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R74 million budget for NHI legal battles as 15 cases challenge implementation

Mthobisi Nozulela|Published

The Minister of Health, Aaron Motsoaledi, has revealed that the Department has set aside R74 million

Image: National Department of Health / Facebook

The Minister of Health, Dr Aaron Motsoaledi, has revealed that the Department has set aside R74 million for the 2026/27 financial year to cover ongoing legal costs linked to the National Health Insurance (NHI).

This comes as court challenges against the NHI continue to delay its implementation, with 15 separate cases currently before the courts. The law is being challenged by opposition parties, medical schemes, and health groups over its financial viability.

The Minister disclosed this in response to a parliamentary question from Freedom Front Plus MP Philip van Staden, who had asked for details on the total cost of litigation and the contingency measures in place should the courts rule against the legislation or further delay its rollout.

"There is a total of 15 cases all in all. On average, each case cost us between R2,5 million and R3 million, and these cases have been going on for more than a year. The money has been paid to six Senior Counsels, ten Junior Counsels and Attorneys. Budgeted costs set aside in this regard for the 2026/27 financial year is R74 million," Motsoaledi said.

He added that the High Court has already ordered, by agreement between the parties, that all related court cases be paused, along with the implementation of the NHI Act, until the Constitutional Court makes a final decision on two challenges focused on public participation during the law-making process.

"The High Court made an order with the agreement of all parties that all High Court cases will be stayed and the proclamation of all sections of the Act plus any implementation of the Act will also be stayed (held in abeyance) until the Constitutional Court has passed judgement on two public participation challenges," he added.

"It is unclear what contingency plans are referred to. The Department is continuing with the public health systems strengthening activities and the preparatory work for the NHI that are in the Annual Performance Plan and budgeted for.

IOL previously reported that the Constitutional Court is gearing up to hear the legal challenge regarding the National Health Insurance Act and whether Parliament acted in accordance with the Constitution when it passed the NHI Act.

The legal challenge will be heard from May 5 to May 7, during which the Board of Healthcare Funders and the Western Cape Government (WCG) will argue they were not properly consulted during the Bill’s development and the Act’s assent.

mthobisi.nozulela@iol.co.za

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