Extra $300 CDC vouchers, enhanced U-Save rebates: Govt announces new $900m support package

The Government will be providing about $900 million in additional support measures to cushion the impact of rising cost pressures amid the ongoing Middle East conflict.

Both households and businesses will benefit from the second tranche of assistance measures, announced Second Minister for Finance Jeffrey Siow and Senior Minister of State for Trade and Industry Low Yen Ling on Wednesday (July 29).

Singaporeans will receive an additional $300 in CDC vouchers in January 2027 to help with daily expenses and cushion the impact of inflation, Siow said.

Coupled with the $500 disbursed in June, households will receive a cumulative $800 for the 2026 financial year.

The vouchers disbursed in the second round will be valid till Dec 31, 2027, according to a press release by the Ministry of Finance (MOF).

Eligible HDB households will also receive additional U-Save rebates — on top of the rebates announced during Budget 2026 — to help offset higher electricity bills in October 2026 and January 2027.

In total, households will receive between $110 and $190 in rebates per quarter, depending on their respective HDB flat type.

For example, 1- and 2-room HDB flats will receive $95 in additional U-Save rebates per quarter, along with $95 in GSTV, totalling $180.

Support for local businesses

Businesses will also receive additional support to defray higher operating costs, said SMS Low, adding that the Government will provide enhanced funding through grants and rental support. 

In particular, the Government will be introducing a one-off SME cash grant to support eligible SMEs with their cashflow needs.

SMEs can receive $500 per local employee under the scheme, said SMS Low.

Each eligible SME can receive up to $2,500, which will be disbursed in November 2026 with no application required.

More businesses will also be able to secure financing through an enhanced Enterprise Financing Scheme (EFS), said SMS Low.

Between September 2026 and March 2027, the Government will increase its risk-share in the EFS from 50 to 70 per cent, providing businesses with improved access to financing.

Eligible stallholders in markets and hawker centres will also receive rental support between September 2026 and February 2027.

Cooked food stalls will receive $1,200, while market stalls will receive $600 over the six month period, said SMS Low.

About 15,200 stores — 6,900 cooked food stalls and 8,300 market stalls — will benefit from rental support provided in this second tranche, she added.

"We are keeping a close watch on how businesses fare and stand ready to provide additional targeted support when needed as the situation evolves," she said.

'Uncertainty will persist for some time'

While Singapore has avoided the "worst case scenario" with its economy holding up better than expected, Siow said the situation remains fragile.

"Uncertainty in the region will persist for some time," he said, explaining that a durable ceasefire between the US and Iran is proving difficult.

As such, the global energy prices are expected to remain elevated, causing spillover effects and higher prices of petrol, diesel, electricity and imported goods.

"We recognise that the global situation remains fluid," Siow said, adding that the Government remains in close contact with trade associations, businesses and workers and stands ready to respond if circumstances change.

$1b disbursed in first round of assistance

In April, Siow delivered a ministerial statement in Parliament detailing the first tranche of support measures in light of the ongoing Middle East conflict.

Almost $1 billion in assistance was disbursed in the first round, which included bringing the disbursement of the $500 CDC vouchers announced in Budget 2026 forward from January 2027 to June 2026.

Siow also announced an enhanced cost-of-living special payment, in which eligible Singaporeans will receive between $400 and $600 in September — an additional $200 on top of the original disbursement announced during Budget 2026.

Only Singaporeans earning up to $100,000 in assessable income who do not own more than one property are eligible, Siow said, adding that around 2.4 million Singaporeans will receive the payment.

He also announced measures to support businesses during his statement, with the Government enhancing corporate income tax rebates from 40 per cent to 50 per cent for the Year of Assessment 2026.

Businesses that invest in energy efficiency will also stand to benefit from the Government's enhanced measures, and can take advantage of an expanded energy efficient grant which will be extended until March 31, 2028.

The first tranche of support measures also included a $200 cash relief for eligible platform workers, private hire vehicle drivers and taxi drivers, amid increased fuel prices that directly impact their earnings.

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