Parliament confirms VAT increase suspended, new budget to be tabled by Finance Minister

Parliament has confirmed that the planned Value Added Tax (VAT) increase, announced earlier this month, will no longer proceed. This follows an out-of-court settlement reached on Sunday, April 27, 2025, which was made an order of the Western Cape High Court. The agreement suspends the VAT increase and sets aside the 2025 Fiscal Framework, clearing the way for Finance Minister Enoch Godongwana to present a new National Budget. Phemelo speaks to the Director of the Parliamentary Budget Office, Dumisani Jantjies.