May 8, 2026
The “National Council on Social Security” consisting of the national government and certain political parties claims that discussions on the “elimination of the consumption tax on food items” are proceeding. This was a pledge made by Prime Minister Takaichi Sanae during the February 8 House of Representatives election campaign. However, the discussions remain in disarray.
In hearings with restaurant industry representatives, dissatisfaction was expressed, noting that the consumption tax rate for dining out remains at the current 10% while the “no tax” measure applies to boxed lunches (bento) and takeaways. Hearings with economic organizations, including the Japan Business Federation (Nippon Keidanren), also revealed negative views about the “zero sales tax on food” policy. Some business leaders labeled it as inefficient.
During the general election campaign, PM Takaichi pledged to implement the “no tax on food” measure by the end of March 2027. However, the timing of the tax cut remains unclear.
What about the political parties participating in the National Council?
The “Nippon Ishin no Kai” party pledged a “2-year zero tax on food items” in its election platform. However, Fujita Fumitake, a co-leader of the party, stated, “Just because we said ‘zero’ doesn’t mean it has to be zero.”
The Democratic Party for the People pledged to reduce the consumption tax to a flat rate of 5%. However, the party’s leader, Tamaki Yuichiro, announced a change to this pledge, stating, “The time for a review is approaching.”
The Centrist Reform Alliance pledged to implement a “permanent zero consumption tax on groceries”. However, Secretary General Shina Takeshi expressed doubt whether a permanent funding source for the loss of consumption tax revenues could be found, stating that it would be “difficult” to fulfil the pledge.
Firstly, it is problematic that the consumption tax cut is being discussed solely within the National Council.
From the outset, PM Takaichi excluded the Japanese Communist Party and other parties which advocate for the immediate or eventual abolition of the consumption tax. Conversely, she invited the “Team Mirai” party, which opposes consumption tax cuts, to join the Council.
Soaring oil prices and inflation mean that a “zero consumption tax on food” alone would be insufficient to protect people’s livelihoods. The debate over consumption tax cuts should take place in the Diet and not in the National Council.
Past related article:
> Koike: It is unacceptable for PM Takaichi to prioritize ‘National Council’ over Diet [February 25, 2026]
In hearings with restaurant industry representatives, dissatisfaction was expressed, noting that the consumption tax rate for dining out remains at the current 10% while the “no tax” measure applies to boxed lunches (bento) and takeaways. Hearings with economic organizations, including the Japan Business Federation (Nippon Keidanren), also revealed negative views about the “zero sales tax on food” policy. Some business leaders labeled it as inefficient.
During the general election campaign, PM Takaichi pledged to implement the “no tax on food” measure by the end of March 2027. However, the timing of the tax cut remains unclear.
What about the political parties participating in the National Council?
The “Nippon Ishin no Kai” party pledged a “2-year zero tax on food items” in its election platform. However, Fujita Fumitake, a co-leader of the party, stated, “Just because we said ‘zero’ doesn’t mean it has to be zero.”
The Democratic Party for the People pledged to reduce the consumption tax to a flat rate of 5%. However, the party’s leader, Tamaki Yuichiro, announced a change to this pledge, stating, “The time for a review is approaching.”
The Centrist Reform Alliance pledged to implement a “permanent zero consumption tax on groceries”. However, Secretary General Shina Takeshi expressed doubt whether a permanent funding source for the loss of consumption tax revenues could be found, stating that it would be “difficult” to fulfil the pledge.
Firstly, it is problematic that the consumption tax cut is being discussed solely within the National Council.
From the outset, PM Takaichi excluded the Japanese Communist Party and other parties which advocate for the immediate or eventual abolition of the consumption tax. Conversely, she invited the “Team Mirai” party, which opposes consumption tax cuts, to join the Council.
Soaring oil prices and inflation mean that a “zero consumption tax on food” alone would be insufficient to protect people’s livelihoods. The debate over consumption tax cuts should take place in the Diet and not in the National Council.
Past related article:
> Koike: It is unacceptable for PM Takaichi to prioritize ‘National Council’ over Diet [February 25, 2026]
