LDP, Komeito revive plan for cash handouts as election nears
Cash handouts versus tax cuts.
The ruling coalition and the opposition bloc have settled on differing policies to help the public deal with the rising cost of living, the likely main issue in the Upper House election next month.
The Liberal Democratic Party and its junior coalition partner, Komeito, plan to include the cash handouts in the government's economic measures as well as in their common campaign pledges for the Upper House election, senior government officials said.
At a meeting in Tokyo on June 10, the secretaries-general and other officials of the coalition parties decided that their policy research councils will discuss the amount and other details of the proposed benefits.
Coalition officials have floated the idea of offering tens of thousands of yen per person without setting income limits, and financing the program with a surplus in fiscal 2024 tax revenues, sources said.
The handouts are expected to be provided in cash or through the Myna Point program, which is linked to the government's My Number Card (Individual Number Card) system, to prioritize speedy rollouts, the sources said.
The LDP and Komeito had discussed a plan to give about 50,000 yen ($345) per person in cash handouts in April but eventually scrapped the idea after being criticized by the public as engaging in a dole-out policy.
Calls for reconsidering the cash benefits grew within the ruling coalition when the opposition parties started promising to reduce the consumption tax rate.
LDP leaders have ruled out the possibility of a consumption tax cut as an Upper House election pledge, forcing Komeito to drop the tax reduction from the list of its priority policies.
Komeito already listed the provision of 'livelihood support benefits,' which would return increased tax revenues to the public, as one of its priority policies announced on June 6.
The Upper House election is expected to be held on July 20, with official campaigning likely to kick off on July 3.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yomiuri Shimbun
8 hours ago
- Yomiuri Shimbun
Online Applications for My Number Card to Be Available Overseas
The government plans a policy to allow Japanese citizens living abroad to submit online applications for the issuance of My Number Cards. To reduce the expected burden on applicants to submit the applications in person and by mail, the new system will become available from fiscal 2026. Applications for the cards can already be made online from within Japan. Currently, a person residing overseas who wants to apply for a My Number Card has to submit their application at a Japanese Embassy, the government office in their hometown or via mail. The applicant will still need to visit an embassy to have their identity confirmed when they receive the cards, but being able to complete the application with a single visit will make the process more convenient, as there have been many cases in which no embassies are located close to where the applicant lives. Up until now, the process has taken two to three months from application to issuance for overseas applicants. However, that time will be reduced once applications can be made online, another positive aspect of the change. As of March 2024, a person can continue to use their My Number Card even after they have moved overseas. The Foreign Ministry and the Internal Affairs and Communications Ministry are also considering setting up dedicated computer terminals at Japanese embassies to make renewals and other procedures related to the cards possible. With a My Number Card, a person can complete administrative procedures related to their tax return, national pension and others. The cards are also being used more in private businesses, with banks, securities firms and others in the financial industry using them to confirm a customer's identity when they open a new account.
Yomiuri Shimbun
11 hours ago
- Yomiuri Shimbun
Komeito Struggling after Defeat in Upper House Election
TOKYO (Jiji Press) — Komeito, which has been part of Japan's ruling coalition for years, is struggling, especially following its crushing defeat in last month's election for the House of Councillors, the upper chamber of parliament. There are even calls for the party to give up on fielding candidates in constituencies and instead focus on the proportional representation system. Komeito leader Tetsuo Saito pledged to promote reform to rebuild the party in a meeting with local chapter representatives on Aug. 1 to review the results of the Upper House election. 'In order to achieve party revitalization, we will advance reform and make every effort to establish an unshakable foundation to win (elections) in any headwind,' Saito said. In the election, Komeito lost its seats in three constituencies, while its number of proportional presentation votes dropped to 5.21 million from nearly nine million it collected in the past. Komeito had set a goal of maintaining its 14 seats up for re-election, but it ended up winning only eight seats, the lowest since the party took its current form in 1998. Amid the aging of members of Soka Gakkai, a lay Buddhist group that is the party's main supporter, some have been calling on Komeito to withdraw from costly races in constituencies and put resources into proportional representation. But Komeito has continued to field candidates in constituencies by upholding its principles of being a party rooted in local communities. 'There is an option to focus on proportional representation in order to gain support nationwide,' a Komeito official said. The proposal for withdrawing from constituencies, which was put forward after the ruling coalition briefly fell from power following its defeat in the 2009 election for the House of Representatives, the lower chamber of parliament, may emerge again, the official said. The party's declining tide is also affecting its generational change. Keiichi Ishii resigned as Komeito leader only less than two months after assuming the post, after he was defeated in the Lower House election in October. Many middle-ranking Komeito lawmakers, who were seen as candidates for future party executives, also lost their seats in the election. Despite the defeat in July's Upper House election, there are few calls from within the party for Saito to step down because of a lack of personnel. 'Saito is likely to stay on for the time being. Who will replace him?' a Komeito official said.
Japan Times
12 hours ago
- Japan Times
Komeito struggling after crushing Upper House election defeat
Komeito, which has been part of Japan's ruling coalition for years, is struggling, especially following its crushing defeat in last month's election for the House of Councilors, the upper chamber of parliament. There are even calls for the party to give up on fielding candidates in constituencies and instead focus on the proportional representation system. Komeito leader Tetsuo Saito pledged to promote reform to rebuild the party in a meeting with local chapter representatives on Aug. 1 to review the results of the Upper House election.
