Media Statement
Budget Speech PostponementUnprecedented Postponement of National Budget to 12 March 2025: Implications for SAIPA, its Members, and the Economy
The South African Institute of Professional Accountants (SAIPA) notes with deep concern the historic postponement of the 2025 National Budget, originally scheduled for 19 February, now delayed to 12 March 2025. This follows political developments in Parliament, where the Government of National Unity (GNU) rejected aspects of the proposed budget after the leak of sensitive documents.
This unprecedented delay has far-reaching economic, regulatory, and operational consequences for both the country and the accounting profession.
Economic and Business Implications
The postponement of the budget introduces significant policy uncertainty for investors, businesses, and financial markets. Delayed clarity on fiscal policy, tax changes, and expenditure plans could impact market confidence, disrupt government funding allocations, and slow down business decision-making. This uncertainty may lead to volatility in the rand, affect investor sentiment, and increase borrowing costs for South Africa.
Government departments and state entities that depend on budget allocations to manage public services may face operational disruptions. The delay also affects businesses, particularly those relying on fiscal incentives, government procurement, and infrastructure investment decisions.
Impact on SAIPA and its Members
SAIPA and its members—who serve as trusted financial advisors, tax practitioners, and compliance specialists—are directly affected by this delay in several ways:
- Tax Compliance and Advisory Services
The budget typically informs tax policies, including corporate tax rates, VAT adjustments, personal tax thresholds, and other SARS measures. A delay in these announcements creates uncertainty for financial planning and tax compliance, especially as the new tax year approaches on 1 March 2025.
Professional accountants will need to provide interim guidance to businesses and individuals awaiting clarity on tax changes. - Restructuring and Postponement of SAIPA Budget Connect 2025 in Association with Deloitte
The SAIPA Budget Connect in association with Deloitte, scheduled for 20 February 2025 in Cape Town, has been cancelled. The Johannesburg event is postponed to March 2025. Further details will be shared soon. - Financial Reporting and Business Strategy Adjustments
The delay impacts financial year-end reporting for many businesses, particularly those with February and March year-ends, as tax-related adjustments remain uncertain.
Accountants and business advisors must now assist clients in making short-term strategic decisions without a clear fiscal framework. - Continued Engagement with Stakeholders
SAIPA will engage with National Treasury, SARS, and other regulatory bodies to assess the full impact of the postponement and ensure that the interests of professional accountants and businesses are considered.
CPD training and technical guidance on tax updates and financial reporting will be adjusted accordingly to reflect the final budget outcomes.
Commitment to Supporting Our Members and the Profession
SAIPA remains committed to guiding members and the broader business community through this period of uncertainty. We will continue to provide regular updates and professional insights to help accountants navigate the implications of the postponed budget.
SAIPA encourages its members to remain proactive in advising clients, ensuring compliance, and mitigating financial risks during this uncertain period. Further announcements regarding SAIPA’s revised Budget Connect events, the postponed Johannesburg session, and CPD programmes will follow soon.
For media inquiries, please contact:
Sales and Marketing Executive
Rochelle Bates
076 8879720