The federal government is likely to announce a 45% increase in the house rent ceiling for its employees, ranging from grade 1 to 22, across six major cities, with the most significant hike observed in the federal capital, Islamabad. This adjustment aims to align with current market rates and address the housing needs of government employees.
The revised rental ceilings will apply to staff and officers of federal ministries, divisions, attached departments, and subordinate offices in Islamabad, Rawalpindi, Karachi, Lahore, Quetta, and Peshawar.
Under the new rates, grade 22 employees will see their rental ceiling rise to Rs. 142,743 per month in Islamabad and Rs. 125,989 in other cities, up from Rs. 98,444 and Rs. 89,230, respectively. For grade 21, the ceiling increases to Rs. 119,278 in Islamabad and Rs. 98,378 in other cities, compared to the previous Rs. 82,261 and Rs. 71,107.
Grade 20 employees will have a ceiling of Rs. 99,615 in Islamabad and Rs. 82,696 in other cities, up from Rs. 68,700 and Rs. 59,079. Grade 19 officials will now receive Rs. 79,320 in Islamabad and Rs. 65,542 elsewhere, compared to Rs54,704 and Rs46,816 previously.
For grades 17 and 18, the ceiling is set at Rs59,669 for Islamabad and Rs49,808 for other cities, up from Rs41,147 and Rs35,898. Employees in grades 14 to 16 will have a ceiling of Rs45,073 in Islamabad and Rs37,665 in other cities, compared to Rs31,085 and Rs27,134.
Grade 11-13 officials will see their ceiling rise to Rs35,878 in Islamabad and Rs30,815 in other cities, from Rs24,744 and Rs21,462. For grades 7 to 10, the ceiling increases to Rs23,784 in Islamabad and Rs20,112 in other cities, up from Rs16,403 and Rs14,682.
Employees in grades 3 to 6 will receive Rs15,921 in Islamabad and Rs13,230 in other cities, compared to Rs10,980 and Rs9,654. Finally, grade 1 and 2 employees will have a ceiling of Rs10,192 in Islamabad and Rs9,590 in other cities, up from Rs7,029 and Rs6,591.
These enhanced rates also apply to houses hired under the Accommodation Allocation Rules, 2002, or the decentralized house rent system notified on July 31, 2004, where leases have expired. New lease agreements will be based on current rental assessments, the occupant’s revised ceiling, or the owner’s demand, whichever is less.
Meanwhile, the Ministry of Housing and Works has clarified a news item published in a section of the press regarding a 45% hike in the rental ceiling for government employees.
Referring to the media report titled “Govt employees get 45pc rent bump,” the spokesperson stated that the Ministry of Housing and Works had issued no such office memorandum.
The ministry noted that a fictitious and artificially generated office memorandum was circulating on social media, which formed the basis of the reported story.
Earlier, the office of the Public Relations Officer at the ministry clarified that the document in question was not authentic.
The Estate Office, under the ministry, is currently conducting a survey of market rent rates for residential accommodations at six specified locations, including Islamabad, Rawalpindi, Lahore, Karachi, Peshawar, and Quetta. This survey is not yet final, and nothing has been officially notified so far.
