Cost of Living Crisis

National Treasury estimates the total foregone revenue from the general fuel levy relief at R17.2 billion - to be recouped through underspending and revenue windfalls rather than structural reform. With nearly 70% of government tax revenue allocated to compensation of employees, interest payments, and household transfers, and barely 5% assigned to economic infrastructure, middle-class taxpayers continue to fund public current consumption rather than future growth. That same middle-income group lacks the social safety nets available to lower-income households and the financial flexibility of their upper-income counterparts.