Fuel Levy Hikes Ripple Through Economy As Freight Sector Warns Of Deeper Strain

Inflation linked fuel levy hikes to squeeze township retailers

While small businesses welcomed the increase in the VAT registration threshold announced in the 2026 Budget, inflation-linked fuel levy hikes are set to quietly squeeze township retailers already operating on razor-thin margins. Presenting the Budget on Wednesday, Finance Minister Enoch Godongwana confirmed that fuel levies will rise in line with inflation from April. “In terms of fuel levies, the total increase will also be in line with inflati…

Fuel Levy Hikes Ripple Through Economy As Freight Sector Warns Of Deeper Strain

The fuel levy and excise duty increases announced in the 2026 National Budget may look modest on paper, but economists, retailers and the road freight sector say the real impact will be felt in layers across the economy. Finance Minister Enoch Godongwana confirmed that the general fuel levy will increase by 9 cents per litre for petrol to R3.96 and 8 cents per litre for diesel to R3.82. Inflation-linked adjustments were also applied to the carbo…