THE Department of Health released its latest white paper on National Health Insurance (NHI) last month, introducing the scheme as one to "pool funds to provide quality, affordable … health services … irrespective of … socioeconomic status".It says the NHI is in line with the constitutional mandate of the government "to take reasonable legislative and other measures, within its available resources, to achieve … the right to access to healthcare".It is unfortunate, then, that not only will this policy not achieve its stated goals, but it will lead to ruinous unintended consequences.Moreover, it is beyond belief that the government thinks it can fund this new monumental expense. The Davis tax committee acknowledged last August that to implement the NHI, "the tax to domestic product (GDP) ratio will need to rise quite significantly". In the report, the department acknowledges the government’s preference for a broad tax base and low tax rate, rather than a narrow tax base and high tax ra...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.