The Empilisweni informal settlement development progress was delayed as a result of a Constitutional Court judgment. The housing problem in the municipality was huge. The population in the area constituted 3,7 million with 122 informal settlements and 22 hostels. The number of the backyard dwellers was also extremely huge. The conditions of the hostels are terrible and upgrading of these hostels would costly. The upgrading of the hostel would cost the municipality about R6 billion.