Originally a private school, St Stephen's College became a government-funded public school during the late 1900s. Since the 2008–2009 academic year, the college has become a Direct Subsidy Scheme (DSS) School, which is a historic change to the college as it freed the school from the centralised funding system that currently administers secondary education in Hong Kong. Students enrolled in the 2002 Primary 1 class at St Stephen's College Preparatory School, also based in Stanley, were the first group of students to enter the DSS system. In order to upgrade the school administrative level, this is the first secondary school in Hong Kong to employ a registered professional housing manager on its staff to manage and handle all property and facilities-related issues for and on behalf of the school.