Trends in the Cost of Living in South Africa Between 2011 and 2023

The National Development Plan (NDP, 2012) recognises the need to address poverty and inequality by reducing the cost of living, emphasising the importance of affordable essential goods and services, and access to quality education and healthcare. However, recent challenges, including COVID-19 lockdowns, supply chain disruptions, fuel price increases, and rising interest rates, have intensified concerns about the cost of living. The government’s ability to mitigate the impact of these pressures is constrained by ongoing fiscal limitations, restricting its capacity to provide adequate support to households struggling with rising costs. Economic growth in South Africa between 2011 and 2023 has also been low, averaging just one per cent annually (SARB, 2024), and the period has been characterised by limited improvements in living standards, subdued job creation, and stagnant wage growth. Against this backdrop, this research investigates the impact of the cost of basic goods and services on the cost of living for poor and working poor households between 2011 and 2023. The research is informed by three groups of questions, focusing on the provision of basic services, incomes, and the cost of living.