June 30, 2022

Nearly a quarter of South African households depend on grants as main source of income: survey

Civil society organisations are taking the federal government to courtroom over what they are saying are “unfair” and “exclusionary” rules for the Social Reduction of Misery (SRD) grant.

In line with Statistics South Africa (Stats SA), social grants make up the major source of revenue for twenty-four.4% of all households within the nation.

The rollout of the Covid-19 SRD grants in 2020 performed a central position in defending people and households towards the loss of revenue over the previous few years and is the second most necessary source of revenue for households after salaries, Stats SA stated.

Nonetheless, entry to the grant has change into extremely restrictive, with civil society teams now pushing again.

In a media briefing on Thursday, the Black Sash, #PayTheGrants, Amanda.mobi, the Centre for Utilized Authorized Research (CALS), the Institute for Financial Justice, and the Social Coverage Initiative introduced that they filed an software towards the federal government within the Excessive Court docket in Pretoria to have the present rules declared unconstitutional and put aside, GroundUp stories.

The teams are additionally pushing towards the ‘arbitrary means test’ that bars already susceptible South Africans who had beforehand been eligible for the grant from accessing the grant in the event that they earn greater than R350 a month.

In line with GroundUp, since April 2022, over 10 million grant candidates haven’t been paid, resulting in the Institute for Financial Justice’s attorneys sending a letter of demand to handle the pressing concern.

Rachel Bukasa from civil organisation Black Sash stated the brand new grant software course of, launched at first of the month, is suffering from issues. Individuals who obtain a couple of grant, such as a mom on a baby help grant and the SRD, are being disqualified.

The nationwide director of the Black Sash stated they might problem unfair practices in instances the place grants weren’t paid and added that the brand new rules are too restrictive, particularly when the price of meals and different bills are on the rise.

The place the grants are going

Grants had been most necessary as the first source of revenue for households in Jap Cape (42.0%) and Limpopo (35.2%).

Stats SA stated that as a result of excessive uptake of the R350 monthly grant, the share of people who accessed grants elevated to 35.7% in 2021, whereas the share of households that obtained at the very least one grant elevated to 50.6% in 2021.

New banking legal guidelines proposed for South Africa

Source link