A three-judge bench has confirmed the legality of the Housing Levy introduced through the Finance Act 2023. This ruling comes amid concerns regarding public participation in its implementation. The judges—Olga Sewe, John Chigiti, and Josephine Mong’are—delivered the decision on Tuesday, October 22, stating that the levy aligns with constitutional provisions.
The court’s ruling addressed the petitioners’ claims about inadequate public participation prior to the levy’s introduction. The judges emphasized that the process met constitutional requirements.
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“It is our finding that the levy is properly in place and in accordance with the Constitution,” the bench stated, reinforcing the legality of the initiative.
Petitioners’ Concerns Rejected
The petitioners argued that the levy was discriminatory and not properly vetted. They highlighted concerns over salary deductions outlined in the Affordable Housing Act. However, the judges found no merit in these claims. They ruled that the Housing Levy does not infringe on Article 27 of the constitution, which addresses equality and non-discrimination.
Under the current regulations, employed Kenyans contribute 1.5% of their gross salary to the Housing Levy.
