A bill to cut the consumption tax on food and drink from 8% to 1% for two years from April 2027 passed the lower house plenary session on Friday, and Toru Hashimoto, the former Osaka mayor and a lawyer, backed the move on television the same day.
Appearing on Nippon TV's "News to," Hashimoto, 57, said the case for acting was simple. "If it's not a matter of life and death, I think politics is about doing it," he said.
He argued that caution had stalled the country. "Why doesn't Japan grow, why doesn't it move forward? Because we debate endlessly on paper and end up saying 'we won't do it' when problems turn up. Criticism is a hassle," he said.
Hashimoto credited Prime Minister Sanae Takaichi and Finance Minister Satsuki Katayama with pushing the bill through. "This couldn't have been done without the power of Takaichi and Katayama. As politicians, I think they are admirable," he said.
Pushback from experts and commentators
Hashimoto acknowledged that most academics, commentators and media figures oppose the cut over how social security would be funded. He said roughly as many experts argue it can be done safely.
He described the kind of country he wanted Japan to become. "If it's not a matter of life and death, give it a try. If it fails, if it doesn't work, Takaichi and Katayama can take responsibility and resign," he said.
On the funding question, Hashimoto said the consumption tax accounts for only 20% of social security financing, with taxes and insurance premiums covering most of the rest. "Even if part of the consumption tax is trimmed, I don't think social security will collapse," he said.
He pointed to Europe, where value-added tax rates are adjusted with the business cycle. "I want Japan to become that kind of country," he said.