Tshidi Madia13 March 2025 | 3:43

Budget Speech 2025: DA's dissatisfaction goes beyond VAT increase

On Wednesday, Finance Minister Enoch Gondgwana successfully tabled the country’s proposed fiscal policy framework.

Budget Speech 2025: DA's dissatisfaction goes beyond VAT increase

Democratic Alliance (DA) flag. Picture: X/@DA_Gauteng

JOHANNESBURG - While the Democratic Alliance (DA) has claimed it's rejected the value-added tax (VAT) increase because it cares about South Africa's poorest – Eyewitness News understands the party rejected the proposal because the African National Congress (ANC) didn’t want to give in to its demands, some of which have nothing to do with the budget 

On Wednesday, Finance Minister Enoch Gondgwana successfully tabled the country’s proposed fiscal policy framework.

In February he aborted plans to deliver the budget speech due to disagreements in the Government of National Unity (GNU) – supposedly over the tax hike.

As the dust settles on budget 2.0, details are now emerging over what the DA asked for in return for its support of the budget

Insiders claim the DA’s leadership has been getting pressure from its party over perceived losses to the ANC on key policy issues.

This comes as they accuse the DA of creating the current impasse to politicise the budget.

Some members of Cabinet – who spoke to EWN anonymously – claim the DA wasn’t opposed to the budget, adding it had its package of issues.

These are said to include the reversal of the National Health Insurance, the Basic Education Laws Amendment, and the Expropriation Acts

But DA spokesperson Willie Aucaump says his party is correct in singling out those pieces of legislation.

"Every single measure that we’ve put on the table to negotiate with the ANC was a measure that will contribute towards growth in South Africa’s economy."

The proposed budget is now before Parliament - which has the authority to accept, reject or to make necessary amendments where it sees fit.