Former Deputy President Rigathi Gachagua has promised to scrap the controversial housing levy and refund all deductions made since 2023 if he becomes Kenya’s sixth president.
He made the remarks on Sunday, September 14, during a church service in Nyeri. Gachagua painted a grim picture of the country’s economy and accused President William Ruto of misleading Kenyans with empty promises.
“The country is almost broke. We have a debt of Ksh12 trillion,” he said. “If Kenyans elect me, I will not promise lies. I want to restore the Kenya state to where Mwai Kibaki left us.”
Gachagua listed several key priorities. These include reviving the National Hospital Insurance Fund (NHIF) and overhauling university funding.
But his most attention-grabbing promise was to abolish the housing levy. He said over-taxation has reduced Kenyans’ purchasing power. “Most of you know your payslip has been raided. I will restore the dignity of the payslip,” he said.
The Affordable Housing Act, 2024, requires employers to deduct 1.5% of an employee’s gross monthly salary. Employers also contribute 1.5%, making a total of 3%. Many workers have resisted the levy since its introduction.
Gachagua said all completed housing units would be handed over to county governments. Counties would collect revenue as rent and refund those who paid under the levy.
President Ruto has defended the housing initiative as part of his legacy. He says it is transforming lives for millions of Kenyans.
Gachagua also addressed human rights issues. He promised to end forced disappearances and strengthen accountability.
If elected, Gachagua’s plan would reverse the housing levy, reduce deductions from salaries, and aim to restore Kenya’s economic stability.