CUT, DON’T INCREASE, GOVERNMENT SPENDING

25 February 2020

Statement by Brett Herron, Secretary-General for GOOD

CUT, DON’T INCREASE, GOVERNMENT SPENDING

25 February 2020

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The South African government is spending far more than it is earning.  To be able to prioritise spending on critical areas and services – inflation-linked grant increases, critical infrastructure and salaries for more teachers, nurses and police – government must become more efficient in how it does its work. GOOD’s policy advocates for a cut in government spending and expenses to safeguard the country.

GOOD appeals to the Minister to look at South Africa’s “household budget” and weigh up its costs and benefits. We don’t propose any new longwinded Acts or legislation – merely some prudent moves to cut costs and raise income from sources that should provide it.

1)      DON’T EMPLOY MORE POLITICIANS: A DA proposal to increase the seats and costs of provincial politicians has received the full support of the EFF and in principle support from the ANC in the Western Cape. GOOD does not support this move in any province. The proposed 24-42% increase in costs to employ more politicians is unjustified and unnecessary.

2)      SPEND IN THE RIGHT PLACES: Government must continue to subsidise mass public transport – rail and public buses – but not the airlines.  Bailouts must cease and government must provide a prudent, fixed budget for flights pet year to each MP, Deputy Minister and Minister to allow them to do their work. Like every other South African, a fixed budget in a time of rising costs will teach them to do more with less. Supporting entrepreneurs and paying less for the same service is smarter.

3)      RAISE TAXES WHERE NECESSARY: Cigarette taxes bring in R13 billion per year, but the health costs of smoking and tobacco use cost the country R59 billion. Tobacco taxes need to be raised to recover more of the costs that smoking inflicts on the country.

 

4)      PAY BACK THE MONEY: Recover the money lost to corruption by issuing an international appeal for our funds to be repatriated to South Africa.

5)      CHEAPER ELECTRICITY: Delivery, not talk and promises, in the procurement of more renewable electricity for the national grid. To reduce our electricity costs and ensure we can keep the lights on, the Minister of Minerals and Energy, Minister Mantashe, needs to put pen to paper and sign agreements for more wind and solar electricity. Electricity from the sun and wind is cheaper than coal and safer for us. The delays are inexcusable and are holding the economy to ransom.

ends

For media enquiries:     

Brett Herron      bretth@forgood.org.za                 082 518 3264