City tenants urged to pay bills, make arrangements
28 October 2020
The City of Cape Town’s Human Settlements Directorate encourages its tenants to pay their rental arrears. If tenants are unable to pay, ignoring the problem will not make it go away. There is help available. This is key to ensuring the upkeep and maintenance of the City’s rental accommodation. Over the past two years, the City has spent approximately R1 billion in maintenance of its public housing.
As a landlord, the City has the responsibility to maintain and upgrade its rental stock partly with the income received from rental income. To ensure this is possible, tenants are required to pay their rent diligently to ensure a sustainable future for all residents of the City’s rental units. These are home to more than 39 000 tenants and their families and are located across the metro from Atlantis to Strand and Ocean View.
Approximately 20% of tenants have entered into payment arrangements and a further 20% receive indigent grants.
As at the end of August 2020, the total debt owed by all tenants was R675 million and payment arrangements are on offer.
‘The City encourages tenants who are living in its rental accommodation to settle their arrears or to enter into payment arrangements should they be experiencing financial challenges. Hoping that the problem will go away is not the answer. We understand there are various factors that influence the non-payment of rental, including the inability to pay as a result of the worsening economic climate in South Africa. We empathise with our tenants who are in this position and there is help available to them. The City provides assistance to those who qualify through the indigent benefits/assistance scheme among others.
‘There are also those who simply refuse to pay their rental even though they have the means to pay. Our particular focus therefore remains those who have the means to pay but who simply refuse to do so. An ongoing challenge is the culture of non-payment among debtors. There are often more enjoyable things to buy with one’s money or paying for services such as smartphone data, satellite TV or streaming services rather than paying rent or for City services used. We are doing everything to nurture a healthy payment culture but we acknowledge that it takes time to do so.
‘While the Human Settlements Directorate is making every effort to recover the arrears owing to the City, it is looking at improved ways to enhance service delivery to our tenants within the constraints being experienced. Our Public Housing Department has spent close to R1 billion in maintenance and upgrades to its Community Residential Units (CRUs) over the past two years.
‘Rental housing is an important part of the City's provision of housing opportunities to qualifying beneficiaries. One of the strategic shifts required in the housing sphere and recognised by our draft Human Settlements Strategy, which is currently out for public participation, is the necessary balance of rental and ownership to meet affordability demands. It is clear that everyone has a role to play and tenants must also contribute their fair share so that the City can ensure that its tenants and their families have access to improved living conditions. Every rand counts and so we want to thank City tenants who have been paying their rentals or who have entered into affordable payment arrangements and are adhering to them. Their co-operation is appreciated,’ said the City’s Mayoral Committee Member for Human Settlements, Councillor Malusi Booi.
For account and rental payments:
EFTs: Select the City as a bank-listed beneficiary. Use only your nine-digit municipal account number as reference
Retailers: Checkers, Pick n Pay, Shoprite, Spar and Woolworths
e-Services: Use the City’s online e-services portal
ATM: contact your bank to add the City as an ATM beneficiary
As a caring City, tenants who are unable to pay, have the opportunity to apply to the City for relief. Those who are struggling to pay are advised to make an appointment to visit their local housing office to enter into a satisfactory arrangement to pay off their arrears. It is then imperative that the amount due is paid regularly, each month, to ensure that the relief granted and the arrangement made is not cancelled and to avoid debt management action being taken against them.
Our offices are open on weekdays from 08:00 to 15:00. For a list of the City’s housing offices and their contact details, please visit this page.
View and comment on the draft Human Settlements Strategy
Please visit www.capetown.gov.za/haveyoursay. In addition, the executive summary of the strategy will be available in the three official languages recognised by the City at subcouncil offices during the public participation period.
End
Published by:
City of Cape Town, Media Office
