Road Accident Fund in South Africa: Board Dissolution, Parliamentary Inquiries, and Calls for Reform – July 31, 2025

Road Accident Fund in South Africa: Board Dissolution, Parliamentary Inquiries, and Calls for Reform – July 31, 2025

Latest Developments:

• RAF Board Dissolved: On July 15, 2025, Minister of Transport Barbara Creecy officially dissolved the Board of Directors of the Road Accident Fund (source). This move follows mounting pressure over governance and financial mismanagement.
• Parliamentary Inquiry: The Standing Committee on Public Accounts (SCOPA) has adopted terms of reference for a formal inquiry into the RAF’s financial matters (source). The inquiry aims to address allegations of mismanagement and ensure accountability.
• Calls for Reform: Medical schemes and non-profit organizations have called on Parliament to enforce the settlement of outstanding claims and to implement urgent reforms (source, source). There is growing consensus that the RAF Act should be properly executed rather than replaced.
• Legal and Financial Challenges: The RAF continues to face significant legal disputes and financial strain, with recent court cases highlighting delays in claim settlements and statutory adjustments (source, source).
• Impact on Victims and Public: Ongoing instability at the RAF has had a direct impact on accident victims, the public purse, and the broader economy, with many stakeholders calling for a robust clean-up and sustainable solutions (source).

Conclusion: The Road Accident Fund is at a critical crossroads. The dissolution of its board and the launch of a parliamentary inquiry signal a turning point, but the path forward will require decisive action, transparency, and a commitment to reform. Stakeholders are watching closely as the future of the RAF—and the well-being of South Africa’s road users—hangs in the balance.

Sources: Moonstone, Moneyweb, Government of South Africa, Parliament of South Africa, Daily Maverick, IOL, Legal Academy