Budget 3.0: No changes to social grant increases initially announced in March
CAPE TOWN - The latest version of the budget tabled in Parliament on Wednesday reflects no changes to social grant increases initially announced in March.
And while the Social Relief of Distress Grant has been extended for yet another year amid a legal battle over its permanence, Minister Enoch Godongwana says this is the last time.
R1.6 billion has been allocated in this financial year to retain the monthly grant, first introduced during the COVID pandemic, at three hundred and seventy rand.
Permanent grants will be increased above inflation.
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The National Treasury estimates that 19.3 million people will be part of the government's social grants programme by March 2028.
Godongwana has left untouched increases to grants which came into effect in April, with a top-up of R10 from October.
The old age grant, war veterans grant and care dependency grant have been increased by R130, pushing the monthly stipend to R2315.
The foster care grant has gone up by R70 to R1250, while the child support grant is now R560.
"Will the COVID-19 social relief of distress be extended to the end of March 2026? The answer is no. Government is actively exploring various options to better integrate this grant with employment opportunities."
Vulnerable groups will, however, no longer enjoy a tax break on additional food items, with Godongwana now withdrawing this concession following the decision to scrap a proposed VAT increase.
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