[Image: Wikimedia]
As the deadline for public participation on the City of Cape Town’s draft budget for 2025/26 approaches on May 2, Ratepayers’ Associations are still urging residents to sign petitions opposing the proposed budget.
Initiated by the Cape Town Collective Ratepayers’ Association (CTCRA) — a coalition of more than 50 civic organisations — the petition has gained significant traction, especially among communities in the Far South.
As per IOL, both the Noordhoek Ratepayers’ Association (NRPA) and the Fish Hoek Valley Ratepayers’ and Residents’ Association raised the alarm earlier this month, warning that the budget’s structural changes could result in monthly increases of up to 30% for many households — especially those in properties valued above R3 million.
“The NRPA supports many of the initiatives of the city, including the large infrastructure projects in the Cape Flats, but the increase brought upon homeowners of properties valued at R2 million or higher is disproportionate and far outstrips the annual inflation rate of 3.2%. The upcoming valuation roll with exacerbate the situation.”
The NRPA is particularly concerned about the financial burden these increases will place on residents, especially pensioners and those already struggling with rising living costs.
Any increase would be met with opposition, but have you ever wondered what the thousands you pay towards your monthly rates actually go towards?
According to Mayco member for finance, Siseko Mbandezi, the City is investing R39.7bn in infrastructure over the next three years for better water and sanitation, roads, electricity services, public transport and more.
To do this, the city uses your rates, and according to Mbandezi, “It must be pointed out that the City of Cape Town offers the lowest property rates for commercial, industrial, and residential properties, based on an analysis of the 2025/26 draft budgets tabled by each metro.”
“The rate-in-the-rand is a statutory formula used by municipalities to calculate property rates. The formula shows how much a person would pay in rates for every rand of their property value.”
For every R1 in property rates, Cape Town residents fund:
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- Policing, Traffic, Fire and Disaster services -29 cents
- Infrastructure investment – 14 cents
- Free and subsidised services to the poor – 15 cents
- Customer care, IT and service delivery – 15 cents
- Parks, public spaces, environment and libraries – 13 cents
- MyCiTi public transport – 6 cents
- Economic growth, tourism and informal trading programmes – 4 cents
- City clinics and health services – 4 cents
If the breakdown does little to ease your mind about the proposed rate increases, you can view and sign the CTCRA petition HERE.
You can also check your new rates using the CoCT Rates Calculator.
[Source: IOL]
