More than half of South Africans are at a financial breaking point as the cost of living continues to climb, according to a new survey by Debt Rescue.
More than half of South Africans are at a breaking point due to the rising cost of living. That is according to Debt Rescue’s latest consumer survey.
The advisory group looked into the financial and emotional state of respondents, following this month’s fuel and electricity price hikes.
Survey reveals financial strain. Nine out of 10 people surveyed say they are under serious financial strain.
The group says 52% of those facing severe money pressures do not know how they are going to cope, while 32% are struggling to afford basic necessities.
Debt Rescue’s Chief Operating Officer Annaline van der Poel says people are also cutting back on essential goods and services in order to make ends meet.
“Fuel, electricity, and particularly diesel are pushing up the cost of transport, which then feeds directly into the price of food and everyday goods.”
We are already seeing the impact of this. 60% of respondents expect a significant increase in grocery costs in the coming months. And 75% believe fuel increases are directly driving up the cost of goods and services.
– Annaline van der Poel
Almost half say the impact will affect every single area of their budget. 87% of people say they will be forced to cut back on essential food items and basic necessities just to cope.