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North West Treasury steps up action on municipal wasteful spending

Published

Municipalities in North West must now give verifiable evidence that they are cutting unauthorised, irregular, fruitless and wasteful spending. Those that do not comply may lose part of their December 2026 equitable-share money from National Treasury.

The North West Provincial Treasury is working with the provincial Department of Cooperative Governance and Traditional Affairs (COGTA), the South African Local Government Association (SALGA) and municipalities. The Greater Taung Local Municipality is named among the places involved.

Any withholding of the December 2026 equitable-share tranche would be subject to statutory processes. National Treasury would be the body to withhold the transfer.

Linda Nengovhela, Chief Director for Municipal Financial Management at the Provincial Treasury, set out what she expects. She said: "Municipalities must move beyond reporting UIFW balances to implementing tangible systems that prevent irregularities, recover losses where applicable and hold those responsible accountable."

Key facts

Who
Linda Nengovhela (Chief Director for Municipal Financial Management at Provincial Treasury); North West Provincial Treasury (Provincial treasury leading the initiative); Department of Cooperative Governance and Traditional Affairs (Participating department in the initiative); South African Local Government Association (Participating body in the initiative)
What
The North West Provincial Treasury is stepping up coordinated interventions to address municipal unauthorised, irregular, fruitless and wasteful expenditure, requiring municipalities to provide verifiable evidence of progress. The article warns that non-compliant municipalities may face possible withholding of the December 2026 equitable-share tranche by National Treasury, subject to statutory…
When
28 October 2026
Where
North West, Greater Taung Local Municipality
Status
Reported

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