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Treasury denies cutting grant beneficiaries to save money

Published

The National Treasury says a R13 billion saving in the grant system comes from a gradual fall in beneficiaries as it removes fraud. It also says raising the old-age pension to R3,000 would cost the State more than R30 billion a year.

The Treasury responded to public comments on the Medium-Term Budget Policy Statement. Civil society groups had claimed that it is cutting the number of grant beneficiaries to save money. The Treasury dismissed this.

Busi Mothlabedi, a Deputy Director in the Budget Office at the Treasury, said people are not being excluded on purpose. In her words: "We are just making sure that we are granting people that should be getting grants according to the Act."

Civil society groups want the old-age pension raised to R3,000 a month. The Treasury put the cost of the increase for the older persons grant at R30.2 billion. It put the cost of the proposed increase for the child support grant at R42.5 billion.

Key facts

Who
Busi Mothlabedi (Deputy Director in the Budget Office, National Treasury); Enoch Godongwana (Finance Minister); National Treasury (government department responding to comments)
What
Responding to public comments on the Medium-Term Budget Policy Statement, the National Treasury said a R13 billion saving in the grant system stems from a gradual decline in beneficiaries as it removes fraud, and that raising the old-age pension to R3,000 would cost the State more than R30 billion a year.
When
30 October 2026
Where
South Africa
Status
Reported

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