Lawmaker calls for raising departure tax in upcoming budget plan

Executive Councilor Ronny Tong Ka-wah proposed to alter the HK$120 Air Passenger Departure Tax (APDT) and impose such tax on cruise passengers to boost government revenue.

The initiative is raised as the Budget is set to be announced next Wednesday (Feb 26). Tong believed it would not reduce travelers' willingness to visit or do business in the city, citing Japan's 1000 yen departure as an example.

Regarding the exemption of high-speed rail passengers and transit travelers, Tong stated that many mainland visitors come to the city for family visits and travel, and a departure tax might discourage citizens from traveling north.

Meanwhile, a number of lawmakers have called for raising public service and facility fees.

Edmund Wong Chun-sek, who represents the accountancy sector, suggests raising the fee of parking meters in urban areas as he stated that have not been reviewed in years, claiming the present rate of HK$2 per 15 minutes is outdated.

Wong also recommended reviewing the charges for recreational facilities, including increasing fees for popular recreational venues during peak hours to combat touting. 

Another lawmaker Peter Douglas Koon Ho-ming advised a 10 percent annual rise in water bills, noting that the city has maintained the same fee for 30 years.

However, Ho, who also serves as chairman of the Hong Kong Council of Social Service, hopes the authorities will not reduce funding for non-government social welfare organizations, which will be facing 2 percent and 3 percent cuts in 2025-26 and 2026-27 respectively.

He also voiced concerns that additional reductions would result in layoffs at social welfare organizations, as many are self-funded, with some having only two to three months of reserve left.