Sassa Aims to Save R341-Million Through Stricter Screenings

The Treasury has introduced additional requirements to enhance the oversight of grants. SASSA anticipates saving over R341-million in the u...

The Treasury has introduced additional requirements to enhance the oversight of grants.

• SASSA anticipates saving over R341-million in the upcoming fiscal year, as approximately 35,000 grants were terminated following recent evaluations.
• On Wednesday, SASSA and the Department of Social Development updated Parliament on the advancements in grant reviews and initiatives aimed at addressing significant issues within the Social Relief of Distress grant system.
• Following an inquiry that revealed significant weaknesses in the SRD platform, SASSA enhanced security measures, closed fraudulent websites, and implemented regular quarterly vulnerability checks.
• The Treasury has increased control over SASSA's finances, mandating more regular bank and credit bureau checks, updated income and asset evaluations, and verification during the application process.

The South African Social Security Agency (SASSA) anticipates saving over R341-million in the upcoming fiscal year, as thousands of social grants were discontinued following recent eligibility assessments.

On Wednesday, SASSA and the Department of Social Development (DSD) updated Parliament's portfolio committee on social development regarding the advancements in grant reviews and the actions being taken to address significant weaknesses in the Social Relief of Distress (SRD) grant system. Representatives mentioned that the savings result from enhanced verification processes, additional requirements set by National Treasury, and continuous efforts to resolve important security issues within the SRD application platform.

Earlier this year, DSD informed Parliament that the Treasury had implementedstricter conditionsRegarding SASSA's financial distribution, this involves tracking individuals' income monthly through banking information and official government records, conducting enhanced verification processes, and providing regular update reports.

The DSD has been allocatedR260 billion for 2026/27 and R271 billion for 2026/27 allocated for social assistance, as almost 45% of the population relies on social grants. Finance Minister Enoch Godongwana recently stated that the SRD grant will continue until March 2027.

The SASSA executive manager responsible for grant operations, Brenton van Vrede, informed MPs that although SASSA had met the requirement for biannual bank and credit bureau checks for recipients, the Treasury had recently updated these rules to mandate checks during the registration process.

"At this point, our systems are not designed to accomplish this during sign-up," he stated.

A new regulation mandates that SASSA perform extra income and asset evaluations for applicants and recipients, although Van Vrede noted that the details of this requirement are still "unclear."

He mentioned that the biometric verification process for online applications for all grants is anticipated to begin by the end of November.

In line with the Treasury's requirements for SASSA to conduct grant reviews, Van Vrede mentioned that approximately 35,000 grants were put on hold or ended, primarily affecting recipients of the Child Support Grant and Disability Grant. Just from these suspended grants, SASSA anticipates monthly savings of R28.5-million, totaling R170.7-million by the end of this fiscal year, and R341.4-million after a full year.

In the first half of the year, SASSA started over 260,000 reviews. Approximately 201,000 recipients have finished theirs. Those who do not come forward may face suspension. Van Vrede mentioned that 8,600 Older Persons and Disability grant recipients had their payments lowered following income assessments.

Improved systems

The committee was also informed about the results of an investigation regarding the security of the SRD online application system. The inquiry came afterfindingsby two students from Stellenbosch University who found that the platform was highly vulnerable to cybercriminals, with numerous fake applications being submitted using the ID numbers of individuals who had just turned 18.

Social Development Minister Nokuzola Tolashe stated that the inquiry revealed "weak encryption and unauthorized application programming interfaces, fake websites imitating SASSA's official site, and interruptions in beneficiary payments."

She mentioned that the main suggestions were for SASSA to reinforce authentication processes, fight fake websites, boost verification and payment security, and upgrade IT management.

"I can confirm that SASSA has been diligently working on implementing the suggestions to ensure the protection of public funds under our care," stated Tolashe.

Jabulani Makondo, the acting chief information officer at SASSA, stated that multiple high-risk vulnerabilities have been addressed, such as outdated encryption methods that previously left applicants' ID numbers and banking information vulnerable to interception.

"We have taken this step to safeguard the personal details submitted to the SRD grant system when individuals apply," he stated.

Makondo mentioned that the agency has discovered over 150 websites imitating SASSA's SRD platform and has managed to close down approximately 70 of them. He noted that the agency is carrying out regular quarterly security evaluations because "our systems are not fixed" and new weaknesses may arise when software or settings are modified.

Members expressed worries about individuals without mobile phones missing review alerts, technical failures at local offices, and situations where obsolete government records resulted in improper rejections.

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