Hong Kong retirees’ living costs grow 3 times city’s average on more northbound travel

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Elderly Hong Kong residents exercise in Sha Tin Park, April 8, 2026. Photo: Sam Tsang

Themis QiPublished: 6:57pm, 27 Aug 2026Updated: 7:14pm, 27 Aug 2026

Hong Kong retirees are facing living cost growth nearly three times the city’s average over the past five years, mainly driven by the strong demand for northbound travel, according to a new report.

The findings came from the first edition of the Hong Kong-Macau Retirement Expense Index, a gauge reflecting retiree inflation, conducted jointly by the Institute of Financial Planners of Hong Kong (IFPHK) and YF Life Trustees.

The index rose to 131.6 in 2026, up from 127 in 2023 and 100 in 2020, marking an annualised growth rate of over 5 per cent from November 2020 to May 2026, the institute and the insurer said in a statement on Thursday.

The figures from 2023 and 2020 were based on surveys done by IFPHK, which excluded Macau. Travel between Hong Kong and mainland China was restricted during Covid-19, and only opened fully after February 2023.

In comparison, Hong Kong’s composite consumer price index inched up only about 1.8 per cent per annum over the same period, according to official data.

“Following Covid, the frequency of retirees travelling abroad and commuting between (the city and) mainland China has increased significantly, leading to substantial growth in transport and accommodation expenses,” said IFPHK CEO Paris Yeung at a briefing on Thursday.