Cape Town – National Treasury allocated R1bn less to social development in the adjusted appropriation after a number of children were removed from the child support system, following an investigation.
The money allocated to the Department decreased from R148.9bn in the February budget to R147.9bn in the medium-term budget, according to the mini budget that was delivered on Wednesday.
“Due to a number of children being taken off the system in June 2016, following investigations prompted by the auditor general, the uptake of beneficiaries is therefore not expected to reach 12.3m by the end of 2016/17,” Finance Minister Pravin Gordhan said.
In his mini budget, Gordhan said the child support grant has increased to R360 per month from October 2016 to offset the effects of high food inflation experienced in the year.
In addition, Cabinet has also approved an extended child support grant for orphans who have lost both parents, but who are in the care of extended family. “This will be implemented in 2018/19 and will bring the income protection afforded to these orphans closer to parity with that provided to orphans in foster care,” Gordhan said.
There are currently close to 461 000 children in foster care in South Africa.
The allocation to beneficiaries of social assistance will be divided as follows:
- Old age beneficiaires: R58.9bn
- War veterans: R3.6m (stet)
- Disability beneficiaries: R20bn
- Foster care beneficiaries: R5.5bn
- Care dependency: R2.6bn
- Child support beneficiaries: R51.3bn
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