Social grants remain central as Social Development tables R302bn budget

Wednesday, May 20, 2026

The Department of Social Development has tabled a R302 billion Budget Vote for the 2026/27 financial year, with government reaffirming its commitment to strengthening South Africa’s social protection system amid rising global economic pressures and persistent inequality.

Acting Social Development Minister Sindisiwe Chikunga told the National Assembly on Tuesday that the budget comes at a time when households continue to face high food, fuel and cost-of-living pressures due to the current geopolitical tensions. 

The bulk of the allocation will go toward direct social grants, while government also moves to accelerate the modernisation at the South African Social Security Agency (SASSA), expand interventions against poverty, and strengthen responses to gender-based violence.

Of the total budget, R293 billion is allocated to monthly social assistance grants for children, older persons and persons with disabilities.

Government also confirmed continued funding for the Social Relief of Distress (SRD) grant, which has been extended until March 2027 and will support approximately 8 million working-age individuals who are unable to support themselves.

An additional R36.4 billion has been allocated for the continuation of the SRD grant, alongside funds to cover administrative and staffing adjustments within SASSA and the department.

“We welcome the grant increases announced by the Minister of Finance, while acknowledging that the Child Support Grant remains below the food poverty line. However, the Child Support Grant remains one of the most significant tools to combat child poverty and facilitate transitions to sustainable livelihoods,” the Minister said. 

SRD extension and pathway toward basic income support

The department said work is underway on the broader basic income support policy, with costing models already finalised following the Cabinet submission of the draft framework.

Officials are also exploring linkages between social protection and employment pathways, including pilot programmes that connect Child Support Grant recipients to sustainable livelihood opportunities in Gauteng, KwaZulu-Natal and the Free State.

“We intend to expand this initiative to all other provinces in the current financial year and beyond,” Chikunga said. 

SASSA modernisation delivers R1 billion in savings

A key highlight of the budget speech was progress in modernising SASSA systems and tightening grant administration controls.

The department reported that intensified grant reviews have already saved over R1 billion, which has been redirected to other priorities.

Key reforms include:

  • Full rollout of a biometric beneficiary system across all 432 SASSA offices;
  • Registration of approximately 1 million new beneficiaries on the system; 
  • Expansion of the queue management system to 378 offices; and
  • Ongoing rollout of remaining offices in the current financial year.

“As the agency expands this digital footprint, we are strengthening cybersecurity to protect beneficiary information and safeguard system integrity. 

“We will also expedite lifestyle audits for SASSA employees, beginning with officials in high-risk areas, including grant administration, finance, Information and Communications Technology (ICT) and procurement,” Chikunga said.

Improved education outcomes

The Minister highlighted the positive outcomes linked to social grants, particularly the Child Support Grant. 

Of the 729 650 learners who wrote matric in 2025, 84.2% were recipients of the grant. The matric pass rate among grant beneficiaries rose from 74% in 2021 to 84.9% in 2025, while bachelor's passes improved from 33.2% to 41.9%.

The department said these outcomes demonstrate the broader developmental impact of social protection, with many beneficiaries progressing to tertiary education through the National Student Financial Aid Scheme (NSFAS) and entering the labour market.

Gender-based violence

The department also placed strong emphasis on tackling gender-based violence and femicide (GBVF), which has been classified as a national disaster.

Government currently supports 142 shelters nationwide, with 47 districts covered. 

Five districts remain without shelter access, which the department said will be prioritised in the current financial year.

The Gender-Based Violence Command Centre has received more than 39 000 calls since the start of the year.

Chikunga condemned recent violent incidents, including alleged mob justice cases, and called for stronger law enforcement response and increased public reporting of abuse through the toll-free line. – SAnews.gov.za