Cape Town's 2025/2026 budget faces criticism

INVESTED IN HOPE

- TRACY-LYNN RUITERS

CAPE Town’s newly adopted 2025/2026 “Invested in Hope” budget has been met with strong criticism from civic organisations and residents, who warn that the latest increases could disproportionately burden lowand middle-income households.

Sandra Dickson, chairperson of STOP COCT, said the City had “bluntly ignored” key objections raised during public participation.

“STOP COCT is deeply disappointed with the Mayor's flat refusal to address the homeowners' real concerns which is the rejection of the introduction of the Fixed Charges, the link to property values and the above inflation increases,” she said.

“If one look at the increase in total municipal accounts, it is only properties up to the R1.5 million mark that will receive increases resembling the current inflation rate. From R1.5m properties upwards, the total increase is double inflation and above R3m the increase is in double digits.”

STOP COCT flagged the 7.96% increase in the rate-in-rand, along with multiple new fixed charges. “This is exacerbated by the 38% increase in the fixed charge for electricity for the Home User category and the new fixed charge of R59.90 for the Domestic category. The new sanitation fixed charge and the new Cleaning Charge brings the total of new fixed charges on a municipal bill for a property of R1.5 million to almost R300 per month with no additional services provided by the City.”

Despite submitting objections through their members, Dickson said residents were ignored.

“The general objection was against the 4 fixed charges and the link to property values. This is still intact in the approved Budget. Therefore the City bluntly ignored our objections.”