SEBERANG PERAI, Nov 2 — Prime Minister Datuk Seri Anwar Ibrahim said the subsidy rationalisation for the T15 group in Budget 2025 was to enable the government to extend the funds saved to the 85 per cent of the population.

He said this is to ensure allocations to the people are fair and that those in the B40 and M40 groups are protected.

"Eighty-five per cent of the population is not affected by the subsidy rationalisation,” he stressed in his speech at the official launch of the National Hawkers and Small Traders Carnival 2024 (HPPK) here today.

He hit out at the Opposition for defending the T15 group when they repeatedly criticised the subsidy rationalisation for the T15 group.

"In Parliament, they are defending the rich, defending the top echelons of society when we should be looking out for the low income groups, the small traders, the fishermen, the farmers,” he said.

He said the Opposition will claim they are defending the people when they go to the kampungs but now, they seem to be defending the T15.

"I see them causing a fuss over the subsidy rationalisation for the T15 in social media, saying it is unfair. How can it be unfair?”

"Those with a monthly income of RM100,000 a month or RM300,000 a month, they are getting subsidies too, so how can it be unfair to reduce subsidies to this group?” he said.

He said the government is not hiking up taxes, they are only conducting subsidy rationalisation to help those who need it.

He said subsidies are like "handouts” and the rationalisation is to ensure the "handouts” do not go to the ultra rich.

He said those with seven air conditioners at home will have to pay more in electricity bills according to market rates, it is not that they will have to pay more taxes.

"Handouts should only be for the lower to middle class, not for the ultra rich,” he said.

He said it is not right that individuals earning hundreds of thousands or even a million ringgit a month also benefit from subsidies intended for the lower- to middle-income groups.

He explained that the subsidy rationalisation for the T15 is also being fine-tuned as other factors are also taken into consideration.

He said it is not only based on gross household income but it will also include factors such as household spending and number dependents.

"We don’t want this subsidy rationalisation to be a burden to others, it should only affect the ultra wealthy,” he said.