Japan's Prime Minister Sanae Takai, during the House of Representatives’ budget committee meeting on the 27th, expressed her intention to submit a bill aimed at establishing a temporary zero consumption tax on groceries for a period of two years. This proposal is contingent on gathering opinions by this summer and seeks to be introduced in the anticipated extraordinary session of the Diet. The Prime Minister also urged opposition parties to cooperate in passing the initial budget proposal for fiscal 2026, indicating the importance of collaboration to ensure timely budgetary processes.

Throughout the discussions, Takai emphasized the need for inclusive talks within a bipartisan framework dubbed the 'Social Security National Council,' where stakeholders could consolidate their thoughts by the summer. She was clear that this tax exemption serves as an interim measure until the implementation of a tax credit with benefits, noting that the consumption tax would revert to its current reduced rate after the two-year period ends, thereby highlighting the temporary nature of this initiative.

Furthermore, Takai’s statement came amidst delays in budget deliberations due to an early dissolution of the House of Representatives in January, making the budget discussions roughly a month late compared to typical schedules. She called upon opposition leaders, including representative Junya Ogawa from the Center Reform Alliance, to join the discussions in an effort to foster participation from all parties involved, illustrating her commitment to bipartisan negotiation in navigating fiscal policies despite the current challenges in gaining wider support from opposition parties like the Constitutional Democratic Party and Komeito.