One province spent R344 million on consultants, a 60% year-on-year increase

The North West spent R344 million on consultants in the 2024 financial year, an increase of 60% over the previous year.

This was revealed by the Minister of Cooperative Governance and Traditional Affairs, Velenkosini Hlabisa, in a parliamentary response.

Member of Parliament, Makashule Gana, asked the Minister about the details of the municipalities which have spent the most on private consultants.

He also asked whether the department has conducted a national assessment into the long-term implications of depending on consultants in municipalities.

Hlabisa responded, saying they do not maintain or consolidate municipality-specific data on consultant-related expenditure.

“Such information is generated and verified through municipal financial reporting systems and audit outcomes,” he said.

These financial reporting and audit outcomes are done under the oversight of the Auditor-General of South Africa and the National Treasury.

“The request for municipality-level detail has been referred to these institutions. The information will be provided by the Minister of Finance”.

However, he said that the Cooperative Governance and Traditional Affairs could provide provincial-level aggregated data on expenditure on consultants.

This data showed that the North West province topped the list by spending R344 million on consultants in the 2024 financial year.

Second was Limpopo, with R287 million, followed by KwaZulu-Natal, with R223 million, and Mpumalanga, with R169 million.

The best-run province, the Western Cape, only spent R37 million on consultants. This showed stronger in-house skills than other provinces.