While delivering his much-anticipated budget speech for the 2023/24 financial year, Finance Enoch Godongwana, announced that social grants will increase by roughly 5% throughout the coming financial year.
With a confirmed R400 million allocated to the South African Social Security Agency (Sassa) to administer, the Minister outlined the increases to permanent grants as follows:
- The old age grant will increase from the current R1,985 to R2,085, while the grant will increase to R2,105 for those above the age of 75.
- The War veterans grant will increase from R2,005 to R2,105.
- The Disability grants will increase from R1 990 to R2085.
- The Foster care grant is due to increase by R1,050 to R1,125.
- The Care dependency grant will increase from R1,985 to R2,085.
- The child support grant will increase from R480 to R505.
- Grant-in-aid is also due for an increase, which will take it from R480 to a total of R505.
Godongwana also noted that the state expects to see a rise in beneficiaries over the following three years, and that child care and old age payments continue to get the highest share of government spending.
“The child support grant and old age grant together account for about 70% of total grant expenditure over the MTEF period. These two grants will be provided to a total of 17.5 million beneficiaries in 2023/24. Social grants will increase in line with inflation over the medium term.” Godongwana stated.
In addition to this, the government expects permanent social grant coverage to increase from approximately 18.6 million beneficiaries in March 2023 to 19.6 million beneficiaries by March 2026.
