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Hong Kong’s miserly approach to elderly care is nothing to be proud of

Stuart Gietel-Basten says the chief executive’s modest proposals in her policy address will not break the bank, but that is because they are far from adequate in meeting the challenges of a fast-ageing society

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Rather than being proud to state that the ageing population is not a threat to Hong Kong’s public finances, we should be asking the government why it isn’t. Photo: AFP
There is a truly remarkable line in the chief executive’s recent policy address: “On care for the elderly, we do not see the ageing population as a threat to public finance.” It is hard to think of a government in any other advanced economy in the world making such a carefree statement. At first glance, this looks like a proud boast of fiscal prudence. In reality, though, it is nothing more than a statement of the government’s lack of interest in taking a transformative role in tackling the institutional challenges of a rapidly ageing population.
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The challenges facing older people in Hong Kong are plain to see. A third live in poverty. Housing and other infrastructure often prevents people from living the lives they desire. Easy access to affordable medical services is a challenge and the coverage levels of long-term care is poor. Specialist social care services are in huge demand.

Many are reluctant to be a burden on their family and the community, but they have no choice but to depend on family and charity.

Will Hong Kong’s ageing population be financially fit in retirement?

Cheung Lai-chun (left) is the sole carer for her mother, who has dementia, seen in this photo taken in 2015. The number of dementia patients in Hong Kong is forecast to triple to some 300,000 over the next 30 years. Photo: Bruce Yan
Cheung Lai-chun (left) is the sole carer for her mother, who has dementia, seen in this photo taken in 2015. The number of dementia patients in Hong Kong is forecast to triple to some 300,000 over the next 30 years. Photo: Bruce Yan

The already tremendous stress on the elderly care system is only set to increase. The number of dementia patients alone is forecast to triple to some 300,000 over the next 30 years. This debilitating disease is regarded as a threat to public finances in most countries by itself.

If we want to see a truly transformative approach ... it may well be necessary to pay for it
The policy agenda has many suggestions on how to improve care for our elderly. But the defining characteristic of many of these ideas seems to be that they are “cheap” (see, for example, the plan to promote reading among senior citizens) or should have been budgeted for anyway, such as the ongoing upgrading of facilities and housing. Also, many of the proposed solutions can be difficult to implement. Reverse mortgages and other financial instruments, for example, are not trusted by the population at large.
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Another problem is, though ever more carers will be needed, without adequate support, incentives and training, it will remain an unpopular profession in the labour market. As is so often the case, the easy path is taken: simply employ more migrants. But how Hong Kong will compete for such migrant carers in an ever-ageing region and world is, however, not clear.

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