Changes in allocation of State funds to political parties could haunt ANC, says opposition

CAPE TOWN - Opposition parties say a change in how State funds will be allocated to political parties could come back to bite the Africa National Congress (ANC). 

On Tuesday, the party supported by the Economic Freedom Fighters and the National Freedom Party pushed through a change in the funding formula that could see the majority party benefit by as much as 25%.

But Home Affairs Minister Aaron Motsoaledi said the changes made in the Electoral Matters Amendment Bill were constitutionally sound and would withstand legal scrutiny. 

A two-thirds to one-third proportional to equitable funding ratio has now reverted to the previous 90% and 10% respectively.

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Opposition parties estimate it could mean an extra R50 million windfall for the ANC this year. 

The Freedom Front Plus’ Corne Mulderhas warned that the move could backfire. 

“You run the risk that the court may find when we approach them, to come with a new formula 50-50 between equitable and proportional and you will be the ones losing out.”

However, Motsoaledi said there’s nothing untoward about the changes. 

“Why is it a sin to have a party with many members? This is also about proportionality, go to court, we’ll meet there.”

Parties also bemoaned the removal of the donation and declaration limits in the Political Party Funding Act - saying it will leave a vacuum until the president decides on the new limits.