South Africans have become quite used to not having to contend with high fuel price increases, but now, pain at the pump is back.
We can only hope Santa has enough fuel for his reindeer because South African consumers have no choice but to start planning for a staycation after the stiffest fuel price increase in a while hit on Wednesday.
With the festive season around the corner, the latest petrol price hike announced by the Department of Petroleum and Mineral Resources (DMRE) of a 29-cent increase in the price of 95 and 93 Unleaded petrol has been met with dismay and disappointment on all fronts.
This brings the price of all petrol grades firmly above the R21.00 per litre mark, with even worse news for people who drive diesel vehicles, with 50 ppm diesel set for an increase of 65 cents per litre, while 500 ppm diesel will increase by 82 cents per litre.
Neil Roets, CEO of Debt Rescue, says the impact of this on South Africans as they wind down after the working year will be devastating, as households that were counting on a little relief to ease their wallets will now have to tighten their belts even more.
“For millions of families, this will likely mean that their end-of-year trip to celebrate with friends and family is no longer on the cards.”
ALSO READ: December starts on a sour note as petrol prices increase
Why a fuel price increase now, just before Christmas?
The fuel price increase is largely due to an increase in oil prices over the past month, with the United States intensifying its sanctions on Russia’s largest oil companies. As a result, Roets says, the projected oil surplus may not be as wide as initially anticipated, with increased demand absorbing some of the pickup in supply from major producers.
“Regardless of the factors contributing to the latest petrol and diesel price hikes, the consequence is that the ordinary South African now carries a heavier load into 2026, at a time when financial relief is desperately needed.
“The latest petrol price hike comes at a time when hope is all but running dry among South Africans as they struggle to contend with the backlash of a string of economic factors that have led to unsustainable food and electricity prices and now also a petrol price hike. Essentially, this means a stay-at-home festive season for most of the nation.”
ALSO READ: Food prices decreased – but still too high for most
Food insecurity reaches new heights amid higher fuel prices
While food insecurity has been a major concern for South Africans throughout 2025, it worsened significantly in November 2025, with millions of families across the country struggling to make ends meet due to high food prices and other economic pressures, as food insecurity reaches critical levels.
A new study by FoodForward SA and the University of Cape Town found that approximately 16 million people in South Africa are affected by food insecurity, with vulnerable households with children, youth-headed households and those with unstable or informal work, facing higher severity and volatility in terms of the impact on their lives.
For millions of South Africans, hunger is a silent and daily reality. Most concerning is that households struggling to access sufficient and nutritious food are often forced to make impossible choices between meals, transport and other basic needs.
“Nobody should be in a position where they have to make these kinds of choices. Not only is this an emotionally precarious position to be in, [but] it [also] compromises the health and overall well-being of everyone involved. This is especially heartbreaking when children are involved,” Roets says.
“While worrying about how to put enough food on the table for your family is a foremost concern for millions of South Africans drowning in debt, being able to meet their debt repayments every month is equally harrowing,” Roets points out.
ALSO READ: Here’s your cheat sheet for a debt-free festive season
More and more SA consumers borrow to put money on the table
The National Financial Ombud Scheme reports that more and more South Africans are borrowing money just to survive, saying that it is evident that credit has shifted from a tool for upward mobility to a survival mechanism.
Most concerning is that a third of South African borrowers, of which there are 29 million, have impaired debt, meaning that they have missed three or more debt payments, have an adverse listing on their credit report, or face legal action.
According to a Debt Rescue survey conducted in November, hardworking citizens across the nation are in serious financial distress, with household budgets offering little festive cheer as the season approaches and even less relief from a tough year.
“This reflects clearly in their approach toward the festive season retail events like Black Friday and Cyber Monday, with 50.38% of those polled saying that Black Friday pushes people into unnecessary debt, while 25.3% feel stress or pressure to buy what they cannot afford.
“With consumer debt levels at the highest ever, all indications point to South Africans being forced to use their credit facilities over the December holidays, just to enjoy some kind of festive cheer, only to find themselves in an even worse predicament entering the New Year.”
