Finance

South Africa’s ‘temporary’ social grant is here to stay

Social grants

The Department of Social Development (DSD) has warned South Africans to disregard videos and graphics circulating on social media claiming that the Social Relief of Distress (SRD) Grant is ending.

“The department wishes to categorically state that these claims are false,” the DSD said in a statement released on Wednesday, 14 January 2026. 

“There is no such decision, announcement or directive from the Department or government regarding the termination of the SRD.”

The SRD Grant was introduced during the Covid-19 pandemic as a temporary measure to relieve pressure on struggling households during national lockdowns.

Despite being introduced as a temporary measure, the grant has since been extended every year since it was introduced and raised to R370 per month.

The DSD’s warning came after posts were circulated on social media posing as a “public notice”, including a photo of Social Development Minister Sisisi Tolashe, claiming that the SRD Grant is about to stop.

The fake news post states, “It was temporary. No permanent funding is guaranteed.” It further includes a fake quote from Tolashe saying, “We ask for your understanding as government makes tough budget decisions.”

In its statements confirming that these claims are fake, the DSD further cautioned that it is unlawful to use the official image of the minister and use of the department’s logo without authorisation.

The DSD said this is particularly pertinent for the purpose of spreading misinformation. “Such actions are misleading and constitute a misrepresentation of government communication,” it said.

“Members of the public are urged to disregard these videos and rely only on verified information issued through official government communication platforms,” the DSD said. 

The department confirmed that official information is only published via the following channels –

  • The official DSD website
  • SASSA and NDA official platforms
  • Verified government social media pages
  • The DSD WhatsApp Channel

“DSD strongly discourages the creation and circulation of fake news that causes unnecessary panic and distress among social grant beneficiaries,” the department said.

South Africa’s permanent temporary grant

Statistics South Africa’s 2024 General Household Survey (GHS) revealed that reliance on government funding is growing.

In 2003, the proportion of individuals receiving social grants was 12.8%. That increased to 30.9% in 2019 and surged to 40.1% in 2024 due to the introduction of the SRD Grant.

The social wage accounts for 61% of total non-interest spending over the medium term and is projected to reach R1.3 trillion in 2025/26.

In the 2025/26 fiscal year, R248.8 billion was appropriated for transfers to households for social assistance grants and social relief of distress.

This marks an increase of R1.6 billion in the social grants budget for the 2025/26 financial year. For the SRD grant, R35.2 billion was allocated to maintain the current level of R370 per month per beneficiary, including administration costs.

The 2025 May Budget, presented by the National Treasury, did not include any additional spending for the grant in the 2026/27 or 2027/28 financial years.

However, this is also the case for every preceding budget since the SRD grant was introduced, as Finance Minister Enoch Godongwana only announces the extension of the grant on an annual basis.

It is unclear when the SRD Grant will end. In the 2025 Budget, Finance Minister Enoch Godongwana said the government is actively exploring various options to better integrate this grant with employment opportunities.

“This includes considering a job-seeker allowance and other measures, as part of the review of Active Labour Market Programmes,” he said.

“Our goal is to not only provide immediate relief. It is also to create pathways to employment, empowering our citizens to build better futures for themselves and their families.”

The government has also floated the idea of using this grant as the basis to introduce a Basic Income Grant in South Africa, although no concrete plans have been presented. 

However, Tolashe has confirmed that the DSD plans to request the approval of a Basic Income Support policy by the end of the 2025/26 financial year.

She said that, should this request be approved and all necessary funding and legislative considerations proceed as planned, South Africa will introduce a new form of social grants in the 2028/29 financial year.

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