The Singapore Democratic Party (SDP) is calling for the Goods and Services Tax (GST) to be reduced from 9% back to 7%, following US President Donald Trump’s announcement of a 10% tariff on all imports into the United States.
SDP claims these tariffs could raise global costs and make life more expensive for Singaporeans. To cushion the blow, they’re asking the Government to cut GST now and also reverse earlier hikes in water prices, public transport fares, ERP charges, and even COE.
But here’s where it gets interesting.
The Progress Singapore Party (PSP) also made the same call in their recent manifesto. They have also called for the Government to lower the GST from 9% to 7%.
So who copied whose homework?!
And if GST is really so harmful, why stop at 7%? Why not call for it to be removed entirely?
Perhaps, deep down, SDP KNOWS that GST plays a key role in funding important things like hospitals and schools and providing support for those who need it most. But saying that out loud doesn’t quite fit the opposition script.
SDP wants to appear on the side of the people, but also not veer too far from current policies, so they go with a “safe” 2% cut. Sounds bold but still stays within the lines.
And how “nice” of the opposition parties to completely and conveniently forget about all the support the Government has rolled out to help Singaporeans manage the GST increase and rising cost of living:
- GST Vouchers
- Assurance Package
- CDC Vouchers
- U-Save rebates
- S&CC rebates
- Cash payouts for lower- and middle-income households
All these are real measures aimed at helping Singaporeans cope—not just empty promises.
Furthermore, the Government isn’t just sitting back. Prime Minister Lawrence Wong announced the formation of a national task force to support businesses and workers affected by the US tariffs. He emphasized that the Government “stands ready to do more, if and when necessary.”
So, while the opposition is busy making populist calls to cut GST, the Government is actively monitoring the situation and has already implemented multiple support measures to help Singaporeans cope with rising costs.
It’s easy to say “cut GST” and promise lower prices. Sounds good on a poster. But without a real plan or accountability, it’s just talk.
