Pretoria: All social grants, except the COVID-19 Social Relief of Distress (SRD) grant, are set to increase in the next financial year. According to the 2026 Budget Review released by National Treasury, the adjustments in grant allocations reflect a strategic effort to address social welfare needs while maintaining fiscal responsibility.

The financial shifts include an increase in the old age grant from R2 315 to R2 400, and a similar rise for the war veterans grant from R2 335 to R2 420. The disability and care dependency grants will both go up from R2 315 to R2 400. The foster care grant will see an increase from R1 250 to R1 295, while the child support and grant-in-aid will each increase from R560 to R580. Despite these changes, the SRD grant will remain at R370, with payments extended until the following year.

According to South African Government News Agency, social grants make up a significant portion of the spending on social development. The expenditure, excluding the SRD grant, is projected to rise from R246.6 billion in 2025/26 to R276.5 billion in 2028/29. The SRD grant itself is allocated an additional R36.4 billion to continue payments until March 2027. Adjustments in the social grant allocation align with a lower inflation outlook and improved targeting and verification, leading to anticipated savings of R2 billion in 2026/27 and R1 billion in 2027/28.

The Social Development function’s budget will increase by approximately 4.2%, from R412.2 billion in 2025/26 to R466.4 billion in 2028/29. This budget supports poverty reduction initiatives and funds development programs, empowerment drives, and advocacy for vulnerable groups, including children, women, youth, the elderly, and people with disabilities.

National Treasury has mandated the South African Social Security Agency (SASSA) to improve biometric and income verification processes. By December 2025, SASSA reviewed bank accounts of six million clients and credit bureau records of eight million, identifying 291,581 beneficiaries for further review. This led to adjustments in grants for 8,599 recipients and the cancellation of 34,661 grants, resulting in projected savings of R36.4 million and R170.7 million, respectively, by the end of 2025/26.

The introduction of biometric verification for new applicants aims to enhance beneficiary authentication and combat fraud and corruption, ensuring protection for legitimate recipients.