All social grants, barring the Social Relief of Distress (SRD) grant, are expected to increase from April this year.
Delivering the 2025 Budget Speech in Parliament on Wednesday, Finance Minister Enoch Godongwana said the number of social grant beneficiaries – excluding those receiving the SRD grant – is expected to rise to some 19 million in 2025/26 and 19.3 million in 2027/28 due to a growing population of older persons.
Godongwana said for 2025/26, social grants will be allocated some RR284.7 billion.
“As announced by the President in the State of the Nation Address, the SRD will be used as a basis for the introduction of a sustainable form of income support for unemployed people.
“The future form and nature of the SRD will be informed by the outcome of the review of active labour market programmes. This is expected to be completed by September 2025.
“The truth is that ours is one of the most comprehensive social safety nets among emerging economies. This reflects our commitment to addressing poverty and inequality, while keeping our spending sustainable,” he said.
The grant increases this year include:
- Old age grant will increase from R2185 to R2315
- War veterans grant will increase from R2205 to R2335
- Disability grant will go up from R2185 to R2315
- Foster care grant rises from R1180 to R1250
- Care dependency grant will increase from R2185 to R2315
- Child support grant will go up from R530 to R560
- The grant-in-aid will increase from R530 to R560
In the Budget Review, National Treasury said the budget for social grants is “increased by R8.2 billion over the medium term to account for higher costs of living”.
“An amount of R35.2 billion is allocated to extend the payment at the current [SRD] R370 per month per beneficiary, including administration costs,” the department said.
The Department of Social Development, which administers social grants, has been allocated R422.3 billion in 2025/26, which is expected to increase to R452.7 billion in 2027/28, at an average annual growth rate of 4.5%.
“This funding supports poverty reduction through social grants, the provision of risk benefits through social insurance and the delivery of welfare services, development initiatives, empowerment programmes, gender equality initiatives and advocacy for children, women, youth, the elderly and individuals with disabilities.
“Social grant spending makes up 81 percent of the allocation for this function. At an average annual growth rate of 5.3 percent, social protection spending increases above inflation over the medium term; however, social grant reform and efficiency savings will be necessary to ensure the sustainability of the social security system.
“[The] sector’s operational budget will be subject to conditions, including the need to improve biometric verification of recipients to achieve savings,” the National Treasury said. – SAnews.gov.za
