Court slams government SRD grant budget cut, exclusionary online-only application system

The Gauteng High Court in Pretoria has unequivocally condemned the South African government for its failure to adequately address the barriers preventing millions of citizens from accessing the Social Relief of Distress (SRD) grant.

While it has been estimated by National Treasury that over 18.3 million South Africans are eligible for the SRD grant, the government has significantly reduced the budget from R36 billion to R33.6 billion for the 2024/2025 financial year. Judge ML Twala noted that this allocation is sufficient for only around half the number of those in urgent need of assistance.

“This is the result of the use of administrative and procedural obstacles which serve the purpose of excluding people who are most vulnerable,” Judge Twala remarked, highlighting the ‘inefficient administration’ that has plagued the disbursement of the grant. Drawing on poignant examples of human suffering, the judge expressed dismay at the negligence displayed by both the South African Social Security Agency (SASSA) and the Department of Social Development.

Moreover, the court highlighted the glaring inconsistency between the SRD grant value and the food poverty line. The latter, set at R760 a month for 2023, starkly contrasts with the meagre R350 provided under the SRD grant, a situation condemned as unconstitutional. The ruling further emphasised the absence of any meaningful adjustment of the grant to reflect inflation, marking a serious failure on the part of the government.

Citing previous Constitutional Court judgements, Judge Twala articulated a vital perspective: “Those who are unable to survive without social assistance are equally desperate and equally in need of such assistance.” This poignant observation reflects a broader societal responsibility to ensure that basic needs are met for all citizens.

The current system, which saw over 16 million beneficiaries at the onset of the Covid-19 pandemic, has been rendered increasingly exclusionary. As of March 2023, out of 14 million applicants, only 8.3 million were approved for the grant, which led to the National Treasury's budget cuts from R44 billion to R36 billion. The restrictive regulations implemented have systematically undermined the ability of eligible applicants to receive assistance.

In a significant part of the judgement, Judge Twala ruled that the online-only application process constituted an unreasonable and unconstitutional barrier, further compounded by overly expansive definitions of income and financial support that unjustly excluded individuals in desperate need.