A judge ruled the R370 grant system was built to keep eligible people out, not to stop fraud. On 25 August 2026, the government asks the country’s second-highest court to overturn that finding.
Gauteng Division of the High Court, Pretoria, escalated to the Supreme Court of Appeal.
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Regarding the SASSA SRD grant court case, in January 2025, Judge Leonard Twala handed down one of the more consequential social welfare rulings in recent South African legal history, and most beneficiaries have still never heard of it. The Gauteng High Court found that the rules governing the R370 Social Relief of Distress grant, the online-only application system, the R624 monthly income threshold, the grant’s frozen value, were not designed primarily to prevent fraud. They were designed to keep spending inside a fixed budget, at the cost of excluding millions of people who genuinely qualify.
The government disagreed strongly enough to appeal the entire judgment in the SASSA SRD grant court case. That appeal reaches the Supreme Court of Appeal in Bloemfontein on 25 August 2026. Roughly nine million people currently receive the SRD grant. The applicants involved in the SASSA SRD grant court case argue the true number of people who should qualify is closer to 18 million, which means the outcome of a single day in a Bloemfontein courtroom could roughly double who is entitled to South Africa’s largest social grant programme by beneficiary count, or entrench the barriers that currently keep half of them out.
This article lays out exactly what the court found, why the government is fighting it, what the money actually looks like on both sides of the argument, and what beneficiaries should do while the SASSA SRD grant court case works its way through the appeal.
How the Sassa Srd Grant Court Case Got Here
The SRD grant launches as a temporary Covid emergency measure, paying R350 a month.
New regulations cut the income threshold from R595 to R350 and move applications online-only. Approvals fall from 10.9 million to 5.6 million within a month.
The Institute for Economic Justice and #PayTheGrants, represented by SERI, take the Department of Social Development and SASSA to court.
Judge Twala rules key SRD regulations unconstitutional and invalid, and orders government to fix them.
DSD, SASSA and Treasury are granted leave to appeal the entire judgment, with Twala himself agreeing the case is serious enough for the Supreme Court of Appeal.
IEJ and #PayTheGrants file papers opposing the appeal, accusing government of deliberate exclusion.
The Supreme Court of Appeal hears the government’s appeal in Bloemfontein.
What the Court Actually Found in the Sassa Srd Grant Court Case
Judge Twala’s judgment in the SASSA SRD grant court case did not just tweak one or two administrative rules. It struck at the legal foundation SASSA had used to justify how the SRD grant is run.
The court found the SRD grant carries the same legal status as any other grant under the Social Assistance Act, meaning government cannot keep treating it as a discretionary measure it can withdraw or leave unbudgeted.
No alternative application channel exists for SRD, unlike every other grant, which allows in-person applications and affidavits. The judge found this specifically cuts uptake among poor and digitally excluded applicants.
The automatic monthly bank-balance check, rejecting anyone showing over R624, does not distinguish between real income and a once-off gift, loan, or child maintenance payment.
Government must progressively increase both the grant value and the income threshold in line with the Constitution, not leave them flat while the cost of living climbs around them.
Rejected applicants’ appeals are assessed using the same automated checks that caused the rejection in the first place. Treasury has conceded this needs fixing. SASSA and DSD have not agreed.
Is This Really About Fraud, or About the Budget?
This is the argument at the centre of the entire SASSA SRD grant court case, and it is worth stating plainly because it changes how everything else should be read. The applicants in the SASSA SRD grant court case never disputed that SASSA has a legitimate interest in preventing fraud and verifying eligibility. Their case is that the specific barriers chosen, online-only access, an unusually low income threshold, bank checks that cannot distinguish a loan from a salary, were not selected because they are the best tools for catching fraud. They were selected because they are effective at keeping the total number of paid beneficiaries below a number Treasury had already fixed in its budget.
“The whole system is rigged to exclude eligible people.”
Legal expert Howson, on the ruling’s core finding, as reported by Daily Maverick
Judge Twala’s own language in the January 2025 judgment for the SASSA SRD grant court case was unusually direct for a court document. He wrote that the Department of Social Development and SASSA appeared “oblivious to the human suffering and indignation caused by” regulations that block eligible applicants, and criticised both bodies for largely leaving Treasury to answer for decisions the departments themselves had implemented.
The applicants’ broader argument, laid out in their January 2026 papers opposing the government’s appeal, is that the regulations made the grant “inaccessible to millions of people who need it”, reduced its value and the income threshold, and left hundreds of thousands of approved beneficiaries unpaid for extended periods.
Whether the Supreme Court of Appeal accepts that framing, that the exclusion was a deliberate budget tool rather than an unfortunate side effect of reasonable anti-fraud measures, is likely to be the single most important question the judges answer in August.
This is also not the first time SRD regulations have faced a legal challenge before the SASSA SRD grant court case. Back in June 2022, civil society organisation Black Sash brought an earlier application challenging that year’s reduction of the income threshold from R595 to R350, along with other exclusionary provisions introduced at the same time. That case set a precedent the IEJ and #PayTheGrants case built directly on: that changes to SRD eligibility rules are not simply internal administrative decisions immune from judicial review, but are subject to the same constitutional scrutiny as any other exercise of government power affecting people’s access to social assistance. Four years and two major court challenges later, the pattern the applicants describe is not a single bad regulation but a repeated approach: tighten the rules, watch approvals fall, defend the tightened rules in court, lose, and appeal.
The Money Doesn’t Add Up, Whichever Side You Ask
Strip away the legal argument and look only at what R370 actually buys, and the case for an increase becomes harder to dismiss regardless of how the appeal is decided.
Three Ways to Measure What R370 Buys
A separate, broader measure, the Pietermaritzburg Economic Justice and Dignity Group’s 44-item household affordability index, puts a full family food basket at roughly R5,500 a month, underlining how far a single grant of R370 sits from covering even basic nutrition for a household.
The R624 income threshold used to disqualify applicants sits below all three of those figures. A person can be earning too little to reliably feed themselves and still be excluded from the grant meant to help them do exactly that, which is close to the precise contradiction Judge Twala’s ruling flagged: DSD offered no real explanation for why the threshold and the grant value sat below the poverty line if the grant’s stated purpose was alleviating hunger.
None of this means expanding the grant is simple or free. It means the argument over cost and the argument over adequacy are happening simultaneously, and the court case sits directly at the intersection of both.
The human stakes behind these figures extend well past the roughly nine million current recipients. Nutrition research conducted before the pandemic already found that a large majority of very young children in South Africa were not getting a minimally acceptable diet, and millions of children were living below the food poverty line even with existing grants in place. The SRD grant was never designed as a child-specific benefit, but many of the working-age adults excluded by the current rules are themselves primary caregivers, meaning the practical effect of an overly strict income threshold often reaches further than the adult applicant whose bank statement triggered the rejection.
Government’s Counter-Case: Affordability
Treasury’s opposition to the ruling in the SASSA SRD grant court case is not a technicality. It is a direct argument that Judge Twala’s order, if implemented as written, is fiscally unworkable. Treasury’s papers argue the judge treated the SRD grant as a general poverty-alleviation programme and assumed the state should budget for roughly 18 million eligible people, rather than the 8 to 10 million currently receiving it.
“Further increases to the SRD grant are simply unaffordable.”
National Treasury, in papers opposing the ruling
The numbers behind that claim in the SASSA SRD grant court case are substantial. Treasury estimates that extending the grant at its current value to 16.8 million people would cost roughly R70.6 billion a year. Expanding eligibility to 18 million people and raising the grant’s value to keep pace with inflation could push the total as high as R139 billion annually.
For comparison, the SRD grant’s total cost in March 2025 sat at R35.2 billion, meaning the ruling, fully implemented, could roughly quadruple the programme’s price tag. Treasury argues these figures have to be weighed against broader fiscal pressure, including budget cuts of up to R207 billion planned across government between 2024/25 and 2026/27.
Government has also leaned on a separate argument in the SASSA SRD grant court case that sits somewhat uneasily next to the SRD grant’s actual track record: that it was never intended as a permanent, long-term poverty-alleviation grant in the first place, despite having now been extended annually since 2020 and currently running through to 31 March 2027. Whether a benefit that has been renewed every year for six consecutive years can still reasonably be described as temporary is, in effect, one of the underlying questions the Supreme Court of Appeal will have to grapple with alongside the narrower legal issues.
What Happens on 25 August, and After
The Supreme Court of Appeal, which will hear the SASSA SRD grant court case, sits below only the Constitutional Court in South Africa’s judicial hierarchy, and its ruling on this case will carry significant weight regardless of which way it goes. Judge Twala himself, in granting government leave to appeal, said the case’s complexity and its impact on close to 30% of the population meant it deserved the attention of a superior court rather than being finalised at High Court level alone.
Three broad outcomes are realistically on the table for the SASSA SRD grant court case. The SCA could uphold Twala’s ruling in full, forcing government to redesign SRD eligibility rules, offer in-person applications, and set out a concrete plan to raise the grant value and income threshold over time. It could overturn the ruling entirely, leaving the current online-only, R624-threshold system in place.
Or, as often happens in complex constitutional matters, it could uphold parts of the judgment while sending other elements back for further argument or a revised remedy, which would extend the uncertainty for beneficiaries well past August.
Legal commentary around the case has been direct about what a loss for beneficiaries would mean in practice. As one analysis following the ruling put it, overturning the current barriers would not fix every problem in how SRD is administered, but it would go a long way toward providing recourse for people who have been unfairly excluded under the current rules.
What You Can Do While the Case Is Pending
- The current rules remain in force until the SASSA SRD grant court case appeal is decided. Continue applying and reapplying under the existing online-only system for now.
- If you were declined because a deposit pushed you over R624, as discussed in the SASSA SRD grant court case, that decision predates the court’s finding that gifts and once-off payments should be excluded from income calculations. Keep records of what the deposit actually was in case a revised process allows you to challenge past decisions.
- If you were declined, lodge a formal reconsideration through SASSA’s appeals process rather than simply reapplying from scratch, since a reapplication does not create the same paper trail as a documented appeal.
- Check your SRD status regularly rather than assuming, despite the SASSA SRD grant court case, a past rejection is permanent, since eligibility is reassessed monthly and circumstances change.
- Follow the SASSA SRD grant court case for updates after 25 August. A ruling either way is likely to change the practical steps beneficiaries need to take.
Common Questions About the SRD Court Case
Q1. Does the January 2025 ruling apply right now?
No. Government was granted leave to appeal the entire judgment, which means the ruling is not yet in effect. The current SRD rules, including the online-only system and the R624 threshold, remain in force until the Supreme Court of Appeal decides the case.
Q2. Who brought this case against the government?
The Institute for Economic Justice and the #PayTheGrants campaign, represented by the Socio-Economic Rights Institute of South Africa, brought the original challenge in October 2024.
Q3. How many people could this affect?
Around 9 million people currently receive the SRD grant. The applicants in the SASSA SRD grant court case argue closer to 18 million people are genuinely eligible under a properly implemented system, meaning the ruling could roughly double the number of paid beneficiaries if fully upheld.
Q4. Why is the government appealing a ruling meant to help poor people?
Treasury argues the cost of implementing the SASSA SRD grant court case ruling as written, potentially R70.6 billion to R139 billion a year, is unaffordable given broader fiscal pressure, and disputes the court’s interpretation of how many people the grant is legally required to cover.
Q5. When will a final decision be made?
The Supreme Court of Appeal hears the SASSA SRD grant court case on 25 August 2026. Judgments of this complexity in the SASSA SRD grant court case are not always delivered on the hearing date itself and can take weeks or months to be handed down afterward.
Strip away the legal language and this SASSA SRD grant court case comes down to a single, uncomfortable question neither side fully escapes: what is the SRD grant actually for. If it exists to alleviate hunger and poverty, the applicants’ case that its own rules keep it below the poverty line is hard to argue around. If it exists as a capped, temporary support measure within a fixed budget, Treasury’s affordability numbers are hard to dismiss either. The Supreme Court of Appeal does not have the luxury of avoiding that question on 25 August. Neither, in the end, do the roughly nine million people currently waiting to hear which answer wins.
- Daily Maverick, “A Rigged System: How SRD Grant Barriers Are Denying Vulnerable South Africans Support,” 7 July 2026
- Daily Maverick, “High Court Declares SRD Grant Regulations Unconstitutional, Demands Urgent Reforms,” 24 January 2025
- GroundUp, “Explosive Court Ruling on SRD Grant,” 24 January 2025
- GroundUp / allAfrica, “Treasury and SASSA Granted Leave to Appeal Ruling on SRD Grant,” March 2025
- allAfrica, “State Is Blocking Access to SASSA Grants, Argue Activists,” 28 January 2026
- GroundUp / allAfrica, “SRD Grant Increase Is ‘Simply Unaffordable’ Says Treasury,” 26 January 2026
- Sowetan, “Department Considers Changes to R370 Grant Applications,” 9 April 2025
- Pietermaritzburg Economic Justice and Dignity Group, Household Affordability Index, 2026
