Thabiso Goba12 May 2025 | 16:26

Gauteng Treasury deliberating on whether to withdraw provincial budget

Last week, the KwaZulu-Natal government withdrew its budget after a ruling by the Western Cape High Court, which blocked the implementation of the VAT increase.

Gauteng Treasury deliberating on whether to withdraw provincial budget

Gauteng Finance MEC Lebogang Maile held a media briefing on Monday, 12 May 2025. Picture: Thabiso Goba / Eyewitness News.

JOHANNESBURG - Gauteng Treasury said it was deliberating on whether to withdraw the provincial budget, following the ongoing troubles in passing the national budget.

Last week, the KwaZulu-Natal government withdrew its budget after a ruling by the Western Cape High Court, which blocked the implementation of the VAT increase.

READ: Gauteng govt 'confident' Treasury will allow rollover of its unspent funds to next financial year

Gauteng Finance MEC Lebogang Maile held a media briefing on Monday to provide an update on the provincial government’s finances

Like most provincial governments, about 90% of Gauteng’s budget comes from money allocated by the National Treasury.

In the ongoing national budget impasse, the finance minister withdrew the Division of Revenue Bill, which outlines how much money each province receives from National Treasury.

Maile said that the provincial government was still studying the implications.

"We are still making a determination whether we are going to represent the budget again. As you know, the (finance) minister is going to present the budget on the 21st [of May]. The national budget has got implications on the provincial budget, so if there are changes in the numbers, it means we must go back to our legislature and present the budget again."

Maile has assured Gauteng residents this will not affect service delivery as there is a provision in law for provincial governments to spend 45% of their previous allocations pending the passing of the national budget.