Real Estate

As we step into the new year, the Hong Kong Government unveiled its ambitious 132-page Development Blueprint for Hong Kong's Tourism Industry 2.0. This comprehensive plan aims to overcome the current challenges posed by economic slowdown, heightened competition, geopolitical tensions and recruitment difficulties. With the collaborative efforts of many stakeholders in implementing the Blueprint, the expected value added by the tourism industry is projected to rise by approximately 60% over the next 5 years, from HK$75.3 billion in 2023 to HK$120 billion. Employment in the sector is also set to rise significantly, with an estimated 44% increase over the same period, bringing the total to approximately 210,000 jobs (up from 145,600 in 2023). The overarching strategy for Hong Kong's tourism development over the next five years is to solidify its status as a world-class premier tourist destination. The Government will be implementing the following four key strategies to achieve this goal: promoting tourism through culture, sports, ecology, and mega events; attracting and broadening the inbound visitor market from a more diverse range of geographies; advancing smarter tourism; and enhancing service quality and infrastructure. The highlights of each strategy will be briefly summarized below.

The UK government has launched a consultation to reform the Energy Performance of Buildings (EPB) regime, a crucial step towards achieving the nation’s ambitious net-zero targets by 2050. This extensive consultation, which runs until 26 February 2025, seeks to gather input on several key areas of the EPB framework. Here, we delve into the background leading up to this consultation, the key areas being consulted on, and likely next steps.

The second and third reading of the Construction Industry Security of Payment Bill concluded at the Legislative Council on 18 December 2024. As an important milestone of the security of payment regime in Hong Kong, the Construction Industry Security of Payment Ordinance (“Ordinance”) will be published in the Government Gazette on 27 December 2024. According to section 1(3), the provisions on power of Secretary for Development for registration and administration of Adjudicator Nominating Bodies (“ANBs”) will take effect on the gazettal date, i.e. 27 December 2024. The remaining provisions of the Ordinance will come into operation on 28 August 2025. Construction contracts entered into on or after this date will be governed by the Ordinance.

2024 has been a year with a continued focus on the Nationally Significant Infrastructure Planning (‘NSIP’) planning regime by both the predecessor and current government. Reforms to make the regime faster and more effective remain a high political priority given its critical role in delivering infrastructure to support a number of key government objectives. Operational changes identified in the previous government’s various reform programmes and action plans continued to be delivered, with the new Labour government introducing some changes and proposals of its own. This blog highlights some key changes made to the NSIP planning regime delivered in 2024 with thoughts on what to expect in 2025.

On 12 December 2024, the updated NPPF consulted on over the summer, came into immediate effect.  The pro-development changes aim to increase housing delivery, support development generally and in particular key growth sectors whilst placing a stronger emphasis on sustainability, tackling climate change and promoting green energy.