Page 688 - Demo

Estimates of the Provincial Revenue and Expenditure (EPRE) - 2025/26 Financial YearTables 4 and 5 above represent a summary of payments and projected estimates from 2021/22 to 2027/28 by programme and economic classification. Expenditure increased from R5.223 billion in 2021/22 to a revised estimate of R6.149 billion in the 2024/25. From the 2024/25 revised estimate, the budget decreases by 2.6 per cent to R5.989 billion in 2025/26. Compensation of Employees (CoE) increased from R998.053 million in 2021/22 to a revised estimate of R1.175 billion in 2024/25 due to provisions mainly made for Improvements of Conditions of Service (ICS). In 2025/26, there is an increase of 11.7 per cent to R1.313 billion due to provisions for ICS adjustment as well as the filling of critical posts. Goods and Services budget is driven by contractors, scholar transport, community development projects and fuel for government fleet services. The budget increased from R2.596 billion in 2021/22 to a revised estimate of R3.242 billion in 2024/25, this increase is primarily driven by delays in implementation of the new rate card, and the transport learner system. Additionally, there were payments of accruals from the prior financial year for learners under the Scholar Transport program. This is followed by a decrease of 6.9 per cent in 2025/26 to R3.017 billion mainly due to aligning of learner numbers to the available budget. Transfers and Subsidies increased from R676.517 million in 2021/22 to a revised estimate of R820.721 million in 2024/25. There is an increase in 2025/26 of 6.7 per cent to R875.418 million, driven by the funding of advertisement for road safety awareness campaigns and provision to meet the contractual commitments for AB350. Payments for Capital Assets decrease from R952.106 million in 2021/22 to a revised estimate of R911.037 billion in 2024/25 followed by a 14.0 per cent decrease to R783.411 million in 2025/26, due to the reduction of the equitable share allocation to infrastructure each year, driven by cost pressures elsewhere in the department. 667