Municipalities racked up R145bn in irregular expenditure over four years, while 116 failed to investigate it.
South Africa’s municipalities recorded R145 billion in irregular expenditure over four years, raising serious concerns about financial mismanagement, corruption and accountability.
According to the Auditor-General’s 2024/25 Consolidated General Report on Local Government Audit Outcomes, municipalities and their entities accumulated R145.21 billion in irregular expenditure between 2021/22 and 2024/25. Of that, R40.14 billion was recorded in 2024/25 alone. The findings come as South Africans voted in the local government elections on Wednesday, raising a familiar question: why do financial irregularities continue despite repeated warnings?
Not all irregular expenditure is stolen, but all of it hurts
The Auditor-General found that 84% of municipalities had material findings relating to non-compliance with key legislation in 2024/25. Municipalities also accumulated R24.12 billion in fruitless and wasteful expenditure over four years.
Ivan Turok, a professor at the University of the Free State, told One Nation Media that not all irregular expenditure should be treated as corruption. Some irregular expenditure results from theft or deliberate wrongdoing, he explained, while other cases arise because officials struggle to comply with complicated financial regulations. Some regulations, he argued, make it unnecessarily difficult to follow correct procedures.
Irregular expenditure does not automatically mean money was stolen, but financial mismanagement still has serious consequences.
“Resources intended for essential services are sometimes diverted through corruption or consumed by excessive administrative costs,” Turok said.
Instead of repairing water pipes, fixing sewerage systems and maintaining infrastructure, municipalities become caught up in expensive administrative processes.
Why is nobody held accountable?
The Auditor-General raised concerns about municipalities failing to investigate irregularities and enforce consequences. According to the report, 116 municipalities failed to investigate irregular expenditure from the previous financial year.
“The systems don’t really hold people sufficiently accountable for wrongdoing,” Turok said.
Political interference, weak investigations and a slow legal system have contributed to a situation where wrongdoing is often tolerated. Political interference is a major problem, with governing parties often influencing the appointment of senior municipal officials, creating situations where administrators feel obligated to political leaders rather than the public.
Turok called for a clearer separation between political leadership and municipal administration. He said this is set to change, with a new bill currently going through Parliament. Many municipalities, he added, are “drowning in red tape” — so bogged down in auditing, planning and budgeting procedures that they lack the time and energy to follow up on wrongdoing.
He also identified weaknesses in the justice system, describing it as “very, very slow.”
“There are not enough examples of where people are fired and are put in prison because of wrongdoing,” he said.
“When officials see others escaping consequences, it sends a message that misconduct can continue.”
Justice before loyalty
From an Islamic perspective, justice must come before personal interests, family connections or loyalty to those in power. In Surah An-Nisa (4:135), Allah commands believers to stand firmly for justice, even when it is against themselves, their parents or close relatives. The verse warns against allowing personal desires to interfere with what is right.
This principle is particularly relevant where officials protect colleagues or political allies instead of holding them accountable. Wrongdoing should not be ignored because the person responsible holds power or belongs to a particular group. Justice requires that everyone be held to the same standard.
What needs to change?
Turok believes stronger investigations and prosecutions are essential. He called for more prosecutions, including high-profile cases against senior officials and politicians, alongside strengthening the police and National Prosecuting Authority to ensure they have the capacity to investigate and prosecute wrongdoing.
He also supported removing political parties’ control over senior municipal appointments so independent administrators can work without political interference. The Auditor-General similarly called for stronger oversight, professional administrations and consequences for financial misconduct.
As South Africans cast their votes, the findings raise an important question: without genuine accountability and consequences, what will prevent the same financial failures from continuing?
