South African households struggle as food and electricity prices surge

South African households are confronting a relentless squeeze on their wallets, as essential goods and electricity bills continue to climb. South African households are facing a severe financial strain as the prices of essential goods and electricity bills continue to rise, putting increasing pressure on their budgets. This is accordingto the second Cost of Living Report released by the Competition Commission on Wednesday,which found thatstaples such as maize meal, bread, eggs, and cooking oil remain stubbornly expensive, while rising electricity tariffs are adding to household pressure even with headline inflation averaging 3.2% in 2025 and reaching 3.6% in December.

to the second Cost of Living Report released by the Competition Commission on Wednesday, staples such as maize meal, bread, eggs, and cooking oil remain stubbornly expensive, while rising electricity tariffs are adding to household pressure even with headline inflation averaging 3.2% in 2025 and reaching 3.6% in December. The report noted that non-food essentials, particularly electricity, remain a key driver of cost pressures, with Eskom’s bulk tariffs rising by 11.3% and some municipalities implementing increases of up to 15%. “Following the annual utility tariff increases implemented in July2025, electricity prices rose sharply, with cumulative electricity inflation increasing to approximately 85% over the five-year period (prior to the July 2025 adjustment, the cumulative price increase from 2020 to June 2025 was 68%),” the report noted.

“Water supply inflation similarly recorded a notable acceleration following municipal tariff revisions, with the price of water supply increasing by 68% overthe five-year period(prior tothe July 2025 adjustment, the cumulative price increase from 2020 to June 2025 was 50%). In contrast, cumulative headline inflation remained relatively contained during the latter part of 2025 at just over 30%.” “Water supply inflation similarly recorded a notable acceleration following municipal tariff revisions, with the price of water supply increasing by 68% over