Parliament has officially passed the 2025 fiscal framework and revenue proposals, following last month’s Budget Speech delivered by Finance Minister Enoch Godongwana. The approval comes amid heated debate over controversial tax measures, particularly the increase of the fuel levy.
The framework was adopted in the National Assembly with 268 votes in favour, backed by the African National Congress (ANC), the Democratic Alliance (DA), and other parties within the Government of National Unity (GNU). All nine provinces also supported the budget during the vote on Wednesday.
However, opposition parties including the Economic Freedom Fighters (EFF) and the uMkhonto weSizwe (MK) Party — representing a combined 87 votes — rejected the proposals, calling the budget anti-poor and criticising the fuel levy hike of 16 cents per litre on petrol and 15 cents on diesel.
EFF MP Omphile Maotwe slammed the process, alleging procedural violations in adopting the framework. “It increases the tax burden on the poor through a fuel levy hike and silent personal income tax increases,” she said. “We will not accept taxation without representation.”
Chairperson of the Standing Committee on Finance and ANC MP Joe Maswanganyi defended the framework, attributing previous delays in budget tabling to the complexities of a coalition-led government.
“For anyone calling for the minister’s head over the delay, it shows a lack of understanding of coalition dynamics,” Maswanganyi said. “The budget confronts a constrained economic environment marked by global risks and domestic structural issues. Yet, it remains focused on development, social support, and fiscal responsibility.”
The MK Party’s Des Van Rooyen argued that a wealth tax would have been a more equitable option. “The fuel levy disproportionately affects the poor. The minister missed an opportunity to impose a tax on the wealthy instead,” he said.
ActionSA MP Alan Beesley, while acknowledging flaws in the budget, said his party supported it in the interest of national progress. “This fiscal framework is a GNU budget, and every GNU party must be held accountable if it fails to deliver growth and jobs,” he said. “It’s not perfect, but as a country, we cannot afford further delays.”
The passage of the fiscal framework sets the stage for the national budget to move forward, though the sharp divisions in Parliament highlight the challenges ahead for the GNU in balancing fiscal discipline with social and economic needs.