SINGAPORE - HDB coffee shop operators renewing their leases from Jan 10 will no longer be required to sell budget meals under a scheme that

aims to keep food affordable in the heartland.

This decision was made after operators and stallholders shared concerns about rising costs, and the low number of customers who bought such meals, the Housing Board said on Jan 10.

It added that residents also flagged uneven food quality and inconsistent portion sizes in budget meals.

To address these concerns, HDB said it will make changes to the budget meal initiative from Jan 10 to keep the scheme sustainable while meeting the needs of residents.

As part of the changes, coffee shop operators will receive more financial support if they choose to offer such meals.

For coffee shops let out by HDB, operators will receive a rental discount of 5 per cent for the full three-year tenancy, up from the previous one-year period.

Existing rental coffee shops that offer budget meals will also receive the discount for the rest of their tenancy term.

Private coffee shop operators, which previously did not have any benefits, will get a discount on their temporary occupation licence fees.

As at Dec 31, 350 HDB rental coffee shops and 48 privately-owned coffee shops are offering budget meals under the scheme.

HDB said that as at end-2025, there are a total of 805 rental and privately held HDB coffee shops in Singapore. Another 43 coffee shops are slated for completion between 2026 and 2030.

HDB said that operators who sign up for the initiative must pass on the discount in full to the stallholders providing budget meals. The operator must sign a letter of under...