Manila: The bicameral conference committee on the proposed 2026 General Appropriations Bill (GAB) has decided to retain a reduced allocation for the Pambansang Pabahay Para sa Pilipino (4PH) Program under the Department of Human Settlements and Urban Development (DHSUD), citing low utilization rates.
According to Philippines News Agency, House Committee on Appropriations chairperson Rep. Mikaela Angela Suansing announced that the House proposal kept DHSUD's budget at PHP3.09 billion, in line with the National Expenditure Program (NEP). Senate Committee on Finance chairperson Sherwin Gatchalian clarified that this allocation covers agency operations and technical services, with only PHP35 million specifically set aside for the 4PH program.
During the deliberations, Rep. Brian Yamsuan emphasized the need for the government to prioritize land acquisition and explore in-city housing solutions, especially in urbanized areas like Metro Manila, to prevent displaced families from returning to informal settlements. He argued that relocating families to distant areas often results in their return to their original locations.
Sen. Erwin Tulfo raised concerns over the significant reduction in the 4PH allocation, highlighting that the program is a key initiative of the administration. He questioned how the budget cut from PHP700 million to PHP35 million could meet the housing needs, suggesting that it limits the program's capacity to purchase houses.
Gatchalian explained that DHSUD underwent leadership and program changes, leading to a comprehensive reform of the 4PH program, which affected its implementation. He noted that the utilization rate was only 5 percent in 2024 and dropped to zero percent in 2025, resulting in remaining funds. Consequently, funds were redirected to the National Housing Authority (NHA), with DHSUD serving as the policy-making agency and NHA as the housing builder.
Despite the budget reduction, Gatchalian assured that the 4PH program would continue and expand to benefit lower-income groups. He also supported exploring alternative housing solutions, such as using idle or oversupplied condominium units in Metro Manila for socialized housing, and suggested that the government could subsidize amortization for 4PH beneficiaries.
Gatchalian stated that such options are possible within the 4PH framework, with subsidies focusing on interest rates and amortization, depending on the viable pricing of housing units.