R11 Billion to pay for early retirement of at least 30 000 government employees; R941.5 billion to support the equitable provision of public health services; and cuts to social grants over the next three years are among the big decisions announced by Finance Minister Enoch Godongwana as he tabled his 2025/26 budget.

This comes as the National Treasury revised the initial proposal of a 2% increase in VAT to the now proposed 0.5% increase for the next two years.

Tabling the budget, Godongwana revised the grant increase allocations downward compared to what was proposed in the postponed budget.

Godongwana said the social grants were allocated R284.7bn in the new financial year.

The grants will be increased as follows in April:

* The old age and disability grant increase by R130 to R2 315,

* Child support grant rises by R30 to R560 a month, and

* The foster care grant increases by R70.

Godongwana announced that R941.5bn has been allocated over the medium-term expenditure framework (MTEF) to support the equitable provision of public health services, including free primary healthcare.

About 44.7% of the R941.5bn allocation for health is directed to funding district health services, particularly primary healthcare facilities such as clinics and community health centres, which also provide outreach services.

"This level of care is recognised as the most efficient and effective due to its focus on disease prevention and proximity to communities. Almost 98% of the budget for this function is allocated to provinces, amounting to about R922.7bn," Godongwana said.

In order to keep 9 300 healthcare workers in hospitals and clinics, they have added R28.9bn to the health budget.

It will also be used to employ 800 post-community service doctors and to ensure that pharmacies don't run out of medicines.