Cape Town ratepayers are warning that rising municipal bills could become unaffordable for residents, particularly retirees and households on fixed incomes.
The Cape Town Collective Ratepayers' Association (CTCRA) has issued a stern warning regarding an escalating "rates affordability crisis" driven by the city’s current budgeting approach and municipal valuation outcomes.
Representing 45 ratepayer associations and civic organisations across Cape Town, covering approximately 100,000 residential properties, the umbrella body expressed concern that municipal bills are unsustainable for residents, particularly retirees on fixed incomes.
While acknowledging Cape Town as a relatively well-run metro with necessary infrastructure ambitions, the association criticised the City's "top-down" approach to budgeting. According to the association, the municipality determines its total spending target first, subtracts expected non-ratepayer revenue, and levies the remaining balance onto property owners.
The association's internal analysis indicates that without policy adjustments, Cape Town residents face average bill increases of 10% every year for the foreseeable future, roughly triple the current inflation rate. It said that over the next three years, total city expenditure is set to grow by 20%, while the portion funded directly by ratepayers will rise from 68% to 72%.
