ANC statement: Ensuring universal and adequately funded Basic Income Grant
22 May 2024
We, the African National Congress (ANC), recognise the significance of implementing a Basic Income Support Grant, also known as the Basic Income Grant (BIG), as a crucial step towards achieving social and economic change in our country. We welcome the Election Scorecard on Universal Basic Income Grant Policy by the Universal Basic Income Coalition (UBIC) which ranks the ANC at the top out of 19 political parties assessed on their policy stance. According to the UBIC report, the ANC scored 8 out of 12 points.
[Read the full report here] (https://www.iej.org.za/universal-basic-income-policy-scorecard).
We firmly believe that the well-being and prosperity of all citizens should be at the heart of our progressive economic and social policies. We are encouraged by a recent independent study from the University of Johannesburg that confirms the majority of South Africans fully support the introduction of a basic income support grant.
In line with the ANC policy resolutions and our 2024 Manifesto, we commit to the following key principles and actions:
We acknowledge that the current temporary Social Relief of Distress (SRD) Grant should serve as the foundation for the transition to a permanent basic income support grant. To address the exclusion of a large number of people, we will improve the value of the grant and extend it to reach more beneficiaries.
We support a Basic Income Grant that benefits all individuals without work-seeking conditions. This grant will alleviate poverty and hunger for all vulnerable people, including caregivers, the unemployed, and those in precarious employment.
We recognise the need to progressively achieve an adequate basic income support grant based on the principle of universality. Our approach will ensure inclusivity, an adequate value indexed to scientifically determined poverty lines, and sustainable financing that promotes equitable redistribution. This will include gradually increasing the income threshold to include more individuals and indexing the grant’s value to the minimum Food Poverty Line, progressively moving towards the Upper Bound Poverty Line to effectively eliminate poverty in society.
The ANC is committed to financing the basic income grant through progressive mechanisms to ensure financial sustainability and equitable redistribution. We will explore options such as new progressive tax measures, including a social security tax, while maximising fiscal space by effectively utilising existing resources. The ANC is open to considering more diverse funding sources and a faster movement towards universality.
The ANC recognises that the basic income support should complement, not replace, existing social security mechanisms. We will ensure that it coexists with programmes like the Child Support Grant and consider introducing measures to support caregivers, job seekers, and entrepreneurs.
We firmly oppose the notion of replacing public services with the basic income support grant. Instead, we view the grant as a complement to public services and will resist any trade-off between income support and essential provisioning by the state.
The ANC is committed to finalising a comprehensive policy on the basic income support grant within two years of the new ANC administration, ensuring broad consultation and expedited action. We understand the urgency of providing certainty and coherence in this matter, addressing the challenges faced by the SRD Grant, and fulfilling our commitment to the well-being and prosperity of all South Africans.
The ANC stands united in our mission to create a more equitable and just society, ensuring that every South African can live with dignity and security.
LET’S DO MORE, TOGETHER. VOTE ANC.
Issued by Mahlengi Bhengu-Motsiri, National Spokesperson, ANC, 22 May 2024
