Business

Govt nods to 85% increase in house rent allowance for federal employees

The federal government has approved 85 percent increase in the house rent ceiling of government employees, reported 24NewsHD TV channel on Friday, quoting sources.

A summary sent by the Ministry of Housing and Works to the PM House recommended a uniform increase for all federal employees from grade one to grade 22.

The approval was obtained from the federal cabinet through a circulation.

Sources further revealed that this decision will impose an estimated financial burden of around Rs12 billion on the national exchequer.

However, it is expected to provide significant relief to employees amid rising inflation.

Official sources revealed that this increment fulfills a long-standing demand of government employees, helping to ease the burden of rising housing expenses.

The rise in house rent allowance will benefit hundreds of government staff. The increase will take effect once it receives circulation approval from the federal cabinet.

The move will add an annual burden of Rs12 billion to the national exchequer.

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