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Criteria for Classification of Cities for House Rent Allowance

Criteria for Classification of Cities for House Rent Allowance

GOVERNMENT OF INDIA
MINISTRY OF FINANCE
LOK SABHA
UNSTARRED QUESTION NO: 926
ANSWERED ON: 21.07.2017

Classification of Cities

SAUGATA ROY
Will the Minister of FINANCE be pleased to state:-

(a) the details of the criteria followed for the classification of cities into various categories to consider for the HRA of Central Government employees; 
(b) whether this classification will be mandatory for all Central Government assistance in future to the cities of the country;
(c) if so, the details thereof; and
(d) whether the Union Government sought the opinions of the concerned State Governments in this regard and if so, the details thereof ? 

ANSWER
(a) For the purpose of grant of House Rent Allowance to Central Government employees, cities are classified on the basis of population criteria. For this classification, the population within the Urban Agglomeration area of a city as per the latest published final decennial Census Report, is taken into consideration.
(b) & (c) No, sir. This classification of cities is only for the purpose of grant of HRA to Central Government employees. 

(d) No, sir. 
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