The City of Cape Town has revised its proposed ‘Invested in Hope’ Budget for the 2025/26 financial year following mounting public pressure and criticism over proposed increases in municipal bills.
One of the most contentious elements was the initial decision to link property values to utility fees, sparking fears of inflated monthly household costs.
In the updated budget, the City has now expanded its rates relief measures:
All properties valued up to R7 million will now benefit from the first R450,000 in rates-free value, an increase from the R5 million cap in the earlier draft.
Pensioners will also see relief, with the qualifying income threshold for discounted rates increasing from R22,000 to R27,000 in total household income per month.
Cape Town Mayor Geordin Hill-Lewis said the adjustments were made without compromising critical infrastructure investments.
“We have thoroughly examined the budget to find ways to achieve this without compromising the critical and urgent investments required for infrastructure, and without punishing the whole city in years to come by kicking the can down the road instead of doing what is needed now,” said Hill-Lewis.
However, many residents remain dissatisfied.
Speaking on VOC’s PM Drive, Sandra Dickson, founder of Stop City of Cape Town, said the amendments fall short of addressing ratepayers’ core concerns.
“The city has forgotten that the employed people in Cape Town have many responsibilities and expenses to cover. The municipal bill has become a huge portion of the average resident’s monthly costs, and that’s why so many people are unhappy.”
Dickson added that while there were changes, they were largely cosmetic.
“Even after the recent amendments, the range of increases is still between 4–25%, which is above the inflation rate. The only substantial change the mayor made was to the cleaning charge, which was reduced significantly.”
The public can comment on the revised budget until 13 June.
Listen to the full interview with Sandra Dickson below:
VOC News
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