DA accuses ANC, ActionSA of betraying South Africans after deal backing budget

CAPE TOWN - The Democratic Alliance (DA) has accused ActionSA and the African National Congress (ANC) of betraying South Africans after the two parties agreed to adopt a finance committee report supporting the national budget.

The report, which was adopted on Tuesday during a meeting in Parliament, includes the 0.5 percentage point value-added tax (VAT) increase.

ALSO READ: TSHIDI MADIA EXPLAINS: Budget talks ahead Parliament's budget vote

It also includes a recommendation from ActionSA to give National Treasury 30 days to find alternative revenue streams to replace the VAT hike.

Parliament is expected to vote on the report and budget at a sitting on Wednesday.

"ActionSA’s deal with the ANC to pass a 1% VAT hike over the next two years will make life more expensive for South Africans," said DA spokesperson Willie Aucamp.

"Let the history books show that ActionSA brought a VAT hike to the people of South Africa."

But ActionSA parliamentary leader, Athol Trollip, said this was a victory.

"So, we believe we’ve played a really prominent role in getting this budget referred back to find alternative revenue streams and to consider the reviews around expenditure and to prevent wasteful expenditure."