By Thapelo Molefe
Public school fees are rising faster than inflation, adding to the financial pressure on households already struggling with the rising cost of essential goods and services, according to the Competition Commission’s latest Cost of Living Report.
The commission found that public primary school fees increased by 6% between 2025 and 2026, while public secondary school fees rose by 5.7%. Over the same period, headline inflation increased by 3.8%.
The increases mean school fees are rising at more than one-and-a-half times the overall inflation rate for primary schools and significantly faster than inflation for secondary schools.
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The commission said the trend was concerning because education is an essential household expense and the increases come at a time when families are also dealing with higher transport, electricity and water costs.
“It is concerning that school fees are now outpacing headline inflation,” the commission said.
The report found that the pressure becomes even more pronounced over the longer term.
Between January 2020 and July 2026, public primary school fees increased by 46%, while public secondary school fees increased by 51%. Headline inflation rose by about 36% over the same period.
“The above inflation increases for school fees suggest that schools continue to face increasing expenditure pressures arising from municipal service charges, infrastructure maintenance and other operational costs,” the commission said.
The report said the pressure was particularly relevant for fee-paying public schools, where governing bodies can use school fees to supplement government funding and cover operational and educational costs.
“Where these costs outpace growth in public funding, particularly in fee-charging public schools, governing bodies may rely on higher school fees to address funding shortfalls,” the commission said.
“Consequently, the January 2026 fee adjustments further intensified cost-of-living pressures on households already facing rising expenditure on other necessities,” it said.
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Public schools are divided into five socioeconomic quintiles. The commission noted that Quintile 1 to 3 schools, which predominantly serve poorer communities, are designated no-fee schools and receive full state funding. These schools account for about 60% of learners nationally.
Quintile 4 and 5 schools, meanwhile, receive partial government subsidies and are permitted to charge school fees to supplement their operational and educational costs.
Despite public schools receiving government support, households can still face a range of education-related expenses beyond fees, including uniforms, stationery, transport and other compulsory learning materials.
The commission’s findings form part of an assessment of the cost pressures facing lower-income households.
According to the report, households in the lowest income decile spend 40.71% of their expenditure on food and non-alcoholic beverages and another 26.1% on housing and utilities.
Together, these essential categories account for 66.81% of spending among the poorest households.
The commission said its analysis focused on goods and services that households have limited ability to avoid, including electricity, water, housing, healthcare, transport, education, funeral policies and internet services.
The report also found that several other essential costs have risen faster than headline inflation.
Between July 2025 and July 2026, electricity inflation increased by 8.1%, while water inflation rose by 10.1%, compared with headline inflation of 4.3%.
Over the longer period from January 2020 to July 2026, electricity prices increased by about 100.5% and water prices by approximately 85%, compared with overall consumer inflation of about 36%.
Transport costs have also increased sharply. From January to July 2026, petrol inflation rose by 26%, while minibus taxi fares increased by 13%, compared with headline inflation of 3.8% during the same period.
The commission warned that the cumulative effect of these increases was eroding household purchasing power.
“South African households continue to face significant and persistent cost-of-living pressures,” the report said.
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It added that the sustained increase in essential costs meant households were facing greater difficulty meeting their basic needs.
“The cumulative increase in the prices of essential goods and services was continuing to erode household purchasing power,” the commission said.
For families with children attending fee-paying public schools, the education increases add another unavoidable expense to already stretched household budgets.
