General Election 2025

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Budget 2025 both generous and responsible, say experts​

Measures in the Budget for hawkers show Singapore is committed to preserving its hawker culture, said an expert.ST PHOTO: JASON QUAH
Anjali Raguraman and Hariz Baharudin
Feb 19, 2025

SINGAPORE – From private home owners and hawkers to those interested in sports and the arts, the Budget measures announced on Feb 18 provide support across diverse segments of society, reinforcing Prime Minister Lawrence Wong’s promise of a “Budget for all Singaporeans”.

Experts, observers and MPs told The Straits Times that the speech was notably comprehensive, reflecting the Government’s commitment to ensuring that no Singaporean would be left behind.

Several noted how the announcements made by PM Wong cast the spotlight on groups that are not typically featured, highlighting its inclusivity and broad reach.

Calling it an “even-handed approach Budget” that focuses on the social dimension as well as the economic dimension, Singapore Management University (SMU) law don Eugene Tan said that Budget 2025 seeks to get the balance right in dealing with top-of-mind concerns.

“It also attempts to recognise the concerns, needs and aspirations of different generations, as well as ensures the equitable distribution of the country’s wealth between those in public and private housing,” he said.

Something for everyone​

Experts noted that several giveaways are extended to private property owners, a group that sometimes feels left out when goodies are distributed.

PM Wong announced that all Singaporean families living in private property will receive $400 worth of vouchers to buy eco-friendly household appliances as an expansion of the existing Climate Friendly Households Programme.

Separately, he also said that the Enhancement for Active Seniors programme, which sees the Government pay for upgrades to homes to be fitted with age-friendly features, will also be extended to seniors living in private property.

Private home owners are often perceived as being able to take care of themselves, but the announcements show that some of them could be in need of help, said Mr Song Seng Wun, economic adviser at CGS International.

“Many are asset-rich but cash-poor. Because we have fiscal flexibility, the Government can afford to extend some support,” he said.

A slice of the Budget pie is set aside for hawkers, which shows that Singapore is committed to preserving its hawker culture, said Mr Song.

PM Wong announced $600 in one-time rental support for each hawker stall in centres managed by the Government or government-appointed operators.

In addition, up to $1 billion will be allocated over the next 20 to 30 years to the upgrading of ageing hawker centres and the building of new ones.

“Placing the measures for hawkers in the same statement as other key measures in the Budget gives it a certain importance,” said Mr Song.

Former offenders are another group that will benefit from Budget 2025. PM Wong said that the Uplifting Employment Credit, which provides a wage offset of up to 20 per cent of local former offenders’ wages for the first nine months, will be extended by another three years.

Bishan-Toa Payoh GRC MP Saktiandi Supaat, who is also Maybank’s head of foreign exchange research, said that this is good news, given how he has been advocating more support for former offenders.

Mr Saktiandi said that, together with targeted measures like additional financial support for large families and those in the middle-income groups, the Budget is a “forward-looking” one that extends assistance to those who need it.

“The broader aim of the announcements is to provide targeted help where needed,” he said.

Experts noted that Singapore’s strong fiscal position allows for more wiggle room for spending on other areas of Singaporean lives, such as arts and sports.

Referencing the newly introduced SG Culture Pass that will be rolled out in September 2025, CGS International’s Mr Song noted that Singapore has “reached a stage where we can have better work-life balance”.

In June, there will be a one-off $100 ActiveSG credit top-up to encourage participation in sports.

“(The Government is) spending on how to improve the way we work, how we play... Especially since people are living longer, work-life balance has become more important,” he said.

A measure of support for Singaporeans​

Given that the Budget came ahead of the upcoming general election, observers told ST that generous giveaways were largely anticipated.

But they noted that the measures also signal a long-term strategy to support everyday Singaporeans, families, workers and businesses amid an increasingly complex global landscape.

Associate Professor Tan Ern Ser, adjunct principal research fellow at IPS Social Lab, highlighted the quantum of CDC and SG60 vouchers announced in Budget 2025.

PM Wong announced that some 1.3 million Singaporean households will each get $800 in CDC vouchers, with $500 to be disbursed in May and the remaining $300 in January 2026.

All Singaporeans aged between 21 and 59 in 2025 will also get a one-time $600 handout in the form of SG60 vouchers, while seniors aged 60 and above will get $800.

“The amount of CDC vouchers for households, together with the SG60 vouchers for individuals, does come across as rather generous,” said Prof Tan.

The rising cost of living was addressed by the Budget, said Mr Yip Hon Weng, MP for Yio Chu Kang, who called the amount given out in the various vouchers “quite substantial”.

“There is a cost-of-living issue. The vouchers will come in handy for those really feeling the pressure daily. I think it will be well received on the ground,” he said.

SMU’s Prof Tan said that the announcement of the vouchers suggests that the Government recognises the persistent issue of costs, and that this is likely to be a significant issue in the upcoming general election.

The vouchers will help to some extent, but the feeling persists that Singapore has become too expensive, he added.

“The irony of the handouts is that the Budget statement seems to confirm this perception. Moreover, such help will be seen more as ‘Band-Aid’ and (the question is) whether the root causes can be better addressed,” said Prof Tan.

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Most observers agreed that despite the generous giveaways, the Government is still spending responsibly and within its means.

Mr Song said that it is common for politicians around the world to give out more handouts ahead of an election. “The key difference is that Singapore is spending within its means – using what we have today, not borrowing from the future,” he said.

Business associations such as the Singapore International Chamber of Commerce (SICC) said that this is a Budget that comes from a position of fiscal strength, and one with a vision to maintain that strength.

This would enable Singapore to address longer-term issues such as a rapidly ageing population, while staying nimble in a tough international environment.

“No segment of citizen society is left behind in this well-constructed, generous and impactful Budget... It balances short-term needs with long-term infrastructural and societal needs,” SICC said.

“It is bold, and demonstrates a government operating from a position of strength in the interests of the citizens of this country and its economy.”

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An election Budget? Maybe not in the way you think​

Tham Yuen-C

PM Lawrence Wong unveiled a bonanza of vouchers, credits, tax rebates and top-ups for Singaporeans on Feb 18.ILLUSTRATION: CHNG CHOON HIONG, ADOBE STOCK
Feb 19, 2025

SINGAPORE - There is little doubt Budget 2025 is an election Budget.

After all, we are in an election year, with the constitutional deadline to go to the polls in November.

Of course, Budgets are dubbed election Budgets not just because they happen to fall in an election year.

The phrase is bandied about whenever there are goodies galore, and Prime Minister Lawrence Wong on Feb 18 unveiled a bonanza of vouchers, credits, tax rebates and top-ups for Singaporeans.

To celebrate Singapore’s 60th year of independence, he introduced an SG60 package to recognise the contributions of all Singaporeans and to share the benefits of the nation’s progress. Under the package’s headline measure, every Singaporean adult will get $600 worth of SG60 vouchers, with seniors aged 60 and older getting $200 more.

Every Singaporean household will get an additional $800 in CDC vouchers to provide relief from rising cost pressures, as Singaporeans adjust to the new price realities caused by the sharp rise in global inflation when the war in Ukraine broke out.

“We will continue to provide support for as long as needed, within our means,” PM Wong said, adding that inflation in Singapore has already come down and is expected to ease further.

These two voucher schemes alone will cost the Government about $3 billion.

In addition, there will be a 60 per cent personal income tax rebate capped at $200 for Year of Assessment 2025, designed to benefit those who earn less, as well as SG Culture Pass credits and ActiveSG credits for people to pay for cultural and sporting pursuits.

Children will also benefit, in the form of $500 in LifeSG Credits for the younger ones aged 12 and below, and $500 in Edusave and Post-Secondary Education Account top-ups for those who are 13 to 20 years old.

Even Singaporeans living in private property will get more this year. For the first time, they, too, will get climate vouchers worth $400.

It is a Budget that truly lives up to the tagline of a “Budget for all Singaporeans”.

Such largesse is often viewed with suspicion, drawing refrains of “election Budget”. The implication is that the goodies will result in a better showing at the voting booth.

But this connection is perhaps too simplistic, given that voters are motivated by different concerns. If past Budgets in election years are any guide, Budget goodies have not always resulted in better outcomes at the polls for the ruling party.

In the 2011 Budget, for instance, up to $800 in growth dividends was handed out to every Singaporean. The general election that year was when the PAP lost a group representation constituency for the first time.

It is perhaps also an overly cynical view of the Government, since the extra money given out at such end-of-term Budgets has more to do with prudent husbandry and cumulative surpluses.

Under the Constitution, the Government has to balance the Budget over its full term. It already knows it will end the 2024 financial year with a surplus of $6.4 billion, and expects to end the 2025 financial year with an even bigger surplus of $6.8 billion.

Surpluses earned in one term of government cannot be carried over to the new term of government, which means the Government can afford to be more generous and give back some of the extras to Singaporeans.

But a focus on just the hongbao and handouts would be missing the wood for the trees.

For the Budget goes beyond appealing to individual interests, to ensuring that Singapore can lay the groundwork for a better future.

To this end, PM Wong also announced measures to tip the balance in Singapore’s favour and overcome challenges.

Bold moves were made in this Budget to enhance Singapore’s enterprise ecosystem. A Global Founder Programme will be launched later this year to encourage experienced entrepreneurs to anchor and start new ventures in Singapore.

There is also the new Enterprise Compute Initiative that will put in up to $150 million to help businesses access computing power so they can leverage artificial intelligence to transform.

On the infrastructure front, another $5 billion will be set aside to top up the Changi Airport Development Fund, so that Singapore can sustain its position as an air hub – a key pillar in the nation’s hub-economy strategy.

Looking further ahead, PM Wong also announced measures to protect Singapore against climate risks such as coastal flooding and to improve energy resilience through studying the potential deployment of nuclear energy here, among other things. The Coastal and Flood Protection Fund and the Future Energy Fund will each receive a $5 billion top-up.

There are also concrete steps taken to further strengthen the social support system, such as higher subsidies for long-term care services for seniors and for adult disability services.

Although PM Wong, who has been Finance Minister since 2021, has announced three other Budgets previously, this one has added significance.

It is his first as both Prime Minister and Finance Minister, and the moves unveiled will further make concrete the vision – first painted in the Forward Singapore exercise he led – of a nation that is dynamic, caring and inclusive, where people have good jobs, and where no one is left behind.

As PM Wong said, the 2025 Budget incorporates the aspirations and views of Singaporeans.

So, while the goodies will be welcomed by those dealing with cost-of-living pressures and other immediate concerns, this Budget is much more than that.

As a Budget for all Singaporeans, it goes beyond immediate gratification and prepares the ground for longer-term goals.

And that may just be what an election Budget calls for.

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Polling district changes for 12 constituencies in latest update ahead of GE2025​

In Tampines GRC, what used to be a single polling district in Tampines North is now six.PHOTO: LIANHE ZAOBAO

Goh Yan Han
Feb 20, 2025, 07:36 AM

SINGAPORE - Changes have recently been made to polling districts in 12 constituencies, signalling that the work of the Electoral Boundaries Review Committee (EBRC) is under way.

This is the third time polling districts have been updated by the Elections Department since the 2020 general election. They were previously updated in June 2023 and June 2024.

With the recent round of changes, nine constituencies – most of which have seen voter numbers go up – now have more polling districts.

The other three did not have adjustments to the number of polling districts, but had redrawings between neighbouring districts.

Polling districts are sub-divisions in a constituency with at least one polling station each.

The changes are part of the process before the next general election, and were published in the government gazette on Feb 14.

The 12 affected constituencies are Aljunied, East Coast, Holland-Bukit Timah, Jurong, Marine Parade, Pasir Ris-Punggol, Tampines, Tanjong Pagar and West Coast GRCs, as well as the single-seat wards of Hong Kah North, Potong Pasir and Yio Chu Kang.

The number of polling districts increased in all except Marine Parade, Tampines and Tanjong Pagar GRCs.

While the adjustments do not necessarily impact how constituency boundaries will be redrawn, these changes will be referred to in the EBRC’s upcoming report. A change in polling districts within a constituency means voters may cast their ballots at a different polling station than before.

The committee can also create new electoral divisions by moving polling districts from one constituency to another.

Observers said polling district changes are typically made for several reasons: population shifts, to make voting more convenient with nearer polling stations, and to ensure each district serves around the same number of voters.

In these updates, polling districts have often been re-numbered for administrative reasons and district boundaries redrawn, resulting in more or fewer polling districts overall. The larger constituency boundaries remain the same.

The latest updates come after the EBRC was convened on Jan 22. The next general election, widely expected by mid-year, is due by November 2025.

The maps show that changes often take place where new Build-to-Order projects have sprung up.

In Pasir Ris-Punggol GRC, the completion of projects such as Northshore Residences I and II has seen one polling district redrawn into six.

Tampines GRC has seen a similar change, as what used to be a single polling district in Tampines North is now six, after new residents moved into estates like GreenVines and GreenCourt.

Generally, constituencies that saw increases in registered voters over the last five years also saw increases in the number of polling districts.

But there are a few exceptions. For example, Aljunied GRC has 3,561 fewer voters but three more polling districts.

A smoother and more convenient voting process​

Polling district boundaries likely also change because of feedback from recent elections – for instance, that queues at polling stations were too long – and the desire to even out voter numbers across districts, observers concurred.

The goal is to make voting efficient and smooth, and for each district to serve around the same number of voters, said Singapore Management University (SMU) law don Eugene Tan.

During the 2023 presidential election, the number of polling stations went up by 15 per cent. The number of voters allocated to each station went down from an average of 2,400 to 2,150.

Said Associate Professor Tan: “With a larger voting population in Singapore, ELD has been increasing the number of polling districts with every GE. This will make voting more efficient, with fewer voters per polling district and voters not having to travel too far to cast their ballots.”

As at July 2024, there were 2,715,187 registered electors. This was up from 2,709,455 in the 2023 presidential election and 2,653,942 in the 2020 general election.

Space constraints in estates would also be taken into account, given considerations about crowd control, said independent political observer Felix Tan.

The ELD might want to ensure easy access and avoid long queues at the polling stations, he said.

He pointed out that some polling stations in Sengkang GRC saw queues late into the evening during GE2020, after voting hours were extended beyond 8pm.

Potential changes to boundaries
Do not read too much into polling district updates or use them to speculate on constituency boundary changes, observers said – these are simply part of administrative arrangements ahead of Polling Day.

However, they do give a preview of voter numbers in some constituencies, which is information the EBRC would rely on as it goes about its work, SMU’s Prof Tan said.

Institute of Policy Studies research fellow Teo Kay Key said redrawn boundaries would be expected in areas with significant changes in voter numbers, to ensure that the voter-to-MP ratio is not too skewed.

The five-member East Coast GRC, for example, is likely to see changes.

In its 2020 report, the EBRC said it was mindful that GRCs with fewer MPs should not have more voters than GRCs with more MPs.

Based on the July 2024 voter rolls, East Coast GRC has 121,916 voters. In comparison, the four-member Sengkang GRC, which had fewer voters in GE2020, now has 124,871 voters.

Dr Teo said that if the EBRC maintains this consideration this year, there would likely be boundary changes in these areas.

For instance, East Coast GRC may be expanded to include more voters – it is also one of the GRCs with the lowest voter-to-MP ratios – or Sengkang GRC might become a five-member GRC or have its boundaries redrawn, she said.

However, Prof Tan pointed out that based on the EBRC’s past practice, the opposition-held Sengkang GRC probably will not have its boundaries redrawn in any significant way, making changes to East Coast GRC more likely.

He added that the EBRC should be expected to complete its work shortly, as it has been about a month since the committee was formed. The report could be expected after the Budget season is over, in the middle to third week of March, said Prof Tan.

In the 2020 and 2015 general elections, updates to polling districts preceded the boundaries report by one to three days.

But in 2011 and 2006, the boundaries report was released over a month after the changes to polling districts.

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