Cost-of-living crisis hits all local

From people relying on grants to high earners, rising expenses are unsustainable, forcing people to make increasingly difficult financial decisions that often mean shorting on basic needs. By Naledi Sikhakhane

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The full food basket with 44 basic items that many people buy, cost R5,379.42 in September.

(Photo: Jaco Marais/Gallo Images)

The Competition Commission's Cost of Living Report released on 4 September provides essential insights into the affordability of basic goods and services, allowing individuals and households to assess their financial capacity to sustain a reasonable standard of living.

Over the five years from 2020 to 2025, electricity prices increased by 68% and water prices went up by 50%. This is a much higher rate than general inflation, which increased by 28%

Over the five years from 2020 to 2025, electricity prices increased by 68% and water prices went up by 50%. This is a much higher rate than general inflation, which increased by 28%. And although the cost of rent for houses and flats in South Africa increased moderately over the period, it remained below overall inflation.

The report did note that although rentals are below inflation, the first quarter of this year recorded the strongest rental growth in eight years, with the average residential rent surpassing R9,000, according to PayProp.