Omtatah Demands SHIF Scrapped, Says Universal Healthcare Must Be Tax-Funded

Omtatah Demands SHIF Scrapped, Says Universal Healthcare Must Be Tax-Funded

Busia County Senator Okiya Omtatah has launched a fresh legal assault on the government’s new health financing framework, telling the High Court that universal health care must be funded directly through taxation and not through compulsory contributions imposed on citizens.

In submissions filed before the court, Omtatah argued that the Social Health Insurance Fund (SHIF) and the Social Health Authority (SHA) violate the Constitution by forcing Kenyans to make additional payments despite already meeting their tax obligations.

According to the Senator, the government has an explicit constitutional duty to ensure access to health services using public revenue, warning that the current arrangement effectively amounts to unlawful double taxation.

“Universal health care is not a favour from the State. It is a constitutional obligation that must be financed through taxes already paid by the people,” Omtatah argued.

‘Fraudulent’ figures and disputed loan timelines

The outspoken lawmaker also raised concerns over what he described as inconsistencies in official government documents relating to loan repayments linked to the health reforms.

Omtatah told the court that while the public had been informed that repayments would begin in August 2024, documents now show that repayments are scheduled to start six months after approval — in February 2025.

He described the discrepancy as fraudulent, accusing the government of presenting misleading figures to Kenyans.

“The numbers placed before the public do not match the official documentation. That is deception,” he said.

Senate sidelined, law ‘fatally flawed’

Omtatah further faulted the legislative process that led to the introduction of SHIF and SHA, insisting that the amendments underpinning the new framework were never subjected to Senate approval as required by law.

As a result, he argued, the Finance Act could not lawfully introduce the new health scheme, rendering the entire framework unconstitutional.

“No rights can hang on an illegal process,” Omtatah told the court, warning that procedural shortcuts had stripped the reforms of legal legitimacy.

‘Broken promises’ and workers’ rights concerns

The Senator also accused the government of violating the principle of legitimate expectation, noting that Kenyans had previously been assured that health care reforms would not impose additional financial burdens.

He maintained that forcing workers into mandatory contributions undermines the constitutional right to accessible, adequate, and affordable health care, and constitutes a breach of public policy.

“This scheme punishes workers instead of protecting them,” Omtatah argued.

Data protection fears raised

Beyond financing and procedure, the petitioners also raised alarm over alleged data protection violations during the transition to the new system.

They claimed that personal data was transferred without adequate safeguards or consent, in breach of constitutional and statutory data protection requirements.

Petitioners seek declaration of unconstitutionality

In their final submissions, petitioners led by Omtatah, Nakuru-based surgeon Dr Benjamin Agare, and activist Eliud Matindi urged Justice Bahati Mwamuye to declare the SHIF and SHA unconstitutional.

They cited violations of constitutional procedure, workers’ rights, public finance principles, and data protection laws, arguing that the reforms cannot stand in their current form.

The court is expected to issue its determination at a later date.

Also Read: Government Faces Outrage After Sh1bn Youth Project Fails to Give a Single Loan

Omtatah Demands SHIF Scrapped, Says Universal Healthcare Must Be Tax-Funded

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