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Gayton McKenzie Drops Bombshell: Poorly Managed Sports Federations Will Lose Funding

September 10, 2025
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Minister of Sports, Arts and Culture Gayton McKenzie has announced a potential overhaul in the funding of South Africa’s sports federations, signalling that poorly managed bodies may face significant budget cuts.

Speaking at a press briefing on Monday, McKenzie stressed that federations lacking proper infrastructure, including offices, functional websites, or alternative revenue streams, would be scrutinized and could lose government funding. “We cannot continue to fund organisations that do not demonstrate accountability or sustainability. Those failing to meet basic operational standards must improve, or risk having their budgets reduced,” the Minister said.

The Department of Sports, Arts and Culture has, however, offered struggling federations a chance to submit revised proposals detailing improved management practices, governance measures, and sustainable revenue plans. McKenzie emphasised that the move is intended to promote efficiency and transparency within the country’s sporting sector rather than penalize federations outright.

Conversely, federations demonstrating strong governance and organisational capacity are expected to receive increased support. Wrestling, cited as a well-run federation with sound administrative structures and oversight, will see an enhancement in funding to further develop athletes and grassroots programmes. “We are rewarding performance and accountability. Well-managed federations will continue to thrive, ensuring that South African sport remains competitive and sustainable,” McKenzie added.

The Minister’s announcement comes amid growing public concern over mismanagement and financial irregularities within certain sports organisations. Investigations by the Department have previously highlighted federations failing to submit annual reports, maintain active communication channels, or generate revenue outside of government allocations.

Sports analysts say the funding shake-up could serve as a wake-up call for federations reliant solely on state support. “This is an opportunity for federations to professionalise their operations, diversify income streams, and adopt better governance practices. Those that adapt will benefit, while underperformers will face consequences,” said sports governance expert Thabo Dlamini.

McKenzie’s statement also highlighted the department’s ongoing efforts to improve accountability and ensure that taxpayer money contributes directly to the development of athletes and sporting excellence. The government intends to implement stricter oversight measures, including regular audits and performance assessments, to monitor how federations utilise allocated funds.

Federations now have a defined window to submit improved proposals and demonstrate their capability to manage resources effectively. The Ministry has emphasised that this reform is part of a broader initiative to strengthen South African sport at both grassroots and elite levels, ensuring long-term sustainability and international competitiveness.

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