BUSINESS NEWS - Disagreements between Government of National Unity (GNU) parties over the budget, scheduled to be tabled by Finance Minister Enoch Godongwana earlier today, resulted in its postponement.

National Assembly Speaker Thoko Didiza announced the postponement – the first time in 30 years – saying that Deputy President Paul Mashatile, the leader of government business, informed her that parties from the GNU cannot agree on the budget.

“The parties could not find one another,” Didiza said.

The new date for the budget tabling was announced as 12 March.

The Witness reports that in the build-up to the presentation, speculation arose that Treasury would hike VAT.

In response to the rumours, the DA, the second-largest party in the GNU after the ANC, said it would not support the budget if it included a VAT increase.

DA spokesperson on finance Dr Mark Burke made it clear the party would reject any proposal to raise VAT.

“The cost of living over the last several years has squeezed households, many of who are struggling to put food on the table. Any tax increases will face widespread resistance — not only from Parliament but also from within the Government of National Unity,” he said.

Minutes before Godongwana was scheduled to table the budget in Parliament this afternoon, rumours circulated that an emergency Cabinet meeting had been called.

Shortly after the scheduled start time, Didiza entered the House and informed MPs that the budget presentation had been postponed.

EFF leader Julius Malema said the postponement was a sign that the GNU was not working.

uMkhonto weSizwe Party chief whip Mzwanele Manyi described the postponement as ‘shocking’.

Read original story on witness.co.za

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