riots unrest DA KZN

Business leaders including the owners of Bridge City in KwaMashu have committed to rebuilding after the recent unrest. Photograph: Lyse Comins

Unrest LATEST: Call for tax holiday for small businesses

Small businesses should not be forced to pay municipal rates and tariffs while they seek to recover from the recent unrest in KwaZulu-Natal.

riots unrest DA KZN

Business leaders including the owners of Bridge City in KwaMashu have committed to rebuilding after the recent unrest. Photograph: Lyse Comins

The Democratic Alliance (DA) in KwaZulu-Natal (KZN) has called on the provincial government to urgently announce its plans to assist municipalities hit by the unrest and riots two weeks ago. should not

“In particular, we want a full outline of steps that will be taken to ensure that businesses whose income generating mechanisms are in ruins, will not be forced to pay rates and municipal tariffs,” DA KZN Spokesperson on CoGTA Chris Pappas said.

The call comes after many municipalities in the province saw large parts of their business sectors completely destroyed, while others suffered huge damage and sustained massive losses as a result of the recent unrest. This was particularly evident in small towns where in some cases there is nothing left.

“Of particular concern to the DA are the family-owned businesses, informal traders and SMMEs who have been very hard hit. The reality is that many will not be able to pay rates or municipal tariffs this month and for many months to come as they try to recover from the destruction,” Pappas said.

“It is for this reason that the DA is calling on the provincial government to engage municipalities about rates holidays for affected businesses.”

Pappas said that the DA had written to the province’s Department of Co-operative Governance and Traditional Affairs (CoGTA) and the Provincial Treasury to request that funds are made available to assist municipalities where rates deferrals are to be implemented in the form of a conditional grant or interest-free loan.

“Billions of Rands have been stolen and misused within KZN’s ANC and IFP-led local municipalities, leaving them with no cash reserves or cash on hand to respond during times of disaster such as we are faced with now. The reality is that it will take provincial and national government to come to the rescue of KZN’s cities, towns and villages. The question is: do they have the will or heart to assist? ANC cadres in municipalities and within provincial government were silent during the recent looting and violence,” Pappas said.

Pappas said that the very least the government could do was to provide some reprieve from rates and other municipal tariffs until businesses manage to get back on their feet.

He said that even before the unrest the economy was already on its knees following the dismal Covid-19 response and poor policy direction. 

“What is now urgently needed is to ensure that what is left of small town economies is saved to protect against any further decline, loss and suffering. There can be no other option,” Pappas said.