3
The High Court’s March 2024 ruling declaring the Affordable Housing Levy unconstitutional has prompted the government to redesign the financing model. The Ministry of Finance is now proposing a voluntary payroll savings scheme with employer co-contribution, targeting Ksh50 billion annually. The Housing Finance Corporation will manage accounts, with funds accessible for home purchase or construction. Over 4 million workers were enrolled before the suspension. The new model, expected in Q3 2024, aims to balance fiscal responsibility and social inclusion while complying with legal safeguards.