CAPE TOWN, SOUTH AFRICA - MARCH 12: People Against Budget Cuts protest ahead of the national budget speech outside of Parliament on March 12, 2025 in Cape Town, South Africa. The group has opposed any budgetary hikes in Value-Added Taxes (VAT) and also called for an end to austerity measures that have harmed communities. (Photo by Gallo Images/Ziyaad Douglas) 
In a bid to support “poverty reduction”, the temporary Social Relief of Distress (SRD) grant of R370 per month has been extended until 31 March 2026.
Good news? If you do the maths, this means that the approximately nine million people who rely on the SRD grant will see a decrease in the benefit as a result of inflation.
The amounts set aside for social grants have been reduced from the figures in the Budget of three weeks ago.
A cut of R4.7-billion sees an allocation of R422.3 billion in 2025/26, which will increase to R452.7-billion in 2027/28 at an average annual growth rate of 4.5%, with old-age grants taking the lion’s share.
Social grants will increase by 5.9% against inflation of 3.2% this January:
- R117.4-billion for old age grants;
- R99.5-billion for social security funds;
- R90.4-billion for child support grant;
- R77.0-billion for other grants;
- R23.3-billion for provincial social development; and
- R14.8 billion for policy oversight and grant administration.
How the allocation translates for you:
- Old age grant: R130 more for a total of R2,315;
- War veterans grant: R130 more at R2,335;
- Disability grant: R130 more at R2,315;
- Foster care grant: R70 more at R1,250;
- Care dependency grant: R130 more at R2,315;
- Child support grant: R30 more at R560; and
- Grant-in-aid: R30 more at R560.
A lifeline for the most vulnerable?
The extension of social grants brings partial relief to thousands of South Africans who depend on them, including Simone Africa, a homeless man who has been struggling to make ends meet for more than three years on the streets of Cape Town.
Africa spoke to Daily Maverick a day before the Budget speech and expressed the hope that “the government made us to rely on that money, so he must provide for the people and not take the R370 away, otherwise… if they do not get it anymore, some of them will break in, steal or rob people just to survive because some of them got kids, they need to survive… they are depending on R370 now. It is better for the government to create jobs, that is the best thing that the government can do.” DM
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