Sassa Grant Increases Remain Despite VAT Reversal

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Stakeholders were concerned that social grants may be impacted by the delivery of the third budget speech of the year. An important announcement was made regarding Sassa grant increases.


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Finance Minister Enoch Godongwana has confirmed that all planned increases to permanent South African Social Security Agency (Sassa) social grants will go ahead, despite the decision to reverse the VAT hike.

This assurance provides certainty to millions of South Africans who depend on social grants for survival.

Confirmed Sassa Grant Increases

  • Old Age Grant – R2 315
  • War Veterans Grant – R2 335
  • Disability Grant – R2 315
  • Foster Care Grant – R1 250
  • Care Dependency Grant – R2 315
  • Child Support Grant – R560
  • Grant-in-Aid – R560

Future of the SRD Grant

The Social Relief of Distress (SRD) grant will continue until 31 March 2026. The government will spend R35.2 billion to sustain the R370 monthly payment, including administrative costs.

Minister Godongwana said the government is reviewing ways to link the grant to employment opportunities.

This includes considering a job-seeker allowance and other measures, as part of the review of Active Labour Market Programmes,

The aim is to offer immediate relief while supporting long-term employment pathways to help citizens improve their futures.

Rising Beneficiary Numbers

The number of social grant recipients, excluding SRD beneficiaries, is projected to grow to 19.3 million by March 2028. This is largely due to an increase in the elderly population, according to National Treasury's 2025 Budget Overview.

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