South Africa on Thursday scrapped plans to raise value-added tax after a political backlash that threatened the stability of the ruling coalition government.

Spread This News BBC Enoch Godongwana’s decision came after the second-biggest party, the Democratic Alliance (DA), threatened to quit the government, warning a VAT hike would hurt the poor the most.

The South African government has canceled a proposed tax increase that has threatened to collapse the unity government after a pushback from various political parties