Human settlements accused of withholding funds

Patricia de Lille has accused the dept of placing stumbling blocks in the city's efforts to address housing.

FILE: Cape Town Mayor Patricia de Lille. Picture: Aletta Gardner/EWN.

CAPE TOWN - The Department of Human Settlements is withholding a R50 million housing grant, the City of Cape Town said on Monday.

The department says the money is being temporarily withheld from all metropolitan municipalities.

Mayor Patricia de Lille has accused Human Settlements Minister Lindiwe Sisulu of placing stumbling blocks in the city's efforts to address housing needs.

The department has denied Sisulu has an agenda against the city.

De Lille believes Sisulu is deliberately refusing to release funding for housing, while the Western Cape faces regular protests around housing delivery.

But Sisulu's spokesperson Ndivhuwo Mabaya says all metropolitan municipalities are being prevented from accessing a R50 million capacity development grant until certain concerns are addressed.

"Among the issues they are concerned about is that they need to review the business plan. They also need to understand how the money is going to be used."

De Lille is not impressed and warns withholding funds may force some projects to a screeching halt.