Budget 2025 fallout | Cabinet reshuffle looms as Ramaphosa and ANC NEC expected to kick DA out of GNU

Just nine months after the Government of National Unity (GNU) was forged in a historic post-election alliance, cracks are now deepening — and divorce looks imminent. IOL understands that the ANC parliamentary caucus has now escalated the dispute to the party’s National Executive Committee (NEC) — the highest decision-making body — which will meet in a special session this Sunday to decide the DA’s fate.

Just nine months after the Government of National Unity (GNU) was forged in a historic post-election alliance, cracks are now deepening — and divorce looks imminent. IOL understands that the ANC parliamentary caucus has now escalated the dispute to the party’s National Executive Committee (NEC) — the highest decision-making body — which will meet in a special session this Sunday to decide the DA’s fate.

Image by: IOL Graphic

Published 21h ago

Share

Just nine months after the Government of National Unity (GNU) was forged in a historic post-election alliance, cracks are now deepening — and divorce looks imminent.

The African National Congress (ANC) and Democratic Alliance (DA) are at loggerheads after the DA voted against the 2025 national Budget and launched a legal challenge to the proposed VAT hike.

Tensions exploded this week when DA ministers broke ranks, rejecting the fiscal framework in Parliament. Although the vote narrowly passed — with 194 MPs in favour and 182 against — the backlash was immediate.

Senior ANC figures, including party chairperson Gwede Mantashe and chief whip Mdumiseni Ntuli, did not hold back, expressing frustration and warning that the GNU could not survive with coalition partners actively opposing its financial blueprint.

Minutes after the Budget was passed without the DA’s support, President Cyril Ramaphosa’s spokesperson Vincent Magwenya said, “You cannot be part of a government whose Budget you opposed.

“We expect the DA to obviously reflect their participation or rather continued participation in the GNU having voted against the budget.

“They will have to reflect on how their ministers are going to drive programmes using the budget that they voted against. So that’s for them to reflect on.”

IOL understands that the ANC parliamentary caucus has now escalated the dispute to the party’s National Executive Committee (NEC) — the highest decision-making body — which will meet in a special session this Sunday to decide the DA’s fate.

According to insiders, the NEC may direct President Cyril Ramaphosa to remove DA ministers from Cabinet, a move that could effectively unravel the fragile GNU.

Sources say the ANC is also considering rewarding smaller GNU allies — such as ActionSA — who voted in favour of the Budget, as part of a reshuffle that would shift power dynamics in the executive.

 

Get your news on the go, click here to join the IOL News WhatsApp channel.

 

The unravelling of the GNU comes amid a leaked audio of Ramaphosa  telling the ANC caucus that the DA’s refusal to vote for the budget would be booting themselves out of the GNU.

Parliament has passed the budget with 194 MPs voting in favour and 182 voting against.

ATM, DA, EFF, MK Party, Freedom Front Plus (FF+), and ACDP, voted against the adoption of the fiscal framework.

ANC, ActionSA, BOSA, Al Jamah-ah, PAC, UAT, and GOOD, IFP and PA voted in favour.

The DA Federal Executive is also expected to meet to decide on whether they remain in the GNU or not.

The DA is in charge of six government ministries including the Agriculture Department, Home Affairs, Education, Communications, Public Works and Forestry, Fisheries and the Environment.

Meanwhile, the DA has opened a case against the passing of the budget, arguing that it was pushed through unlawfully without proper oversight.

They said the budget will make life even more expensive for struggling South Africans.

The EFF is also in consultation with their legal counsel regarding the same matter.

[email protected]

IOL Politics

Get your news on the go, click here to join the IOL News WhatsApp channel.