government scare tactics sassa
Before the election, the Department of Social Development promised a Universal Basic Income Grant by 2026. But what now after the election and formation of a Government of National Unity? Image: SASSA

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How much government will invest in SASSA social grants

The recent grants increases will cost the government more than ever. How much will the government in in SASSA social grants in 2025?

government scare tactics sassa
Before the election, the Department of Social Development promised a Universal Basic Income Grant by 2026. But what now after the election and formation of a Government of National Unity? Image: SASSA

SASSA Social Grants in 2025 are likely to cost the government R266 billion, reports Daily Investor. You can also quantify this as 3.6% of GDP. Moreover, the figure is significant increase from the 2023/24 financial year, in which it spent R250 billion.

TRENDING: SASSA grants post this year’s budget speech

As if to calm concerns of overspending on SASSA Social Grants in 2025, the National Treasury was quick to mention they would decrease the portion of South African Social Security Agency grants in the next three years (2025-2027).

SASSA SOCIAL GRANTS IN 2025 (AND BEYOND)

SASSA Social Grants in 2025
SASSA Social Grants in 2025 will be the highest ever seen spent on social welfare in South African history. Image: File

Spending on SASSA Social Grants will breakdown as follows:

  • 2022/23: R233 billion
  • 2023/24: R250 billion
  • 2024/25: R266 billion
  • 2025/26: R246 billion
  • 2026/27: R259 billion

Furthermore, the National Treasury’s medium-term expenditure framework (MTEF) period has allocated R1.17 trillion to social grants and welfare services. Following next year’s (2025) record spending on the welfare state, you’ll note the planned decrease.

SOCIAL RELIEF OF DISTRESS

SASSA SRD status check
Spending on the Social Relief of Distress will actually decrease going forward, factoring in inflation. Image: File

Moreover, the decrease in 2026 will be due to a reduction in spending on the COVID-19 Social Relief of Distress (SRD) grant. Factoring in inflation and increased access for eligible beneficiaries, R33.6 billion in 2024/25 is in fact a decrease from the R33.89 billion Treasury has allotted currently.

Additionally, forecasts say 28 million will get onto the welfare system this year, versus the approximately 27-million people receiving grants currently. 9.2 million of these are monthly R350 SRD grant recipients. If you minus SRD beneficiaries, the number of SASSA Social Grants disbursed will increase from 18.8 million currently, to 19.7 million in 2026/27.

INCREASES ACROSS THE BOARD

SASSA Social Grants in 2025
Nearly two thirds of social welfare expenditure is for child support and the elderly. Image: File

Moreover, the two most important grants are child support and old age, which make up 64.9% of total grant expenditure. Accordingly, old age, war veterans, disability and care dependency grant will all by R100 by the time 1 October 2024 rolls around. Foster care increases by R50 and child support by R20 in April 2024.

What do you think about how much government will spend on SASSA Social Grants in 2025? Be sure to share your thoughts with our audience in the comments section below. And don’t forget to follow us @TheSANews on X and The South African on Facebook for the latest updates.