Singapore diners unfazed if budget meal options shrink, many prefer regular coffee shop fare

Changes to Singapore’s national budget meal scheme could lead to fewer affordable meal options in Housing Board coffee shops, though diners surveyed say they do not specifically seek out these meals due to limited variety.

Budget Meal Scheme Changes

The Housing Development Board (HDB) announced on Jan. 10 that coffee shop operators renewing leases from that date are no longer required to sell budget meals. The decision comes after feedback from operators and stallholders citing rising costs and low customer demand.

The budget meal scheme was first launched in 2018 with the goal of providing affordable meals in residential areas.

Diner Response

Many residents interviewed by The Straits Times indicated they don’t actively look for budget meals. Retired taxi driver Lim Kok Him, 72, of Sengkang, prefers economy rice, which costs slightly more but offers more choices. “If I buy economy rice, I can choose whatever dish I want, and it’s still affordable, as long as it’s not fish,” he said.

Tampines resident Sim Ai Lian, 58, occasionally purchases budget meals when offered by participating stalls, noting the generous portion sizes. Ang Mo Kio resident Peter Low, 77, was unaware that his $2.80 nasi lemak was part of the initiative.

Impact on Stallholders

Stallholders reported varying levels of demand for budget meals. Lim Chin Sing, 55, who runs Benson Duck Rice in Toa Payoh, sells a budget duck porridge meal every two to three days, but most customers opt for the regular portion. Another stall owner, who wished to remain anonymous, said she began offering chicken nuggets as part of her budget meal when her coffee shop joined the scheme, but sales were low, leading to wasted ingredients.

As of Dec. 31, 2025, 350 HDB rental coffee shops and 48 privately owned coffee shops participated in the scheme. Singapore has a total of 805 HDB coffee shops, with approximately 400 privately owned.

Revised Scheme Details

The revised scheme standardizes budget meal requirements, requiring participating coffee shops to offer three meal choices and two drinks, including economy rice with one meat and two vegetable dishes, one halal meal, and one breakfast item. Previously, there were no specific meal type requirements.

HDB coffee shop operators who offer budget meals will receive a 5 percent rental discount for the full three-year tenancy, up from one year previously, or for the remainder of their lease term. Private coffee shop operators will receive a discount on temporary occupation license fees.

Future Outlook

Some stallholders, like Kok Ek Piu, who owns a fish soup stall in Ang Mo Kio, plan to continue offering budget meals even if the coffee shop doesn’t participate in the initiative. Sociologist Tan Ern Ser suggested that those in need could be provided with support through grants and vouchers, allowing for flexibility and reducing the burden on stallholders.