The increased rates will apply to fresh hires and cases where employees are required to pay rent differences out of their own pocket.
Govt increases house rent ceiling for federal employees. The Ministry of Housing and Works has announced a significant increase in the house rent ceiling for federal government employees in six major cities across Pakistan. Effective immediately, the revised rates apply to employees from grades 1 to 22 and aim to align with current market rates.
Revised Rent Ceilings
The increased rent ceilings vary by city and grade:
- Grade 22: Rs142,743 (Islamabad), Rs125,989 (other cities)
- Grade 21: Rs119,278 (Islamabad), Rs98,378 (other cities)
- Grade 20: Rs99,615 (Islamabad), Rs82,696 (other cities)
- Grade 19: Rs79,320 (Islamabad), Rs65,542 (other cities)
- Grades 17-18: Rs59,669 (Islamabad), Rs49,808 (other cities)
- Grades 14-16: Rs45,073 (Islamabad), Rs37,665 (other cities)
- Grades 11-13: Rs35,878 (Islamabad), Rs30,815 (other cities)
- Grades 7-10: Rs23,784 (Islamabad), Rs20,112 (other cities)
- Grades 3-6: Rs15,921 (Islamabad), Rs13,230 (other cities)
- Grades 1-2: Rs10,192 (Islamabad), Rs9,590 (other cities)
The revised house rent ceiling for federal government employees is based on comprehensive market surveys and representations from government servants, ensuring rates align with current market realities.
The increased rates will apply to fresh hires and cases where employees are required to pay rent differences out of their own pocket.
Additionally, the revised rates will benefit employees hiring houses under the Accommodation Allocation Rules (2002) or subsequent decentralized systems.
Furthermore, lease agreements for expired leases will be executed based on the lesser of three options: the current rental assessment, the revised rental ceiling, or the owner’s demand, providing a fair and reasonable rental solution for all parties involved.
The increased house rent ceiling aims to provide relief to federal government employees, particularly those in higher grades, by aligning rent allowances with current market rates.
This move is expected to benefit thousands of employees in Islamabad, Rawalpindi, Karachi, Lahore, Quetta, and Peshawar.
