Increase in rent and prices of goods and services hits Africa’s most populous city

Recently, the Lagos State Government repealed its 2001 Land Use Charge Law and replaced it with the new 2018 Land Use Charge Law passed by the Lagos State House of Assembly (HOA) on the 29th of January 2018. Following the passage of the bill by the HOA,  the Lagos State Governor, Akinwunmi Ambode on the 8th of February 2018 signed it into law. This has been described by many Lagosians as an insensitive and inhumane act by the Lagos state government.

According to the new law, a property solely occupied by the owner for a residential purpose will be charged at a rate of 0.076 percent per annum. A property occupied by the property owner and tenant(s) or third parties will be charged 0.256 percent per annum. An investment property fully occupied by tenants or a third party(ies) for revenue generation will be charged at 0.76 percent per annum.

A Landlord in Lagos that used to pay land use charge of N58,000 before the increase now has a bill of more than N400,000 to pay.

This means that rents in Africa’s most populous city will increase because the tenants would end up paying for this charges through their rent. This would, in turn, affect the standard of living of a lot of Lagosians as they will experience an increase in the prices of goods and services. The cost of transportation would also not be left untouched as transporters would be forced by to increase transportation fare in order to have enough money to pay their bills.

Would Lagosians keep quiet about this?

Here are some of the reactions by Lagosians