UBIC: Treasury conditions threaten social grants
The Universal Basic Income Coalition (UBIC) warns that National Treasury’s new conditions for SASSA will exclude millions from social grants and deepen poverty.
These measures, previously applied to the Social Relief of Distress (SRD) grant, now extend to all major grants including child support, older persons, disability, and care dependency. They include:
- Surveillance of bank accounts, misreading shared income and child maintenance
- Faulty cross-checks with databases like UIF and NSFAS
- Algorithm-based biometric profiling and fraud risk scoring
- Mass suspensions without notice, placing the burden of proof on applicants
The impact is severe:
- 90 percent of SRD grant rejections are erroneous, affecting 10 million people
- Up to 6 million children and 3.5 million caregivers face exclusion
- 215 000 newborns may lose access to critical support
- A High Court ruled similar SRD conditions unlawful in January 2025, yet Treasury is expanding them
SASSA has stopped publishing key SRD data, and over 200 000 beneficiaries are now under review using undisclosed credit data.
UBIC calls on Parliament to:
- Halt implementation of these harmful measures
- Release the draft Basic Income Support policy for public input
- Ensure transparency and consultation on all reforms
- Allow UBIC to present formally to the Committee
UBIC is comprised of the following organisations:
- Alternative Information and Development Centre (AIDC)
- Basic Income Earth Network (BIEN) – Africa UBI Observatory
- Black Sash
- Children’s Institute, UCT
- Congress of South African Trade Unions (COSATU)
- The Family Caregiving Programme
- Global Reformed Platforms for Engagement (GRAPE )
- Institute for Economic Justice (IEJ)
- National Education, Health and Allied Workers’ Union (NEHAWU)
- #PayTheGrants
- RightfulShare: An Income Movement
- South African Federation of Trade Unions (SAFTU)
- Women on Farms Project
- Youth Lab