A new broadcasting tax could replace the SA TV licence, but South Africans aren’t convinced

A new broadcasting tax could replace the SA TV licence, but South Africans aren’t convinced

For years, the SA TV licence has felt like a relic from another era and now government has effectively confirmed it.

Communications and Digital Technologies Minister Solly Malatsi has openly acknowledged what many South Africans have been saying for a long time: the traditional TV licence model has collapsed. With most households consuming entertainment via streaming platforms and mobile devices, the system designed for box TVs and aerials no longer fits the way the country watches content.

The big question now is what comes next and whether South Africans will accept it.

Why the TV licence system is failing

The financial crisis at the SABC has been brewing for years. Licence fee avoidance has climbed dramatically, rising from 69% in 2019 to an estimated 85% by 2025. That collapse in compliance has left the public broadcaster unable to pay suppliers, invest in new programming or even settle basic operational costs.

One of the most glaring consequences is the SABC’s debt to signal distributor Sentech, which reportedly sits at around R1.2 billion. At the same time, public anger has been fuelled by reports that top SABC executives continue to earn multimillion-rand salaries, despite the broadcaster’s ongoing financial distress.

A delayed report and growing urgency

To find a way forward, government appointed independent research firm BMIT to investigate alternative funding models. That report was initially expected before the end of 2025, but delays, blamed on extensive stakeholder consultations and the festive-season shutdown, have pushed the deadline to 6 February 2026.

The delay matters. Without reform, government has warned that the SABC could face total collapse, cutting off millions of poorer South Africans who rely on free-to-air public broadcasting for news, education and emergency information.

The broadcasting tax: simple, but controversial

The most talked-about option is a universal broadcasting tax, collected by SARS. Unlike the current licence, it would apply regardless of whether a household owns a TV, acknowledging that people now watch content on phones, laptops and tablets. Similar systems exist in countries like Germany.

But locally, the idea of another tax is already sparking resistance, especially at a time when many households are struggling with rising food, fuel and electricity costs.

Other options on the table

Government is also considering direct funding from National Treasury, though critics worry this could compromise editorial independence. Another proposal is a levy on streaming services, forcing global platforms to contribute to local public broadcasting.

A hybrid model combining commercial income, public-private partnerships and long-term endowment funding has also been floated as a more balanced approach.

Budget 2026 could be the turning point

Finance Minister Enoch Godongwana is being consulted, with fairness and affordability for low-income households said to be key considerations. The upcoming 2026 Budget Speech on 18 February could provide the first real signal of which direction government plans to take.

For now, one thing is clear: the SA TV licence, as South Africans have known it for decades, is effectively finished.

What replaces it and whether the public will accept a broadcasting tax or push back hard, may define the future of public broadcasting in South Africa.

{Source: The South African}

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