Sifuna vows to scrap fuel, electricity and housing levies using Sh500bn budget cuts

Sifuna vows to scrap fuel, electricity and housing levies using Sh500bn budget cuts

Linda Mwananchi leader Edwin Sifuna speaking during the official launch of the party’s offices in Lavington, Nairobi, October 30, 2026. /SCREENGRABLinda Mwananchi leader Edwin Sifuna has pledged to cut Sh500 billion from the national budget and scrap taxes on fuel, electricity and the housing levy if his political outfit wins the 2027 General Election.

Speaking on Friday during the official opening of the party’s offices in Lavington, Nairobi, the Nairobi Senator said his administration would prioritise eliminating wastage and redirecting public resources towards easing the financial burden on Kenyans.

Sifuna argued that excessive government expenditure had left limited resources for essential services, while households continued to grapple with the high cost of living.

He said Linda Mwananchi had developed a plan to address the problem within its first 100 days in office, beginning with cuts to what he described as unnecessary government spending and extravagance at State House.

“We want to assure Kenyans that we have a comprehensive plan. As Linda Mwananchi, we want to spend our first 100 days in office cutting the wastage in government and the extravagance at State House,” he said.

The senator cited the allocation to State House as an example of government spending his administration would seek to reduce.

According to the approved 2026/2027 national budget estimates, State House received Sh13.54 billion, comprising Sh12.52 billion for recurrent expenditure and Sh1.03 billion for development expenditure.

The allocation covers the institution’s administrative and operational responsibilities, including the running of State House and State Lodges.

Sifuna contrasted the expenditure with the financial demands facing essential public services, particularly the health sector, arguing that the government should prioritise resources that directly benefit citizens.

“How can it be that nurses have been on strike asking for only Sh1.5 billion and State House is allocated Sh12?” he posed.

He maintained that reducing government expenditure would create room for tax relief without compromising the delivery of public services.

“We want to cut Sh500 billion from the government budget and, once we have done that, return the money to Kenyans. We want to remove taxes on fuel, electricity and this thing called the housing levy,” he said.

The proposed cuts would form the basis of his administration’s plan to reduce the cost of living, with Sifuna arguing that Kenyans were facing an excessive tax burden.

Fuel taxes and levies contribute to pump prices paid by motorists and transport operators. Consumers ultimately bear the additional costs through higher expenses for transporting goods and delivering services.

Electricity charges include statutory levies and other cost components, while the Affordable Housing Levy is deducted from employees’ earnings at a monthly rate of 1.5 per cent, with employers making a corresponding contribution.

Sifuna did not identify the specific budget lines his administration would target or provide a detailed breakdown of how the proposed Sh500 billion savings would be allocated.

His pledge places government expenditure and the removal of selected taxes and levies at the centre of Linda Mwananchi’s economic agenda ahead of the 2027 General Election.

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