The Board of Healthcare Funders (BHF) and the Health Funders Association (HFA), representing roughly half of the SA medical scheme market, requested Finance Minister Enoch Godongwana to keep medical tax credits in place and increase their value in the upcoming Budget. – Business Day (24 Feb 2026)
The call comes as the Health Department pushes to phase out medical tax credits to help fund NHI; which is already facing legal challenges from several organisations, including HFA and BHF.
In 2025, the Department briefed Parliament on plans to scrap the credits starting with higher-income earners. It also indicated the process could begin as early as April 2026.
The BHF warned that eliminating medical tax credits too soon could push between 430,000 and 690,000 scheme members out of cover.
The HFA mentioned that medical tax credits encourage people who can afford private healthcare to fund their own cover. That reduces pressure on the public sector. It can also free capacity and resources for more vulnerable patients.