South Africans reliant on social grants will see increases next year, Finance Minister Enoch Godongwana announced in his 2026 Budget Speech at the Nieuwmeester Dome in Cape Town.
The speech follows the Medium-Term Budget Policy Statement (MTBPS) delivered in late 2025 and sets out government spending plans for the 2026-27 financial year, starting 1 April 2026.
Reflecting on previous budget commitments, Godongwana said on Wednesday: “In the last budget, government promised that spending priorities would not be funded through tax increases if this could be avoided.”
ALSO READ: Basic income grant policy will take another year at least
To achieve this, the National Treasury has identified R12 billion in savings over the medium term.
The minister highlighted that improved targeting of social grants and beneficiary verification will save R3 billion by reducing fraud.
He praised the South African Social Security Agency (Sassa) for upgrading its biometric and income verification systems, which led to the termination of nearly 35 000 grants found to be incorrect or fraudulent.
Social grants increase
According to Godongwana, social grants remain a top government priority.
R2.67 trillion will be spent in the 2026/2027 fiscal year, with R292.8 billion of the total amount going towards social grants.
The planned increases include:
- Old age, disability, and care dependency grants: R80 increase to R2 400 from April
- War veterans grant: R80 increase to R2 420
- Foster care grant: R1 290 in April (R40 increase) and R1 300 in October (R10 increase)
- Child support and grant-in-aid grants: R20 increase to R580
Godongwana confirmed that the social relief of distress (SRD) grant will remain unchanged throughout the coming year.
He had previously announced during the MTBPS that the grant is set to continue until March 2027.
Introduced during the Covid‑19 pandemic, the R370 SRD grant provides temporary support to unemployed adults who do not already receive other social grants.
Millions of South Africans aged 18 to 59 have relied on it since 2020.
NOW READ: Review of Sassa grants bite as 70 000 payments are suspended
About the Author
