National and public sectors demand high consumption tax reduction bill, tug-of-war over House of Councilors majority

The debate in the Diet regarding the consumption tax reduction bill moved to the House of Councilors on the 11th. Unlike the House of Representatives, where the ruling party has an overwhelming majority, the House of Councilors, where the opposition party holds a majority, focuses on the success or failure of majority maneuvering. However, the ruling parties, the Democratic Party of Japan and Komeito, are making high demands, including amendments to the bill. Prime Minister Sanae Takaichi's reluctance to attend deliberations has also become a source of friction between the ruling and opposition parties.

National and public sectors demand high consumption tax reduction bill, tug-of-war over House of Councilors majority

"It's a reminder that the House of Councilors is a different world. We can't pass half-baked bills." Just before deliberations began in the House of Councilors plenary session, Kiyomi Tsujimoto, acting chair of the Constitutional Democratic Party of Japan, made it clear at a party meeting that she intended to confront the administration.

All opposition parties opposed the bill in the House of Representatives, citing the lack of transparency regarding the funding sources for tax cuts and the system design for support for low- and middle-income earners. However, the ruling party, which had more than two-thirds of the seats, ultimately prevailed.

Meanwhile, the ruling party is two seats short of a majority in the House of Councilors, even including the Japanese Conservative Party, which has expressed support for the bill. For this reason, the Prime Minister stated at the plenary session, ``If there are constructive proposals, I will not rule out discussion,'' indicating a flexible attitude towards revision talks with the opposition parties.

What he has in mind is the Democratic Party of the People and Komeito. The Democratic Party of Japan has distanced itself from opposition parties by cooperating with the ruling party in reducing the number of members of the House of Representatives. Komei has not taken a position opposing the consumption tax cut itself.

However, it is unclear whether the ``war on terms'' between the two parties will progress. On the 11th, the Democratic Party of Japan submitted a counterproposal to the House of Councilors, centered on the reduction of resident tax. Representative Yuichiro Tamaki declares that this acceptance is "essential" for the bill to be approved.

Within the government, many see Komeito as the ``main target'' (ministerial and agency executives) who are demanding more aid. On the 11th, Deputy Chief Cabinet Secretary Yusuke Nakanishi met with Komeito Secretary-General Sanehito Nishida in the Diet, and bowed his head, saying, ``We will respond sincerely during deliberations.''

However, a Komeito official mentioned that influential members of the Liberal Democratic Party "protested" the House of Representatives vote, and pointed out, "If they give you a souvenir and vote in favor of the bill, the party will be over." At the party meeting following the plenary session, Mr. Nishida took a strong stance, saying, ``The prime minister's answer is 'zero answer.'''

The Constitutional Democratic Party of Japan, the largest opposition party in the House of Councilors, wants to move on the offensive in unison with other opposition parties. For a start, the prime minister's attendance on the 13th, the first day of deliberations by the House of Councilors special committee, elicited concessions from the Liberal Democratic Party. Yoshitaka Saito, chairman of the Constitutional Democratic Party's country relations committee, warned reporters, ``This is not the end.'' They secured more deliberation time than the House of Representatives and repeatedly asked the prime minister to attend.

"It's not going to be easy." Liberal Democratic Party upper house officials lowered their voices.