaker, Sir, the Government has already announced a number of measures to assist house owners who are unable to service their housing loan repayments because of the scheduled reduction in employer's CPF contributions. There is therefore no need to consider exempting a working spouse from contributing to her Medisave Account.