Submissions and Reports

The Chamber commends the Government's ongoing efforts to advance the Northern Metropolis (NM) mega-project and have submitted our latest general recommendations to support its comprehensive development in the short and medium term. Specifically, we have conveyed our members' perspectives on the design and execution of the Pilot Large-Scale Land Disposal Scheme, emphasizing key considerations such as financial and investment aspects, as well as land supply and management challenges. These insights aim to encourage industry participation and foster effective collaboration with the Government in building this new metropolis.

The Chamber expresses in principle support to the HKEX’s proposals to enhance its IPO Price Discovery and Open Market Requirements framework, recognizing that this approach aligns with internationally recognized best practices for regulation, focusing solely on instances where a clear and demonstrable need for regulation is necessary. As part of our recommendations, we advocate that the requirement of enhanced disclosure in the IPO listing prospectus of a possible downward adjustment of up to 10 per cent below the indicative offer price be removed, as investors’ interests are sufficiently protected by present rules.

The Chamber welcomes the opportunity to comment on the proposals for the latest two development areas of the Northern Metropolis blueprint – New Territories North (NTN) New Town and Ma Tso Lung. We highlight in our submission comments spanning land use and planning, financing channels, as well as infrastructural support and sustainability, and housing and liveability considerations, to facilitate the Government’s formulation of more detailed plans for these development areas. In particular, we recommend a forward-looking approach with the design of the NTN New Town – with its close proximity to Shenzhen - and seek for clarity on the design and purpose for the proposed land allocations. We also call for the setting of strategic priorities for the development of target industry clusters and enterprises within these areas.

It is crucial to accelerate the expansion of Hong Kong’s tax treaty network to enhance our attractiveness as a preferred destination for international business operations amid evolving global tax landscapes. We are hopeful that meaningful progress can be made in the short term by actively engaging with the jurisdictions listed in the attached document. Furthermore, we highly recommend that the Government allocate additional resources to expedite the process.

The Chamber is broadly in favour of the Development Bureau’s proposed enhancements to the Buildings Ordinance (Cap. 123) (“CP”), recognizing the importance of such amendments in addressing societal concerns on building and construction safety, and maintaining Hong Kong’s competitiveness as an international city. In terms of implementation, we encourage building owners to take proactive steps in maintaining their properties, whilst advocating for the Government to offer sufficient support, to help the industry achieve compliance, and implement balanced enforcement interventions.

The Chamber expresses concerns regarding the recent proposed revisions to the minimum and maximum levels of relevant income for MPF contributions. While we acknowledge the necessity of reviewing these income levels, which have remained unchanged since June 2014, we believe that the proposed increase in the maximum income will pose significant challenges for employers, particularly in light of the fragile economy and the impending abolition of the MPF offsetting mechanism in May 2025.

The Chamber expresses concerns about the increasing number of industrial accidents in Hong Kong. These occurrences not only impact workers and their families but also tarnish our global reputation as a world-class international business and financial hub. The surge in unfortunate accidents has highlighted several critical issues that require prompt attention.

The Chamber has urged the Financial Secretary to adopt a multi-pronged approach to raise revenue and reduce expenditure in response to current fiscal challenges. In its submission to the Government’s 2025-26 Budget, the Chamber suggested increasing the issuance of government-backed bonds for long-term investments and imposing taxes on non-Hong Kong resident digital service suppliers. Additionally, the Chamber has called on the Government to review civil servant establishments and adjust the Public Transport Fare Concession Scheme (HK$2 Scheme) to contain the growth of expenditure.

The Chamber supports the proposed enhancements to the preferential tax regimes for the asset and wealth industry. These enhancements are crucial for maintaining Hong Kong’s competitiveness as a global financial hub. We believe, however, that there is still room for further refinements to the proposed measures. We suggest, among others, expanding the definition of qualified assets and applying these enhancements on a retrospective basis.