REMOVAL ALLOWANCE FOR HDB TENANTS

Dr S. Vasoo asked the Minister for National Development (a) what is the rationale for the differences in payment of removal allowance between those tenants who opt for home ownership flats and rental flats under the Housing and Development Board's relocation scheme of tenants in rental blocks; and (b) whether the HDB will consider a flat removal allowance of $1,000 to tenants affected under the relocation scheme.

Mr S. Dhanabalan: (a) With the recent revision in policy, all tenants affected by the HDB's relocation programme are given a removal allowance of $500/-.

Affected tenants who have opted to purchase a Home Ownership flat are given an additional $500/- making a total of $1,000/-. This is an incentive to the tenants who purchase a home ownership flat in line with the government's objective of encouraging home ownership.

(b) The HDB therefore has no intention at this juncture to increase the removal allowance for tenants moving to another rental flat under the present relocation exercise.