SINGAPORE — The Government will do more to help Singaporeans cope with new challenges, but more government is not always better government, and the ultimate test of success does not lie in greater social spending, said Prime Minister Lee Hsien Loong yesterday.

The Prime Minister made this point during St Andrew’s Mission Hospital’s Centenary Gala Dinner last night. Citing the European model of welfare, Mr Lee said such systems, in which government spending makes up half or more of the gross domestic product, are “in serious trouble”.

More social spending, he said, does not mean better results. Instead, what counts is how effective programmes are in dealing with the challenges.

“Just take healthcare — the Americans spend more on healthcare than anybody else in the world, 18 per cent of GDP ... more than four times what we spend in Singapore,” Mr Lee said.

“We spend about 4 per cent of our GDP on healthcare and yet, in Singapore, our life expectancy is longer and infant mortality rates are lower.

“So it is the results that count, not how much you spend, not how much the Government takes on to itself.”

He urged voluntary welfare organisations and community groups to understand Singapore’s context and adapt their programmes to circumstances here.

At the same time, Mr Lee reiterated that Singapore is in a new phase, and the Government and community will do more to help individuals.

The improvements being made to MediShield Life scheme, which aims to cover all Singaporeans for life, are an example of how Singapore is strengthening its social safety net. Last night, Mr Lee again assured that premiums will be affordable, especially for the lower-income and elderly.

He acknowledged that community partners such as St Andrew’s Mission Hospital and Singapore Anglican Community Services play important roles in complementing the Government’s efforts to help the less fortunate. In this regard, Mr Lee said government schemes cannot replace the warmth and personal touch of community organisations and their volunteers.

The Prime Minister also commended the Anglican community and religious institutions for the important role they play in society and said, while the Government will remain neutral and secular in its stance, it will continue to work with these groups to serve Singaporeans.