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Finance Minister Lawrence Wong made a number of announcements in his Feb. 18 Budget speech.

They include the GST increase being delayed to January 2023, and the significant increase of carbon tax in the coming years.

To help Singaporeans cope with the rising cost of living, Wong also announced a S$6.6 billion enhanced Assurance Package and a S$560 million Household Support Package.

Here's a summary of Budget 2022, if you need a recap:

Ahead of the Budget debates, which will start on Monday, Feb. 28, Wong posted a video on Feb. 25 evening to address some of the questions posed by netizens on various social media platforms, including TikTok and Instagram.

Wong assured in the 5-minute video that the government is "fully committed" to building a fairer, greener and more inclusive Singapore and the "Budget has something for everyone".

Lower income families benefit the most

In response to a comment that expressed concerns over the cost of living, especially among the lower income families, Wong assured that the ministry has a "comprehensive set of measures" to help everyone cope with the rising cost of living.

The lower income families will benefit the most from the Budget measures, Wong pointed out, as they will enjoy household support package and a significant package of measures from the enhanced Assurance Package.

Besides these temporarily measures, lower income families will get permanent help as well through the enhanced GST vouchers and efforts to raise their incomes through progressive wages and Workfare, Wong replied.

Here's his full reply:

"I understand fully the concerns about the cost of living especially amongst lower income families. And that's why in the Budget, we have a comprehensive set of measures to help everyone cope with the cost of living, especially for the lower income groups who will benefit the most.

This year, they will enjoy the household support package which gives them utilities rebates, CDC vouchers and help for their children's education. At the same time, they will get a significant package of measures from the enhanced Assurance Package that will provide help over the next five years.

And beyond these temporary measures, they are continuing to get permanent help: Firstly through the enhanced GST vouchers, which will provide them with a continuing stream of benefits every year. And secondly, we are uplifting the incomes, raising the incomes of lower wage workers through progressive wages and Workfare.

So all together, we in fact have significant permanent help for our lower income groups in Singapore."

On wealth tax

A comment from Instagram that was featured in the video relayed support for the Budget and agreed that "the rich should be taxed more".

In response, Wong thanked the commenter for the support and added that Singapore's fiscal system has been designed after much considerations to ensure that it is a "fair and progressive" system of taxes and transfers.

That means everyone contributes their share of taxes in return for stronger social support, but those with greater means contribute a larger share.

Wong said this system will enable Singapore to take "bold steps" towards building a fairer, greener and a more inclusive society.

Here's his full reply:

"Well, thank you for your support of the Budget. A lot of thought has gone into designing our fiscal system to ensure that we have a system of taxes and transfers that is fair and progressive. And that means everyone contributes their share of taxes in return for stronger social support. But those with greater means contribute a larger share.

I think having such a system will help us strengthen our social, compact and social solidarity and will enable us to take bold steps towards building a fairer, greener and more inclusive society in Singapore."

Concerns over the middle income families

Another comment that Wong addressed in the video concerns the middle income families.

Wong empathised with these families that "sometimes feel sandwiched" because they do not qualify for some of the support that is extended to the lower income groups.

He further assured that the ministry has taken "a lot of care" to ensure that these families will benefit from the Budget measures too, such as the household support package and the enhanced Assurance Package to cope with the GST increase.

Middle income families also can benefit from the broad range of subsidies for housing, healthcare and education for their children, Wong added.

As compared to the middle income families in other places around the world, this group does receive "substantial" benefits and support from the government for the amount of taxes they pay.

"And we will do everything we can to keep it that way," Wong said.

Worries that businesses use GST increase as a cover to up prices

The last concern that Wong addressed in the video flagged the possibility of businesses taking GST increase as a cover to raise prices.

In response, the government is convening a Committee Against Profiteering that will be chaired by Minister of State Low Yen Ling.

This committee will watch over this issue very closely and take action against any unfair price hikes, Wong replied.

Appreciation for MOF team

Among all the comments that Wong has looked through, he also noticed some heartwarming ones.

One of these comments thanked Wong and said the past few months must have been very stressful for him.

In response, Wong admitted that it has been a busy period for him. He also acknowledged the hard work of the entire team at the Ministry of Finance (MOF).

Wong said his MOF colleagues spent several months to look through every policy measure and engage many stakeholders so as to put together a "balanced package of measures" unveiled in the Budget speech.

Wong said the Members of Parliament will be debating the Budget and raising various concerns, suggestions and feedback next week in Parliament.

He will round up the debate with a speech to address these concerns and suggestions next Wednesday, Mar. 2.

"I want to assure everyone that we are fully committed in this shared endeavour of building a fairer, greener and more inclusive Singapore," he reiterated.

You can watch the video here:

Top image via Lawrence Wong's FB