It’s desperate out there. That’s the stark warning from Annaline van der Poel, Chief Legal Officer at Debt Rescue, in her recent interview on Radio Islam.
Speaking about the latest Debt Rescue survey, Van der Poel painted a worrying picture of how deeply the rising cost of electricity is affecting South Africans — especially heading into winter. “Almost 80% of the people who participated in the survey told us this is going to have a severe impact on their monthly budget,” she said.
Consumers are now forced to choose between food, electricity and even transport. Many have already switched to prepaid electricity to try and control usage, but even that’s not helping enough. “A lot of them already don’t have enough electricity to see through to the end of the month,” she explained.
In more heartbreaking responses, many admitted to skipping meals — even breakfast or lunch — just to try and keep up with costs. While some have considered switching to gas appliances, most simply don’t have the cash flow to make that kind of upfront investment.
Van der Poel also issued a serious warning about the proposed VAT increase, saying that while it might seem minor at “0.5%” the cumulative inflationary impact would be significant.
Listen to the full interview for a real look at what South Africans are facing.
