Budget 2025 is here, and it comes with plenty of support for families, individuals, businesses, and infrastructure! Whether you’re looking for help with rising costs, business support, or infrastructure improvements, there’s something for everyone. Let’s break it down into three key areas:
Benefits for Families & Individuals, Companies, and Infrastructure.
Benefits for Families & Individuals
Helping with Daily Costs
- Every Singaporean household will get S$800 in CDC vouchers – half for supermarkets and half for local hawkers and merchants.
- Eligible HDB households will receive up to S$760 in U-Save rebates to help with utility bills.
- Parents will get S$500 LifeSG credits per child (aged 12 and below) and a S$500 Edusave/Post-Secondary Education Account top-up for students aged 13 to 20.
Support for Families & Seniors
- Childcare fee caps at government-supported preschools will be reduced, making childcare more affordable.
- The Large Families Scheme offers S$5,000 CDA First Step Grant, S$5,000 Large Family MediSave Grant, and S$1,000 LifeSG credits annually (for third and subsequent children aged 1-6).
- Nursing home subsidies will increase by 15 percentage points, and long-term home care services will see a 10 percentage point boost in subsidies.
- Matched MediSave Scheme: Seniors aged 55-70 who voluntarily top up their MediSave accounts will get a dollar-for-dollar match (up to S$1,000 per year).
SG60 Perks
- SG60 ActiveSG Credits: All ActiveSG members get S$100 credits for sports facilities and programs.
- SG Culture Pass: Singaporeans aged 18 and above get S$100 in credits for arts, heritage, and cultural activities.
- SG60 Baby Gift: All babies born this year will receive a special SG60 Baby Gift (details coming soon!).
Support for Companies
Helping Businesses with Costs
- A 50% corporate income tax rebate (capped at S$40,000) will be given.
- Non-profitable but active companies (with at least one local employee) will receive a S$2,000 minimum benefit.
- The Progressive Wage Credit Scheme (PWCS) will see higher co-funding for wage increases (from 30% to 40% in 2025 and 15% to 20% in 2026).
Upskilling & Employment Support
- SkillsFuture Workforce Development Grant: Higher funding (up to 70%) for job redesign initiatives.
- SkillsFuture Enterprise Credit: Now operates like an online wallet, so companies can use funds without waiting for reimbursements.
- Workfare Skills Support: Expanded to provide long-term training for lower-wage workers aged 30 and above.
- Support for Hiring Seniors & Ex-Offenders:
- Senior Employment Credit extended to 2026 with higher wage support for workers aged 69 and above.
- The CPF contribution rate for workers aged 55-65 will increase by 1.5 percentage points in 2026, with transitional support for employers.
- The Uplifting Employment Credit for hiring ex-offenders is extended to 2028.
Boosting Innovation & Growth
- S$1 billion Private Credit Growth Fund to provide financing options for high-growth local enterprises.
- S$150 million Enterprise Compute Initiative to help businesses integrate AI into their processes.
- S$3 billion National Productivity Fund top-up to attract more high-quality investments.
- Tax incentives for companies listing in Singapore and fund managers investing in local equities.
Infrastructure & Sustainability Investments
Transportation & Sustainability
- S$60 billion investment to expand and renew Singapore’s rail network.
- S$1 billion investment to enhance bus services.
- New Heavy Vehicle Zero Emissions Scheme and Electric Heavy Charger Grant to encourage clean energy adoption.
- S$5 billion top-up to the Future Energy Fund to support Singapore’s energy transition and infrastructure like undersea cables for clean electricity.
- S$5 billion top-up to the Coastal and Flood Protection Fund to guard against rising sea levels.
- Climate Vouchers: HDB households get an additional S$100, bringing the total to S$400 per household. Private property owners will now receive vouchers too.
Public Spaces & Heritage
- S$1 billion investment over 20-30 years to upgrade ageing hawker centres and build new ones.
- S$600 rental support for hawkers in government-run centres.
- S$100 million Cultural Matching Fund top-up for private donations to the arts and heritage sector.
Expanding Singapore’s Global Hub
- S$5 billion top-up to the Changi Airport Development Fund, supporting the expansion of Terminal 5.
- Support for the new SUSS City Campus, improving access to lifelong learning.
Looking Ahead
While there are economic uncertainties, Budget 2025 is designed to keep Singapore strong and resilient. By investing in our people, businesses, and infrastructure, the government is ensuring a future where no one is left behind.
With support for everyday costs, business growth, and infrastructure development, this budget brings real, practical benefits to all Singaporeans. Let’s make the most of these opportunities and continue building a brighter future together!
