13 JANUARY 2026, CAPE TOWN

UTILISING THE ADJUSTMENTS APPROPRIATION BILL TO PROTECT THE SOCIAL WAGE WHILE MANAGING FISCAL CONSTRAINTS

HONOURABLE MEMBERS 

LADIES AND GENTLEMEN 

FELLOW SOUTH AFRICANS WATCHING AT HOME

GREETINGS TO YOU ALL!

HOUSE CHAIRPERSON,

I rise in this August House to remind South Africans from all walks of life – especially those from poor and working-class backgrounds – that this Adjustments Appropriation Bill place them at the centre of government interventions in a difficult economic condition. This Bill is geared towards ensuring that when climate-related disasters strike, when prices of food and basic services rise, and when jobs are scarce, the ANC-led government does not retreat. It reflects the ANC’s unwavering commitment to a caring, developmental state that places human dignity at the centre of governance.

HONOURABLE MEMBERS,

The ANC stands behind this Bill because it defends the social wage, particularly education, health care, social support, and basic services that sustains millions of poor and working-class households. For illustrative purposes, an upward adjustment of R2 billion to Vote 16 of the Department of Basic Education for Early Childhood Development (ECD) grant affirms the ANC’s belief that every child, regardless of where they are born, deserves a fair start in life. The ANC holds a historical view that investing in ECD is not charity; rather, it is nation-building and a direct investment in the future workforce of South Africa – this is one of the views that lit and powered the struggle for liberation in South Africa.

Moreover, an upward adjustment of R454 million to the Education Infrastructure Grant in Vote 16 of the Department of Basic Education to repair flood-damaged schools and social infrastructure, particularly in rural and township provinces like the Eastern Cape and KwaZulu Natal, ensures that children are not punished for climate-related disasters they did not cause.

Quality public healthcare is often the only line of defence for poor and working-class citizens, especially African women, children, the elderly, and persons with disabilities. The upward adjustment of R40 million to the Health Facility Revitalisation grant in Vote 18 of the Department of Health for repairing clinics and hospitals damaged by climate-related floods is therefore essential. An amount of R754 million allocatedto Budget Vote 18 of the Department of Health for the 2025/26 financial year to address the shortfall resulting from the withdrawal of international donor funding to the health sector, namely the President’s Emergency Plan for AIDS Relief (PEPFAR), ensures continuity of care for communities affected by HIV/AIDS, TB, and other chronic conditions.

This Bill makes it clear: fiscal constraints must never override the dignity and health of our people or, put differently, the wellbeing and development of our poor and working-class households cannot be traded off, even when public finances are under pressure.

FELLOW SOUTH AFRICANS,

The extension of the Social Relief of Distress (SRD) grant to the 2026/27 financial year, marking the first time that an extension to the SRD grant has been announced in a Medium-Term Budget Policy Statement (MTBPS), breaking the trend of keeping the status of the grant up in the air until the Budget in the following year, acknowledges the lived reality of millions of South Africans – that is, unemployment is structural and historical, rooted in Apartheid inequality and economic exclusion. For young people carrying the weight of unemployment, single mothers, and households with no income, the SRD grant is often the only buffer against hunger, poverty, crime, and social breakdown. Whilst this is the case, it is imperative that I stress that the ANC rejects the shallow narrative that the SRD grant creates dependency. Poverty creates dependency. Exclusion creates dependency. However, the SRD grant creates breathing space and dignity for its beneficiaries. As the Freedom Charter reminds us:

“There shall be security and comfort for all.”

HONOURABLE CHAIRPERSON,

Women, particularly African women, carry the heaviest burden of poverty in South Africa – they stretch small incomes, care for families, and hold communities together. This Bill supports women by strengthening health services, child support systems, and income relief through the SRD grant. By sustaining social protection, the ANC-led government prevents despair from turning into instability, and keeps hope alive while economic recovery is pursued.

Young people, particularly in rural areas and townships, face limited opportunities and rising frustration. For many young people in rural areas and townships, the biggest barrier to participation in the economy is lack of assets, especially land. A rollover of R647.5 million in Budget Vote 42 of the Department of Land Reform and Rural Development supports finalisation of restitution claims, acquisition of land for redistribution, and settlement support on restored land. This rollover creates opportunities for young people from claimant communities in KwaZulu Natal to access land for small-scale farming, climate-resilient agriculture, agro-processing and cooperatives and to participate in community trusts and communal property associations linked to restituted land. This implies that for youth locked out of formal employment, land becomes an alternative pathway into economic participation, not dependency.

HONOURABLE MEMBERS,

Social policy is also crime prevention policy. When households have food, basic income support and access to services, communities are safer. The SRD grant, education access, land redistribution funding, and healthcare funding contribute directly to social stability, particularly in areas affected by unemployment and inequality. This Bill therefore supports not only welfare, but public safety and social cohesion.

However, the ANC-led government does not govern by denial. The ANC acknowledges that social needs are rising faster than available resources, frontline workers remain under pressure, and social grant values are still below what many poor and working-class households require for survival. The ANC also recognises the need to strengthen capacity, especially in health and social services, so that allocated funds translate into actual care and lived improvements. Most importantly, the ANC beholds to the view that National Treasury’s Targeted and Responsible Savings (TARS) programme meant to cut down fraud and ‘double-dipping’ in the social grant system must be firm and ethical, but they must never exclude the deservingpoor and working-class citizens or punish people for administrative failures.

HONOURABLE CHAIRPERSON,

Some parties will, of course, reject this Bill not because it fails the people, but because it reflects ANC values. They accuse the ANC-led government of running an “austerity” fiscal policy, but remain silent when money is spent on basic services that poor and working-class households rely on. They accuse the ANC-led government of encouraging “dependency” while offering no alternative for unemployed youth. The ANC is clear: prudent finance and social justice are not opposites – they must be pursued together.

This Bill sends a strong message to poor and working-class South Africans that they are not forgotten, they are not abandoned, and they remain at the centre of democratic governance. In difficult times, the ANC-led government chooses care over indifference, solidarity over exclusion, and hope over despair.

For these reasons, the ANC supports the Adjustments Appropriation Bill. More importantly, the ANC supports this Bill because it is a protective intervention in a constrained moment, aligned with the ANC Manifesto’s commitment to dignity, equality and social protection; the NDP’s focus on human development; and the MTDP’s priority of building resilient, inclusive communities. As growth recovers, the ANC remains committed to stronger income support, decent work, and quality public services.

I thank you.