Over the past few days, there has been a lot of noise — some of it sincere, much of it opportunistic about the recent vote in Parliament on the fiscal framework.
South Africans deserve the truth. So let me be unequivocal: Bosa’s vote was not an endorsement of the Budget. It was not a blank cheque. It was a strategic, responsible decision taken to prevent a much worse outcome: the collapse of the entire national Budget process.
We were not presented with a choice between good and bad. We were forced to choose between bad and catastrophic. And in that moment, we chose to steady the ship — because responsible leadership means making difficult decisions when the stakes are high, not scoring easy political points when the country teeters on the edge.
Rejecting the fiscal framework at this early stage would have brought the Budget process to a grinding halt. That’s not alarmism — it’s the reality of how Parliament works. If that first vote fails, the downstream consequences are severe.
The payment of public sector salaries would be put at risk. Social grant distributions could be delayed. Critical government services — like schools, hospitals, and policing — would face funding uncertainty.
The poorest and most vulnerable South Africans would have borne the brunt of that collapse. And that, we simply could not allow.
This is what leadership looks like: the courage to hold the line in the short term, while fighting for fundamental change in the long term. That’s the role Bosa is playing in this Parliament.
Let me explain the process, because much of the misinformation we’ve seen comes from a misunderstanding—or deliberate misrepresentation—of how the national Budget works.
Parliament’s Budget process unfolds in three stages:
- The fiscal framework – this is the “big picture”: it sets the total amount government plans to spend and borrow, and the overall revenue strategy;
- The Division of Revenue Bill – this determines how that overall amount is divided between national, provincial and local governments; and
- The Appropriations Bill – this gets into the detail: how each department spends its money, line by line.
What we voted on last week was only Stage 1. The first hurdle. And we voted “yes” — not because we liked what was on the table, but because we couldn’t allow the Budget process to collapse before the real work of change could even begin.
But that vote came with firm conditions, which we negotiated. Before casting our vote, Bosa fought for and obtained the following commitments:
- A review of spending cuts that were originally designed to fund the proposed VAT increase. This is critical, because we oppose that VAT hike outright;
- A broader expenditure review to cut wasteful and misaligned spending across government in order to free up resources for the most urgent priorities; and
- The adoption of a Growth Charter — a binding roadmap for unlocking investment, creating jobs, and reversing the stagnation that has gripped our economy for more than a decade.
These are not vague suggestions. There is now a 30-day deadline for the National Treasury to return to Parliament with concrete proposals to address these issues. And we will be watching closely.
And let me be clear: if those conditions are not met, we will not support the next two votes in the Budget process. Our support for Stage 1 does not guarantee our support for Stages 2 and 3. We are not here to rubber-stamp failure. We are here to fix it.
Most importantly, we are not just bystanders in this process. As of this budget cycle, I serve as Chairperson of the Appropriations Committee. That means Bosa now has a leading role in the line-by-line scrutiny of government spending. We will use that position to fight for the changes we demanded.
I am acutely aware of how the VAT hike has triggered real concern — particularly among poor and working-class households. Rightfully so. VAT is a regressive tax. It disproportionately affects those with the least. And it comes on top of rising food, fuel and electricity prices.
Some consumers have already begun receiving SMS notifications from retailers about VAT increases. Let me explain why.
Alternative revenue sources
Under current legislation, the finance minister has the authority to provisionally implement tax changes following the budget speech. But these changes are not final until Parliament adopts the necessary tax bills. That has not yet happened. Bosa will continue to oppose the VAT increase, and will push for alternative revenue sources — such as sin taxes on online gambling — that do not target the poor.
Bosa will use every tool at our disposal to protect South Africans from the consequences of poor fiscal choices. We will protect the poor from VAT oppression. And we will protect the rand from the damage caused by those who seek to use Parliament as a political football because they lost a vote and want to burn down the whole process in retaliation.
We believe South Africa needs urgent reforms: not just to spending, but to the way we grow the economy, attract investment and create jobs. That is why we continue to advocate for a stronger trade and investment partnership with the United States — a country whose companies are ready to invest, if only South Africa would engage seriously.
We are under no illusions about how hard this road will be. But we are in it for the people. Not the headlines. Not the cheap wins.
We will measure this Budget process not by how it plays in the media, but by what it delivers for South Africans. Our vote was not the end of the story. It was the beginning of a real fight — one we are taking into every committee, every debate, and every corner of this country.
South Africa deserves leadership that can stand in the fire and make the hard calls. That’s what we did. And we will keep doing it. DM