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MND to impose cap on number of HDB flats sublet to foreigners in each block: Khaw

National Development Minister Khaw Boon Wan says his ministry will impose a cap on the number of flats sublet to foreigners in each HDB block. (Yahoo photo)

National Development Minister Khaw Boon Wan has said that his ministry will impose a cap on the number of flats sublet to foreigners in each HDB block.

He said in a blog post on Friday that the Ministry of National Development (MND) has agreed, in principle, to impose such a cap.

Khaw said the ministry will soon decide on "an appropriate cap" and is “mindful of the need to balance the impact on those who rely on subletting for additional income, especially the elderly”.

Currently, there is no cap on the number of flats sublet to foreign tenants in HDB blocks.

Earlier this year in Parliament, West Coast GRC MP Foo Mee Har had suggested a 10 per cent cap on the number of flats that could be sublet to foreigners in each HDB block.

Foo had also shared her concerns about foreigner enclaves forming in HDB estates.

Khaw said that he agrees with Foo that there is a need to “maintain the Singaporean character” of the heartlands.

The national development minister also said in his blog post that an HDB analysis on the current subletting situation revealed that less than 4 per cent of HDB flats are sublet to foreigners, excluding Malaysians.

However, the proportion could go up to 9 per cent in some areas, or even 18 per cent in some blocks, the study said.

Currently, only Singapore Citizens and Permanent Residents can buy HDB flats, but foreigners can rent rooms or entire flats.

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