NAIROBI, Kenya, Sept 27 – Civil society organisations have filed a petition at the High Court seeking to stop the government’s mandatory housing levy, arguing it is unconstitutional and deepening poverty among Kenyans.
The petitioners, Kenya Human Rights Commission, Transparency International Kenya, The Institute for Social Accountability, Inuka Kenya Ni Sisi! and Siasa Place, say the levy unfairly burdens salaried workers already grappling with multiple statutory deductions while sparing political elites and informal sector players.
Citing the Kenya National Bureau of Statistics (KNBS) 2024 report, the groups note that over one-third of Kenyans live below the poverty line, with food inflation and stagnant wages eroding household incomes.
They add that the levy has worsened disposable income shortfalls, curbing essential spending on food, healthcare, and education.
The petition highlights KNBS data showing the construction sector contracted by 0.7 percent in 2024, reversing 3 percent growth in 2023.
Cement consumption dropped 7.2 percent to 8.5 million tonnes, the sharpest fall in two decades, while steel imports fell 12 percent and sector employment shrank 4.2 percent.
The petitioners also accuse the government of using the housing fund for political patronage, citing allocations of housing units to teachers and promises to Harambee Stars players without public consultation, board approval, or competitive processes.
They now want the High Court to suspend all deductions tied to the levy and declare it unconstitutional.
