Activist groups slam R20 increase to SASSA SRD grant

Finance Minister Enoch Godongwana announced a R20 increase to SASSA SRD this week. However, the first-ever hike for Social Relief of Distress (SRD) grants by the South African Social Security Agency has been termed ‘an insult’ by one NGO coalition.

Moreover, the timing and motives behind the R20 increase to SASSA SRD have been questioned ahead of the 2024 General Elections. The Bureau for Economic Research (BER) asks why the R20 increase was announced the way it was. So late in proceedings at the National Assembly, when February’s budget speech would have made the most sense.

R20 INCREASE TO SASSA SRD

Then there’s the R20 increase to SASSA SRD itself. Why R20 and why an increase at all considering it has not moved in the last four years? If it was meant to adjust for inflation it falls well short of the mark. It should have been hiked by R80 to R430 per person, per month, says the BER. Furthermore, Business Tech reports the meagre R20 increase will still cost the country approximately R2.2 billion this financial year.

And yet, spending on social welfare is meant to be decreasing, according to the budget speech. From R36 billion this year (already way below the R44 billion of 2022), reduced to 33.6 billion the following year.

KEEPING PROMISES AT ALL COSTS

However, the reality of the R20 increase to SASSA SRD grants all comes down to President Ramaphosa’s promise of ‘an expanded and enhanced’ basic income grant. Again, a tough ask for the National Treasury when there is no money in the budget and the largest portion of taxpayers money goes to paying off debt (estimated to be R1 billion per day).

As reported by The Citizen, a group made up of several entities, called the Universal Basic Income Coalition, has hit out at the R20 increase to SASSA SRD. “Against this promise of an expanded and improved grant, the announcement of a meagre R20 increase per month from April 2024 smacks of a disconnect from the state with the persistent food insecurity millions face. It amounts to empty political opportunism ahead of the election,” said the coalition.

DELIBERATE EXCLUSIONS

At last count, only 8.5 million Social Relief of Distress grants were disbursed monthly, even though upwards of 16 million citizens apply. The coalition believes there are delibrate exclusions taking place to reduce the amount of disbursements paid.

Moreover, “The R20 increase to SASSA SRD is not sufficient to cover even the minimum energy intake for an individual of R760 per month (according to Stats SA in 2023). Therefore, the hike is contrary to the finance minister’s acknowledgement that they are sensitive to the increase in the cost of living”, concludes the coalition.

• To see when the next SASSA SRD payments are due click HERE.
• To secure your place in the queue for the next SASSA SRD grant run click HERE.

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