Complaining about the cost of essential goods and services has become the everyday talk whether it be in the office, a taxi to work or at public gatherings.
This is because it’s becoming harder for many people to afford the things they need for survival. So serious is the crisis that many households now forgo some essential goods to cut costs.
Last week, the Competition Commission released its inaugural Cost of Living Report, which found that water and electricity tariffs have surged to more than double headline inflation since 2020. According to the report, electricity tariffs have surged 68% and water charges have climbed 50% since 2020, an increase higher than the 28% rise in headline inflation during the same period.
Furthermore, the report found that the average worker spends more than 57% of their salary on transport and electricity. It also highlighted that in the past five years, rentals rose 12%, funeral policy premiums increased 9%, public primary school fees rose 37% and secondary school fees 42%, and GP consultation costs climbed 33%. Mortgage repayments were also up 28% since 2022. Even more worrying is the sharp increase in the cost of an average household food basket, which stood at 68% between 2019 and 2024.
The rising cost of food, particularly, has a negative impact on SA’s state of food security by making food expensive and inaccessible for many poor households, therefore increasing the risk of people facing hunger.
Last year, the National Food and Nutrition Security Survey found alarming levels of food insecurity in SA affecting 63.5% of households. The findings underscored the growing threat to food security for vulnerable groups, especially children.
What is further disheartening about these findings is that SA wears the shameful crown of being the most unequal country in the world. This, therefore, means the gap between the rich and the poor has kept on widening since the dawn of democracy.
While those in power want us to believe things are getting better, the evidence of these reports and the lived experience of the most vulnerable South Africans point to the contrary.
The real relief for consumers who have suffered through years of rising cost of living won’t come until the government considers taking drastic steps to protect the most vulnerable from the negative effects of our sluggish economy.
Of course, the solutions to the cost-of-living crisis are not easy, but they require political will, particularly in the face of rising unemployment and poverty, which are some of the key root causes of food insecurity.
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.