This article examines the link between the governance of Hong Kong's international school and Direct Subsidy Scheme school categories and changes in the broader Hong Kong society through a neoliberal framework. As Hong Kong's economy has grown since the 1997 handover to the People's Republic of China, an increasing number of people have come to Hong Kong. These people bring increased income, they have fewer children and they bring new expectations and practices for education. The government has responded to differentiated demand by developing the international school and Direct Subsidy Scheme school categories. Each has distinctive privatization features to increase inter- and intra-category competition and choice. Greater privatization has raised fears that social mobility for the poor is being stifled and school inequality and malfeasance will grow. It also places new burdens on parents and signals the continued changing relationship between school and society.