The Liberal Democratic Party's special mission committee has held its first meeting to discuss funding for increased defense spending.
Some members of the Diet expressed negative opinions about the government and ruling party's tax hike policy decided at the end of the year. confirmed.
At the end of last year, the government and ruling parties decided to secure one-fourth of the increased defense budget through tax hikes such as corporate taxes, while securing three-fourths through expenditure reforms. Considering that there is still opposition to the tax increase within the party, on the 19th, about 60 lawmakers attended the first meeting of the special mission committee to discuss financial resources other than the tax increase.
Hagiuda, chairman of the political affairs research committee and head of the committee, said, "Of the financial resources, the taxation system research committee has set a certain path, but there are various opinions within the party on other matters. There are also people from overseas. I would like to hold discussions responsibly so that the efforts to strengthen our defense capabilities, which have been highly praised, will not become a mere rice cake."
After this, some members of the Diet said, ``Last year's discussion lacked politeness,'' about the tax increase policy of the government and the ruling party, and said, ``Securing the necessary financial resources should be handled by government bonds instead of tax increases. '' and so on.
On the other hand, lawmakers who accepted the tax increase expressed a negative opinion on relying on government bonds, saying that the policy had already been decided.
In addition, many members of the Diet pointed out one after another that "the government's expenditure reform and other concrete measures are not clear, and the party needs to have thorough discussions."
In response to this, it was confirmed that the Special Missions Committee will discuss how to secure financial resources other than the tax increase, including the pros and cons of securing financial resources by extending the redemption period of Japanese government bonds, which is currently 60 years. bottom.
What is the background to the establishment of the Special Commission?
At the end of last year, the government and ruling parties secured three-fourths of the financial resources for the increase in defense spending accompanying the drastic strengthening of defense capabilities through expenditure reforms, etc., and the remaining one-fourth through corporate tax, income tax, and other measures. We have decided on a policy of raising taxes on three tobacco tax items.
However, in the discussion within the LDP, lawmakers opposed to the tax increase strongly opposed it, saying that ``discussions should not be made hastily. It will be discussed again this year.
Many members of the Abe faction have a negative stance on tax increases, and based on former Prime Minister Abe's remarks made during his lifetime, they argue that "government bonds should be used to secure financial resources."
Under these circumstances, the chairman of the Liberal Democratic Party's political affairs research, Mr. Hagiuda, set up a special committee headed by himself, saying that he would like to have a place to discuss financial resources other than the tax increase before deciding the timing of the tax increase.
The special mission committee will verify whether the government can actually secure three-quarters of the financial resources that it intends to cover other than the tax increase, and will aim to increase the financial resources by extending the redemption period of national bonds, which is currently 60 years. I would like to consider this and hope to reduce the amount of the tax increase.
On the other hand, in response to these moves, the government and legislators who approve of the tax increase have pointed out that ``it could overturn the policy of tax increases'' and ``if the rules for government bonds are changed, there is a risk that fiscal discipline will be loosened.'' In addition, there are voices of concern that it will lead to deepening conflicts within the party.
Abe faction Former Defense Minister Inada "It is important to deepen the discussion of financial resources"
Former Defense Minister Inada, who supports Abe, told reporters, "It's important to deepen the discussion on financial resources. Rather than saying 'Stop tax increases,' it is important to consider spending reforms and the use of surplus funds as permanent sources of revenue. There is significance in digging deep to see if it can be said."
Regarding the review of the redemption period of government bonds, he said, ``There were quite a few lawmakers who argued that if the rule was abolished, it would become a source of funding, but the ratio of outstanding debt to GDP has not changed at all, so it is unlikely that it will become a source of funding for defense spending. I said I was wrong," he said.
Abe faction former Minister of Education Shibayama "Debate firmly including tax increase policy"
Former Minister of Education, Culture, Sports, Science and Technology Shibayama, who supports Abe, told reporters, "With regard to defense financial resources, he said that the grounds for '1 trillion yen through expenditure reform' are extremely weak. How much revenue will increase if the economy grows? In some cases, it may be possible to reduce the proportion of costs covered by tax increases, including the tax increase policy decided by the government and ruling parties at the end of last year. Of course, it is the right direction to have a thorough discussion."
Abe faction member of the House of Representatives Tanigawa "Efforts to fundamentally strengthen defense capabilities without tax increase"
Tomu Tanigawa, a member of the House of Representatives who supports Abe, told reporters, "In the year-end debate, it's the 'appropriate time' to raise taxes, so it's not a definite decision, and raising taxes is a last resort. If we can continue to devise ways to strengthen our defense capabilities without raising taxes, we will have to discuss this once again, as financial resources will be created by reviewing the redemption rules for government bonds. I would like to continue working towards that,” he said.
Aso faction Former Defense Minister Iwaya "Reviewing the redemption period of government bonds is close to cheating"
Former Minister of Defense Iwaya, who is in the Aso faction, told reporters, ``The chairman of the Policy Research Council Hagiuda organized the discussion, but we decided to start this discussion on the premise of an agreement at the end of last year that ``we would like to ask for tax-related matters.'' However, we will continue our efforts to gain the public's understanding by discussing whether we can properly cover the financial resources through the remaining expenditure reforms and other measures." said.
Regarding the revision of the redemption period of government bonds, he said, ``It's nothing more than developing defense capabilities with debt, so it's a proposal close to cheating.I'm sure it won't be adopted in the end.''
House of Representatives member Ishihara of the Kishida faction "Tax increase policy is a major premise of the special mission committee"
Masataka Ishihara, a member of the House of Representatives who supports the Kishida faction, told reporters, "The tax increase policy is a major premise of the special mission committee, and it will not change. On the other hand, there is not enough explanation to the public and there are many misunderstandings, so we should discuss it. It is important that we do our best to show the people how to secure financial resources."
Former Secretary-General Ishiba "Even now, what is inside? Stack up"
Former Secretary-General Ishiba told reporters, ``Security is not something that can be decided from the beginning based on the amount and financial resources. We have to increase defense spending, but I don't think it's the right way to do it, just to stir up a sense of crisis."
Regarding the review of the redemption period of national bonds, he said, "We have to issue new refunding bonds, and the burden on the people will not disappear like magic. It's a responsible government," he said.
Chief Cabinet Secretary Matsuno "Concretize the content based on the discussion of the Liberal Democratic Party"
At a press conference in the afternoon, Chief Cabinet Secretary Matsuno said, "I would like to refrain from making prejudiced comments on the discussions of the LDP. As for the government, after having the LDP thoroughly discuss the financial resources for strengthening defense capabilities, we will decide the financial resources based on that. I would like to further advance the specifics of the content of the security."
On the other hand, regarding the idea of extending the redemption period of national bonds and allocating part of the budget for the redemption to increase the defense budget, he said, "It is exactly as the government has answered so far." was shown.