Hong Kong Housing Authority: Public housing rent will be increased by 2.04% starting from October 1st.

On July 23, the Hong Kong Housing Authority (HKHA) subsidized Housing Estate Committee (Committee) reviewed the rental rates for public rental housing (PRH) for the year 2026 in accordance with section 16A of the Housing Ordinance. A spokesperson for the HKHA stated that the report prepared by the Director of the Census and Statistics Department of the Hong Kong Special Administrative Region Government for the 2026 PRH rental review showed an income index increase of 2.04% for the second review period (i.e. 2025) compared to the first review period (i.e. 2023). As a result, the PRH rental rates will be increased by 2.04% starting from October 1, 2026. The adjustment of PRH rental rates for 2026 is moderate. In March 2026, the average monthly rent for PRH tenants was HK$2519. Based on the adjustment rate of +2.04%, the average monthly increase per household is estimated to be around HK$51, with rental increases ranging from HK$10 to HK$128. The spokesperson for the HKHA said, "After excluding 'wealthy households' and households receiving comprehensive social security assistance from the rent payment by the government, more than 60% of PRH tenants will experience a monthly rent increase of HK$60 or less; and about 90% of PRH tenants will experience a monthly rent increase of HK$80 or less. We believe that the adjustment is within the affordability level for tenants." In the 2026-2027 Budget announced by the Hong Kong government, it was stated that the first two quarters' rates subsidy for the 2026-2027 fiscal year would be reduced, with a maximum limit of HK$500 per household per quarter. According to established practice, the HKHA will fully pass on the rates subsidy reduction to PRH tenants. The rates subsidy reduction amount that each PRH tenant can receive in the 2026-2027 fiscal year will range from HK$258 to HK$1000. Furthermore, the rental rates for newly completed public housing estates will be determined based on the "best rental rates" in each district, calculated based on the area per square meter of interior floor space and taking into account the location and value of the estates. In response to the 2026 PRH rental review, the adjusted rental rates for existing and newly completed housing estates will take effect on October 1, 2026. The HKHA will notify all PRH tenants in writing one month before the implementation date of the new rental rates. On the other hand, the Hong Kong Housing Department stated that the monthly provisional rental certificate fees for "Simplified PRH" will be set at approximately 90% of the rental rates for new public housing estates in the same district. Therefore, the monthly provisional rental certificate fees for "Simplified PRH" will also be adjusted accordingly on October 1, 2026 based on the adjustment of PRH rental rates, and relevant details will be communicated to all residents of "Simplified PRH" in writing one month before the implementation date. The rental adjustment mechanism for PRH as stipulated in the Housing Ordinance has been in effect since 2008. Under this mechanism, PRH rental rates are reviewed every two years. In accordance with section 16A(7)(b) of the Housing Ordinance, the Director of the Census and Statistics Department of the Hong Kong Special Administrative Region Government must calculate the income index for the first and second periods following the rental review. The income index is compiled by comparing income data from around 24,000 PRH households during these two periods. This mechanism provides an objective basis for the HKHA to determine when and by how much PRH rental rates should be adjusted based on the tenants' affordability. According to the mechanism, there is a 10% "cap" when increasing rental rates, while no minimum limit is set when decreasing rental rates.