Lower-income Singaporeans are receiving more help, with a three-room household getting about $5,000, which Prime Minister Lee Hsien Loong described as a 'substantial sum'.

'If spent carefully, the benefits can help a great deal in this time of inflation,' said PM Lee in his National Day Rally speech on Sunday night at the University Cultural Centre.

But he cautioned that the Government could not give out 'hongbaos' every year, although the Government has the budget surplus to do it this year.

Still, he gave the assurance that the Government is focusing its efforts on helping low-income families.

There is a ComCare Fund, which Citizens Consultative Committees and grassroots leaders can tap on to provide quick assistance to needy families.

'Many grassroots organisations give out hampers, food and other assistance. They will give out more this year, to help combat the increase in the cost of living,' said Mr Lee.

Some community development councils even go out of the way to help the poor family, by fitting energy-saving light bulbs in their homes to help them save on electricity bills, he added.

Noting that many Singaporeans would like the Government to hold back increases whenever possible, Mr Lee said that the Government would do so where it is possible, and has held back increases such as water tariffs as well as town council and service and conservancy charges in People's Action Party wards.

But he said that some increases could not be prevented, because energy and other operating costs have increased and workers need salary increments.

For example, each year, doctors have to prescribe new medicines and use new procedures requiring new machines, and all these are more expensive, he said.

'The Government has increased its medical subsidy, but the subsidy can only meet part of the costs, so users will see some increase,' said Mr Lee.

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