Effectiveness of Voucher Schemes in Helping Singaporeans Cope with Cost-of-living Concerns Sustainably

Parliamentary Question by Ms Hazlina Abdul Halim:

To ask the Prime Minister and Minister for Finance (a) when will the Government study the effectiveness of initiatives like the GSTV scheme and CDC vouchers under the Assurance Package in helping Singaporeans cope with cost-of-living concerns sustainably; and (b) what are some structural or cost control measures that can be implemented to better manage cost-of-living challenges, especially among vulnerable Singaporeans.

Parliamentary Reply by Senior Minister of State for Finance, Mr Jeffrey Siow:

The Government regularly reviews the effectiveness of our schemes to ensure they continue to help Singaporeans manage cost-of-living concerns.

Over the recent years, in response to higher inflationary pressures, we had progressively reviewed and enhanced the Assurance Package (AP) with additional cash, U-Save, S&CC Rebate, and CDC Vouchers. In total, we increased the support delivered via the AP from the initial $6.6 billion in 2022 to more than $10 billion in 2025.

These enhancements have fully offset the expenditure increase arising from higher inflation for lower-income households, and substantially offset the expenditure increase for middle-income households each year from 2022 to 2025.

The Government also provides substantial structural support to help Singaporeans manage major cost concerns like education, healthcare and housing, and retirement. On top of this, we provide targeted structural support for vulnerable groups, such as Workfare for lower-wage workers, Fresh Start Housing Scheme for lower-income families and Silver Support for seniors who had low incomes in their working years.

Where necessary, we complement these structural measures with additional one-off support for households. This approach allows us to provide more responsive and targeted support, while remaining fiscally prudent.

In the longer term, the most sustainable way to help Singaporeans cope with cost pressures is through broad-based wage growth that outpaces inflation. The Government will continue to pursue this by growing the economy, creating good jobs, and supporting Singaporeans in upgrading their skills through continuing education and training.