Court of Appeal Upholds Affordable Housing Act and 1.5% Levy

Kenya’s Court of Appeal has upheld the constitutionality of the Affordable Housing Act, dismissing 42 cases that challenged various provisions of the law.

The decision means the 1.5 per cent Affordable Housing Levy deducted from employees’ gross salaries, alongside the corresponding employer contribution, remains in effect.

The cases had challenged, among other issues, the legality of the levy and the constitutionality of the framework established under the Affordable Housing Act.

The ruling allows the government’s affordable housing programme and its funding mechanism under the Act to continue.