Government increases rent by 10% in all state-owned residential houses
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Government through the Ministry of Lands, Public Works, Housing and Urban Development increases rent for its residential houses by 10 percent
Government through the Ministry of Lands, Public Works, Housing and Urban Development increases rent for its residential houses by 10 percent.
The government stated that the new rates would go into effect on November 1, 2023, in a letter from Housing PS Charles Hinga to his Treasury counterpart, Chris Kiptoo, dated September 28.
The letter which emerged on Tuesday was a followup on earlier propositions made by the State Department in 2021.
The ministry clarified that the new strategy was intended to increase the department’s revenue.
“The State Department for Housing and Urban Development on 18th January 2021, wrote to the National Treasury, notifying the Treasury and the respective Ministries, Departments, and Agencies that benefit from the provision of Government Housing, of an increase in the rent paid for Government Residential Housing by 10%.
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“It was noted then, that the rent rates have stagnated since 2001 for most Government Housing, therefore it remains an avenue that can increase Appropriation In Aid (AIA) for the State Department in line with the observations made in the meeting held on 22nd September 2023 with you on enhancing AIA for the State Department,” read the statement in part.
The new move by the government will mostly affect civil servants who rent houses run by various government institutions and agencies.
Government employees frequently find relief in government housing because the rent is frequently less than what they would pay in privately owned homes.
The move will therefore affect many Kenyans who are struggling to make ends meet owing to the high cost of living that has been on the rise in recent years.
Notably, the rent increase also occurs at a time when the government is seeking to raise funds for national projects to build affordable housing.
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