Hong Kong

HC Deb 21 March 1979 vol 964 cc1477-8

5. Mr. Parry

asked the Secretary of State for Foreign and Commonwealth Affairs if he is satisfied with the progress of social services in Hong Kong.

The Under-Secretary of State for Foreign and Commonwealth Affairs (Mr. Evan Luard)

The Hong Kong Government have an extensive social development programme designed to ensure that Hong Kong's social services are at least as good as the best available elsewhere in South-East Asia. My right hon. Friend is satisfied that good progress is being made.

Mr. Parry

Is my hon. Friend aware that this year the budget forecast is for a surplus of nearly HK $1½ billion—the second largest surplus ever? That was achieved in spite of tax cuts to the wealthy, while taxation of the lower paid remained the same. Does my hon. Friend agree that more money could be spent on improving social services, especially in view of the unsatisfactory replies that I received yesterday?

Mr. Luard

I hope I made clear that good progress was being made in improving the social services in Hong Kong. I agree that that is an important aim. Already the Government of Hong Kong have rehoused 2 million people, which is half the population. They aim to rehouse two-thirds of the population by 1985. Nine years' free education is now provided, and education will be compulsory next year. There are almost free medical services and means-tested public assistance. Quite a lot has been done.

Mr. Blaker

Does the Minister agree that the progress made in social services by the Government of Hong Kong has not merely been good but remarkable? Is he aware that this progress is based on the Hong Kong system of free enterprise and low taxation? Will he invite the Governor to send a team of experts on economics, finance and industry to advise this Government so that we may achieve similar results?

Mr. Luard

I have already agreed that the performance of the Hong Kong Government in social services was, on the whole, very good. It is true that the Hong Kong economy has, on the whole, been very successful. However, the measures that I described are a form of socialism which could well be imitated by other countries in Asia.

Mr. Ashley

Without defending the Hong Kong system of private enterprise, may I ask my hon. Friend whether he is aware that there are 15,000 refugees in Hong Kong and that their presence places a heavy burden on the social services? Does he agree that the best way to improve that situation is to persuade other countries to accept more refugees than Hong Kong and Britain have done?

Mr. Luard

I agree with my hon. Friend. He knows that we have made approaches to a number of Governments asking them to take a larger number of refugees from Indo-China. I hope that we shall succeed in getting better offers from other countries.