South Africa’s DA joins opposition push to hold up contested budget

The Democratic Alliance, South Africa’s second-largest party in the coalition government, has allied with the opposition Economic Freedom Fighters to postpone a parliamentary vote on the disputed 2025 budget scheduled for Wednesday. The majority of large parliamentary parties oppose a budget proposal to increase value-added tax by 1 percentage point over two years, claiming it would significantly affect the poorest.

On Tuesday, a committee in parliament approved a report endorsing the budget’s fiscal framework, even though numerous lawmakers on the committee expressed concerns regarding some key revenue-generating measures. Parliament is scheduled to convene at 1400 local time (1200 GMT) on Wednesday to review the report and cast votes on the fiscal framework and revenue proposals.

The DA and EFF sent individual letters to National Assembly Speaker Thoko Didiza, claiming that the proceedings on Tuesday were procedurally incorrect. The EFF’s correspondence stated that the procedure was “flawed and open to legal dispute.” It requested the report’s withdrawal and the rescheduling of Wednesday’s parliamentary session, threatening legal measures if this did not occur.

During the parliamentary committee meeting on Tuesday, the largest party in the ruling coalition, the African National Congress, depended on a minor party not within the coalition, ActionSA, to secure the necessary support.

The DA has charged it with overstepping a “line in the sand” by seeking assistance from a party not within the coalition. It also highlighted procedural discrepancies in its communication to the speaker, local news reported.  COSATU, the nation’s largest trade union federation and a long-time ally of the ANC, stated it would be a “travesty” if parliament’s concerns regarding increasing value-added tax and failing to adjust personal income tax thresholds for inflation were overlooked.