Housing subsidies increased

23 May 2003

Housing Minister Brigitte Mabandla announced during the department’s budget speech in Parliament this week that the government has raised the subsidy levels for people who qualify for low-cost houses.

“We have decided to adjust the subsidy grant on an annual basis to ensure that the subsidy is not eroded by the effects of inflation,” said Mabandla.

The minister said the government subsidy for people earning up to R1 500 per month would be increased 13.8% or R2 800, from R20 300 to R23 100.

Those earning from R1 501 to R2 500 will see their subsidies increased by 11.8%, from R12 700 to R14 200.

Mabandla said there would also be an R800 increase from R7 000 to R7 800 for people who fell within the income bracket of R2 501 to R3 500.

She said the indigent, who included the aged, disabled and the infirm, would have their subsidy increased from R22 800 to R25 580, provided they earned no more than R800 per month.

The consolidation subsidy for those earning up to R1 500 rises from R10 900 to R12 521 and for indigents from R13 400 to R15 000, representing increases of 14.8% and 11.9% respectively.

Mabandla added that her department was investigating a possible raising of the income limit for the highest subsidy amount, from R1 500 per month to R1 794.

Source: BuaNews