BUDGET - ESTIMATES OF EXPENDITURE FOR THE FINANCIAL YEAR 1ST APRIL, 2006 TO 31ST MARCH, 2007 - Paper Cmd. 3 of 2006
ensure that no one is left behind so that we can all move ahead as one nation; and second, to nurture the family and community relationships that give each of us happiness, fulfilment and a sense of significance, and ultimately bind us to this place called Singapore. I would like to refer Members to the first document in the folder that we circulated [Copies of document circulated to hon. Members]. The first part is entitled Key Achievements in 2005 ?, which provides a brief summary of our key initiatives and projects that we undertook last year. The most prominent among them, obviously, was ComCare. This was launched on 28th June last year. In the six months from July to December 2005, it reached out to 51,000 families and children, and disbursed some $23.4 million. It was a tangible form of our commitment to ensure that no one would be left behind. It was also a working model of flexibility and decentralisation, highlighting particularly the role of the grassroots organisations and the expanding role of the Community Development Councils in the provision of social services. The Committee on Ageing Issues completed its review and submitted 39 major recommendations to the Government, and you all have heard our Prime Minister say that all these recommendations have been accepted in principle. And over the course of the last few weeks, you have heard how the various Ministries are actively working on implementing these recommendations. For people with disabilities, we increased the subsidies for assistive technology, and established a specialised Assistive Technology Centre for the Disabled. We set up a one-stop Disability Information and Resource Centre. We established two therapy hubs for seniors and the disabled so that they have access to affordable rehabilitation therapy. Moving on to babies, we enhanced the Parenthood Package by introducing greater flexibility in the schedule for co-savings, and liberalised the use of the Baby Bonus. We moved on to implement the recommendations that arose from an earlier youth consultation exercise. As you can see in the list and that list is not exhaustive numerous youth-related projects were conceived, led and implemented by young Singaporeans themselves. Members will recall that we very successfully hosted the 117th session of the International Olympic Council. So it has been a busy year. Let me refer Members now to the next document in the file, which lists the key initiatives that my Ministry will pursue in the year ahead. Our special priorities this year are to focus on the less well off; to empower and integrate seniors and the disabled into mainstream society; and to restore public confidence in charities and voluntary welfare organisations. Mr Chairman, there are four basic principles that undergird all the programmes that you can see in there. First, we must never have a permanent, unconditional needs-based welfare system. We must not have this not because we lack sympathy but because this is the road to ruin and it is not sustainable. People who argue for a permanent unconditional needs-based welfare system are harkening back an ideology which was implemented 60 years ago, and has now reached the end of the road, and you can see that in Europe. Second, our social assistance packages will therefore be low on entitlements but high on flexibility. We need that flexibility to ensure that no one falls through the cracks in such a low entitlement system. Third, we must focus on children because they are our future. And, fourth, we will help people by empowering them to help themselves. That is why you can see in all our programmes, for instance, in public assistance, we are so strict on eligibility criteria. Only those who really cannot work and have no family are eligible for public assistance. We want to foster this sense of self-reliance so that Singaporeans will still feel the need to strive and work hard for a better life, and for each of us to take responsibility for our own lives. Our efforts in Workfare illustrate our approach to provide targeted and sustained assistance to those who need it, but doing so in a way which emphasises the necessity for work. ComCare illustrates our flexibility in delivering social assistance by involving grassroots organisations, self-help groups and VWOs. Thus, we can ensure that help is provided quickly, precisely and in a targeted way, and yet has enough flexibility to make sure that when there are cases on the borderline or cases which would otherwise fall into the cracks, the system is flexible enough to address their needs. In line with this approach, ComCare will support the Workfare package which was recommended earlier by the Inter-Ministerial Committee on Low Wage Workers by augmenting social support in order for two things to occur: for parents to go out to work and for children to have a better educational environment, whether this environment is in kindergartens, childcare centres, or before-or-after school care. We will be committing a sum of $100 million over the next two years on programmes to help needy families. As Dr Lily Neo suggested, we will adopt a family-centric model in delivering assistance. I acknowledge Dr Warren Lee s point that changing family dynamics, decreased fertility, rising singlehood and an ageing society and the very real possibility of children working overseas for extended period of time, will place our model of the family being the first line of support under strain. But the response, surely, cannot be for the state to step in to be the surrogate family. On the contrary, we need to emphasise the mutual responsibilities that each and every family member has to each other, regardless of where they are in the world. In fact, the other thing that we are going to have to study much more carefully is the role of the extended family, particularly in so far as it relates to singles. More resources will be devoted to the younger generation to help them break out of the poverty cycle. Over the next two years, $70 million will be spent on programmes for children and youth from needy families. We expect to reach out to more than 12,000 children per year, as well as programmes which target the family as a whole. This is the surest way, the only sustainable way, to break out of the poverty trap. Under the Kindergarten Financial Assistance Scheme (KiFAS), we have increased the maximum monthly subsidy from $50 to $65 per month for children from low income families with effect from January this year. Over and above this, we will now provide a start up grant of up to $200 for needy families with young children to help them offset expenditure on items such as textbooks, school uniforms and the one-time deposit which some centres charge. If even more help is needed I think all the PAP MPs in this House know the community organisations like the PAP Community Foundation (PCF) will step in to take up the slack. 2,200 families per year through these initiatives. Let me now move on to social enterprises, a subject which was covered by Miss Penny Low and Mr Sin Boon Ann. They have quite rightly recommended exploring a larger role for social enterprises in Singapore. I agree with them. Community and charity organisations can explore ways to create sustainable business models which will do two things firstly, hopefully, generate jobs for the beneficiaries; and secondly, provide an alternative revenue stream for charities rather than to be totally dependent upon the charity dollar. We will provide seed funding for these social enterprises and we will help create a conducive environment for them to grow and flourish. If there are regulatory obstacles, we will definitely help to smooth them away. My MOS will provide further details on all these initiatives as well as give an update on ComCare s key achievements later. Let me now turn our attention to the issues we face as an ageing society. Singapore will experience a fundamental demographic shift over the next 24 years. Today, 8% of our population are aged 65 and over. But by 2030, 20% or one in every five Singaporeans will fall into this category. The Report by the Committee on Ageing Issues (CAI), therefore, is very timely and it quite rightly highlights the key thrusts that we need to take now and not wait for the two decades to elapse. Our goals are to enable seniors to lead a healthy, fulfilling and meaningful life. The CAI correctly concluded that we will need to tackle five critical aspects. These are housing, accessibility, healthcare, employment and social integration. Of the 39 recommendations that the CAI put forth, 15 have been or are in the process of being implemented as we speak. The other 24 have been accepted, in principle, by the Government and we will get to them in due course. My Ministry is responsible for 17 of these proposals. So I will certainly owe this House an update at an appropriate time. Members can refer to the Government s responses to all these recommendations at Annex 4 of our file. My colleague, Dr Maliki Osman, who is co-chair of the CAI, will go into the detailed recommendations