While everybody agrees that the country’s healthcare system requires reform, and that this should provide access to universal health coverage, the NHI Bill, in its current form, is not economically viable for South Africa.

The 'NHI Funding – Macro-Economic Implications' report, authored by FTI Consulting, provides an overview of the economic impact of the NHI Bill.

The Department of Health, in its 2017 White Paper on the NHI and the NHI Bill have flagged sources such as VAT, personal income tax and payroll taxes for raising additional funding and in a presentation it made in December 2022, said that it would need to raise an additional R200-billion per year to fund the NHI.  Any tax changes would require National Treasury to propose a “Money Bill” and the passing of the NHI Bill does not change any taxes.

Consequently, the 'NHI Funding – Macro-Economic Implications' report considers the economic realities of funding the NHI, including what impact it will have on the fiscus and on taxpayers. 

Report by FTI Consulting