Lowering the Cost of Living

DA policy lands in the Government of National Unity

The Democratic Alliance is committed to making life more affordable for all South Africans. Our policies to lower the cost of living have taken centre stage in the Government of National Unity (GNU) agenda.

How has DA policy already landed?

1. Reducing Fuel Prices

High fuel costs affect everyone, from daily commuters to businesses relying on transportation. By advocating for reduced fuel prices, we aim to lower transportation costs, making goods and services more affordable for all.

2. Making More Food Items VAT-Free

Food prices are a major part of household expenses. Our policy to make more essential food items VAT-free will help ease the financial burden on families, ensuring that nutritious food is accessible to everyone.

3. Alleviating Economic Pressure

With rising living costs, many South Africans are struggling to make ends meet. The DA’s policies are designed to alleviate economic pressure, providing immediate relief to households and stimulating economic growth by increasing disposable income.

4. Promoting Fair and Inclusive Growth

By focusing on lowering the cost of living, we are not only helping individual households but also fostering a fair and inclusive economic environment. These measures will help bridge the gap between different socio-economic groups, promoting equality and shared prosperity.

President Cyril Ramaphosa’s Support

We are pleased to announce that President Cyril Ramaphosa has endorsed our key demands on reducing fuel prices and expanding the basket of VAT-free food items. He has agreed with the DA finally.

Join us in supporting these vital initiatives. Together, we can create a more affordable and prosperous future for all.

The DA’s response to how the 2024 annual budget will be spent:

  1. Support for budget principles: The DA backs the 2024 budget’s focus on reducing the country’s deficit, managing debt, and promoting economic reforms.
  2. Growth focus: The DA believes economic growth must accompany these budget measures and will push for it in the GNU.
  3. No new bailouts: The budget doesn’t allocate new funds for bailouts, which the DA supports. Bailouts have increased public debt and cut funds for vital public services.
  4. Debt management: South Africa’s debt to GDP (Gross Domestic Profit) is too high at 74.6%. The state spends 20% of its budget on debt repayment, hurting service delivery.
  5. No tax increases: The budget doesn’t raise taxes for 2024/25. The DA opposes tax increase and supports reviewing the fuel price and VAT on essential food items.
  6. Structural reforms needed: The DA calls for reforms to public monopolies like ports, rail, and energy to boost growth and create jobs.
  7. Fiscal responsibility: The DA urges all GNU parties to stick to this budget’s fiscal plan to rescue South Africa’s finances and control debt.
  8. Future budgets: The DA expects future budgets to include more reforms and focus on growth to create jobs and stabilise the economy.

Full Account of the DA’s advocacy on these issues:

Follow these links below to read more about the DA’s efforts aimed at making life more affordable for all South Africans:

Slashing Fuel Prices:

Slash fuel prices to prevent hunger and riots

Slash fuel prices!

Rising fuel prices are a testament to ANC’s misguided economic policy

ANC-sponsored fuel price nightmare continues

Fuel price increase – Ramaphosa’s SONA must provide relief to struggling consumers

VAT-Free Food Items:

Act now on devastating 14% food price hike, Mr President!

Act now on devastating 14% food price hike to relieve widespread hunger, Mr President

Standing Committee on Finance endorses DA plan to cut VAT on food

DA welcomes GNU focus on growth for SA

General Advocacy

The DA’s Plan to Unleash Enterprise, Grow the Economy and Create Jobs

The DA’s plan for South Africa to beat the past and build the future