Road Accident Fund Under Fire: Parliament Launches Inquiry Amid Financial Crisis – July 2025 Update

Latest News on the Road Accident Fund (RAF) in South Africa – July 2025

The Road Accident Fund (RAF) is once again in the national spotlight as Parliament’s Standing Committee on Public Accounts (SCOPA) launches a formal inquiry into the Fund’s financial management and governance. This move comes amid mounting concerns over financial mismanagement, delayed claim payouts, and a ballooning liability now estimated at R340 billion.

Parliamentary Inquiry into RAF: What You Need to Know

On July 1, 2025, SCOPA adopted the terms of reference for a comprehensive inquiry into the RAF. The investigation, set to begin in mid-September and conclude by the end of October, aims to address serious allegations of governance failures, missed audits, and executive instability within the Fund. This is only the fourth full public inquiry of its kind in South Africa’s recent history, underscoring the gravity of the situation.

Financial Mismanagement and Delays

Recent reports from IOL and Daily Maverick highlight the RAF’s ongoing struggles with financial mismanagement and delayed compensation for accident victims. Parliament’s intervention follows years of public frustration and legal challenges, with many claimants waiting months or even years for payouts.

Government Response and Legislative Changes

The Ministry of Transport has convened urgent meetings with the RAF Board, signaling a renewed commitment to reform. Meanwhile, the government is reviving the long-rejected Road Accident Benefit Scheme (RABS) Bill as a possible solution to the Fund’s woes, after quietly abandoning the controversial RAF Amendment Bill.

Corruption Concerns and Public Impact

Media outlets, including eNCA, have placed the RAF under the corruption spotlight, emphasizing the need for transparency and accountability. The ongoing crisis has left thousands of South Africans in limbo, with many accident victims struggling to access the compensation they are entitled to.

What’s Next for the Road Accident Fund?

As the parliamentary inquiry gets underway, all eyes are on the RAF’s leadership and the government’s ability to implement meaningful reforms. Stakeholders and the public are urged to follow developments closely, as the outcome of this inquiry could shape the future of road accident compensation in South Africa.

Stay tuned for daily updates on the Road Accident Fund and related news. For more information, visit the official Parliament and Ministry of Transport websites.