In the last three decades, the Mount Elgon Forest in Kenya has declined primarily due to anthropogenic activities as a result of overdependence of forest products and services for livelihoods. This paper aimed at investigating the influence of deforestation activities on sustainable livelihoods of the inhabitants in mount Elgon Forest. This study used cross-sectional research design and mixed methodology where both quantitative and qualitative approaches of data collection and analysis was used. The target population was 12842 household heads, 4 ward administrators, 12 chiefs, 1 Kenya Forest service personnel and 1 NEMA official. A sample of 373 household heads,4 ward administrators, 12 chiefs, 1 Kenya Forest Service Personnel and 1 NEMA official took part in the study. Questionnaires, interview guides and Focus Group Discussions were used to collect data. Validity was determined by consulting supervisors while reliability was ascertained using Cronbach Alpha Coefficient. The quantitative data was analysed using frequencies, percentages, mean and Standard deviation. Pearson Correlation analysis was employed to determine relationship that exists between the independent and dependent variables. Qualitative data was thematically classified and arranged before they are reported in narrations and quotations. Analyzed data was presented using tables and figures. The study found out that there was a significant positive correlation between deforestation activities and sustainable households’ livelihoods (r = .682; p = .000) showing that deforestation activities affect sustainable livelihoods. It was recommended that there is need for the community and the government agencies to devise strategies of enhancing sustainable use of forest resources.