Govt Employees to Pay Ksh100,000 Rent in New Proposal
On Tuesday, March 26, Charles Hinga, the Principal Secretary for Housing, introduced a fresh proposal to the treasury recommending that civil servants should be required to pay rent fees that are potentially three times higher than their current rates.
During an audit interrogation in front of the Parliamentary Public Accounts Committee, the Permanent Secretary defended his suggestion by explaining that the government-issued housing rents had not been reassessed for over 23 years.
“We wrote to the National Treasury on the rent issue and told them to allow us to increase it because we believe that it is high time we looked at this matter. The committee should note that the last review was done in 2001,” explained Hinga
The Permanent Secretary (PS) disclosed that government employees residing in affordable government accommodations have been making payments averaging Ksh2,200, with certain areas like Mbotela seeing civil servants paying Ksh1,000.
“Rent for civil servants averages Sh2,200 but there are those who pay as low as Sh1,000 a month for a single room in Mbotela Estate on Jogoo Road. For the super scale public servants they pay as high as Sh30,000 per month for a three-bedroom along State House Road,” stated PS Hinga.
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If the Treasury approves the proposal, civil servants will be required to triple their current payments. Individuals currently paying Ksh30,000 for rent may find themselves paying between Ksh80,000 and Ksh100,000 for upscale residences like those situated along State House Road.
As per the Public Service, adjusting the pricing will enable the government to gather funds earmarked for improving housing infrastructure.
The Public Servant expressed further regret that the existing rates failed to mirror market rates, resulting in significant revenue losses for the government.
Additional information indicates that over 56,000 government employees residing in the residences would experience the impact of the adjustments in prices.
The proposal arrives as the government has been authorized by Parliament to implement a 1.5% levy on affordable housing.
Furthermore, the President revealed on Sunday plans to grant a two-year rent waiver to residents residing in Makadara Government residences, enabling them to transition to newly built government accommodations as part of the Affordable Housing program.
Govt Employees to Pay Ksh100,000 Rent in New Proposal
