National Day Rally: 8 things to know, from more childcare leave to higher BTO income ceiling
Supporting families and adapting to AI disruptions were among the key focuses of the speech
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[SINGAPORE] Prime Minister Lawrence Wong on Sunday (Aug 23) delivered his third National Day Rally speech, against a backdrop of an escalating trade war and persistent geopolitical uncertainty.
A key focus of his address was on supporting families, with PM Wong announcing a new childcare support package alongside additional childcare leave for parents.
He also outlined Singapore’s approach to technological disruption amid the rapid pace of artificial intelligence (AI) advancements, including greater safeguards to protect young people from the risks associated with social media.
Here are eight key points from the rally:
1. More childcare leave for parents
Parents will soon be entitled to up to 12 days of childcare leave, with those who have more children receiving more leave.
This is up from the current entitlement of six days for children aged six and below, or two days for those aged seven to 12.
Under the changes, working parents will get eight days of childcare leave for one child, 10 days for two children, and 12 days for three or more children up to 12 years old.
2. New $62,000 child support package
To support parents with the costs of raising children, the SG Child Support package will provide enhanced direct financial support and simplify the current suite of child-related benefits.
It will be extended to all Singaporean children born in or turning 1 to 17 in 2026.
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Every newborn will receive: a S$10,000 Baby Gift, S$32,000 in Child Credits, a Child Development Account with an initial S$5,000 grant plus dollar-for-dollar matching of up to another S$5,000, and a post-secondary education account top-up of S$10,000.
Taken together with existing schemes, including a S$5,000 MediSave grant and annual Edusave contributions throughout primary and secondary school, every Singaporean child will receive almost S$70,000 in direct financial support in total from birth to age 17.
3. Higher income ceiling for public housing
The income ceiling for Build-to-Order flats will be raised to S$16,000, from S$14,000, while the ceiling for executive condominiums will go up to S$18,000, from S$16,000.
PM Wong acknowledged that more Singaporean couples are marrying later and earning more by the time they settle down, pushing them past the current income ceilings.
The move will thus ensure that the vast majority of Singaporean couples can continue to access subsidised public housing.
4. New western island in the works
Plans are in the works to merge the cluster of islands south of Jurong Island into one larger island over the coming decades. This includes
Semakau, which houses Singapore’s offshore landfill, Bukom, Pulau Sudong and a few other smaller islands.
Unlike Jurong Island, however, the new western island will not just be for petrochemicals; it is intended to support “a new generation of industries”, including advanced manufacturing, said PM Wong.
A second road link to Jurong Island will also be built, alongside a new link connecting Jurong Island to the new western island.
5. Undersea tunnels to connect Tekong to mainland
Studies are underway on the feasibility of building undersea tunnels to connect Pulau Tekong to the mainland, after ruling out bridges due to busy shipping channels that cut across the island.
Tekong, Singapore’s largest outlying island, has been progressively reclaimed and merged into two separate islands, with further reclamation planned for its southern part.
Even after meeting the army’s training needs, about 500 hectares of the island – roughly the size of Toa Payoh – will be available for “future civilian use”.
6. Restrictions on teenage social media use
The government is considering additional restrictions on social media access for teenagers, including potentially raising the minimum age beyond 13, if platforms fail to build in adequate safeguards for young users.
Platforms will be required to introduce more robust and reliable age-verification checks. For teenagers aged 13 and above, stronger safeguards will also be mandated to address addictive design features such as endless scrolling.
7. Harnessing AI for businesses
Singapore will continue to embrace new technology on its own terms, as it has through past shifts such as the industrialisation and rise of the internet, said PM Wong,
For instance, AI’s rapid advancements could help small businesses achieve more with fewer resources.
The government will provide support amid these disruptions, said PM Wong, pointing to Singapore’s rollout of autonomous vehicles as an example.
8. US tariffs
There is a limit to how much Singapore can do alone to police its supply chain, said PM Wong, given its role as a major re-export and transshipment hub through which goods pass through from all over the world.
Responding to the US’ Section 301 tariffs, PM Wong said Singapore cannot possibly trace and verify the entire supply chain behind every product that passes through its shores.
Even so, the government will continue to engage the US on trade issues, including its use of tariffs tied to forced labour concerns and the alleged rerouting of Chinese goods through South-east Asia to circumvent US tariffs.
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