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The Singapore Department of Statistics (DOS)
conducts the Household Expenditure Survey (HES) once in every five years. |
The latest HES was carried out from October 2002
to September 2003 and the survey results are now released for general
information. |
Scope and Coverage |
The HES collects data on the consumption
expenditure of resident households, primarily to update the weighting pattern
and the basket of goods and services for the compilation of the Consumer Price
Index (CPI). |
Besides expenditure data, the HES also collects
data on income and socio-economic characteristics of household members, as
well as ownership of consumer durables, and financial investments. |
The collection of expenditure data in HES 2002/03
was spread out over a period of twelve months to take into account seasonal
variations in consumer spending. The sample of households selected was divided
into 26 groups with each group recording their expenditure for a period of two
weeks. |
Key Findings of the HES 2002/03 |
Profile of Households |
The HES 2002/03 covered about 6,700 private
households comprising some 24,100 persons. These were households with at least
one household member who was a Singapore citizen or permanent resident.
Institutions and non-resident households were excluded as their expenditure
patterns differed greatly from the average resident households. |
Between 1998 and 2003, the average household size
fell from 3.8 persons to 3.6 persons (Table A in Annex). The decline was
attributed mainly to the rising proportion of one-person households (from 7.2
per cent in 1998 to 10 per cent in 2003), as well as smaller household size
for all household types. |
Compared with 1998, households were living in
better housing in 2003 (Table B in Annex). Some 60 per cent of them were
staying in HDB 4-room and larger flats in 2003, up from the 52 per cent five
years ago. The proportion of households living in private houses and flats
also increased from 9.4 per cent in 1998 to about 12 per cent in 2003. |
Reflecting slower economic growth during 1998 ¨C
2003 and the ageing population, the percentage share of households with no
working persons increased from 4.5 per cent in 1998 to 7.4 per cent in 2003.
Correspondingly, those with two or more working persons declined from 59 per
cent to 54 per cent during the same period. |
Monthly Household Expenditure and Income |
In the HES, expenditure data referred to
consumption expenditure incurred by households. Non-consumption expenditure
such as loan re-payment, purchase of house and payment of income tax were
excluded. |
Household income, as defined in the HES, included
regular income from work or business, as well as income received from rental,
investment and other sources such as pensions, bursary, cash contributions
received from relatives etc. |
One-off payments or irregular receipts such as the
Economic Restructuring Shares (ERS) from the government, proceeds from sale of
properties, CPF lumpsum withdrawals and insurance claims, were not included. |
Between 1998 and 2003, the average monthly
household expenditure grew by 0.9 per cent per annum, from $3,090 to $3,240
(Table 1). Household income rose faster at 1.1 per cent per annum, from $4,610
to $4,870. During the same five-year period, the growth in CPI was lower, at
0.4% p.a. This showed that average real income had risen over the period. |
Household Expenditure By Type of Goods and
Services |
In 2003, the top three household expenditure
groups were housing, transport & communication and food. They jointly
accounted for nearly two-thirds of the total household expenditure. (Table C
in Annex). |
Compared with 1998, household spending on housing
was higher in 2003 due to increased expenditure on accommodation and
utilities. |
The higher expenditure on accommodation was the
result of the general shift among households towards larger flat types which
commanded higher annual assessed values while that on utilities was the result
of the upward revision in tariffs and higher consumption. |
Higher school enrolment and increased
school/tuition fees for local educational institutions and overseas
universities contributed to the higher spending on education & stationery. |
Health care expenditure rose mainly due to higher
spending on hospitalisation, specialised medical treatment and proprietary
medicines e.g. vitamins and health supplements, Chinese herbs and medicine. |
Expenditure on ¡°recreation & others¡± such as
overseas travel, domestic services and cigarettes also increased. |
In contrast, spending on transport fell due to
declining car prices and lower expenditure on repairs and servicing of cars
and road tax (due to a reduction in its rate in 2002). These declines more
than offset the slightly higher expenditure on public road transport during
the same period. |
Spending on info-communication services like
mobile phone subscriptions & call charges and Internet subscriptions were also
higher. Households spent less on food and clothing & footwear during 1998 ¨C
2003. |
Overall Households¡¯ Living Standards |
All households, including those in the lower
income groups, have achieved a higher standard of living during 1993 ¨C 2003.
The growth in monthly household income was 1.1% p.a. during 1998 ¨C 2003,
higher than the 0.9% p.a. registered for household expenditure. |
More..... (Annex) |
Source:
Singapore Department of Statistics
Press Statement 17 Jun 2005 |