The Ministry of Lands, Public Works, Housing and Urban Development has issued a notice to increase monthly rent on all government residential houses.
In a letter by Housing PS Charles Hinga to his Treasury counterpart, Chris Kiptoo, dated September 28, the state said the 10 percent rent increase would take effect from November 1, 2023.
PS Hinga noted that the notice for the intended increase was first issued on January 18, 2021, since the rent rates had stagnated for nearly two decades.
“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%,” wrote PS Hinga.
Deposit, instalments you’ll pay to own 1 to 3 room Ruto houses worth up to Sh. 5.76mn
“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 will mostly affect civil servants who rent houses run by various government institutions and agencies as the Lands Ministry seeks to boost revenue.
Normally, government housing offers a reprieve to government workers as the rent charged is usually lower compared to privately owned houses.
The total number of government houses in Kenya stands at 56,892 houses, with an expected monthly rental income of Sh127.0 million when fully occupied.
