By Rachel Mohamed
Cape Town Mayor Geordin Hill-Lewis recently unveiled the City’s draft budget for the 2025/2026 financial cycle, dubbing it the “Invested in Hope Budget.” The proposal, amounting to R84.1 billion, has sparked public outcry—particularly over the proposed rate increases.
Among the key concerns is a 7.96% hike in property rates affecting commercial, industrial, and residential properties. Speaking on VOC’s PM Drive show, Independent Economic Analyst Professor Bonke Dumisa noted that budget proposals like this are standard across all municipalities at this time of year.
However, he warned of the disproportionate impact on vulnerable communities. “The unfortunate reality is that very high rates will be imposed in poorer areas,” said Dumisa. “This is largely because many residents are indigent and don’t pay for utilities. As a result, the cost burden will fall on the few who do pay—many of whom rely on government support themselves.”
Listen here for the full interview:
VOC News
Photo: Pixabay
