The Kishida government is considering low birth rate measures of a different level.
Implemented from 2025, there is no income limit… Confirmed at the Cabinet meeting
The Asahi Shimbun reported on the 7th that the Japanese government has solidified its policy to provide free college tuition for multi-child households with three or more children.
Implementation will begin in 2025, and there will be no income restrictions. As part of a ‘different level of low birth rate measure’ to encourage childbirth by reducing the burden of education costs, it will be included in the ‘Children’s Future Strategy’ and confirmed at the Cabinet meeting within this month.
The target group is households with three or more children, and in addition to university students, it is planned to include students at junior colleges and technical schools. Asahi reported that in addition to tuition, admission fees are also being provided free of charge.
For households with an annual income of less than 3.8 million yen (approximately 34 million won), there is currently a support system that provides tuition reduction or a benefit-type scholarship that does not require repayment. This spring, the Japanese government announced that it would reduce tuition by expanding the target population to middle-class households with multiple children with an annual income of up to 6 million yen (about 54 million won) from 2024 as a measure to address low birth rates. Currently, for households with two parents and two children, the support requirement, which was limited to annual income of less than 3.8 million yen, has been adjusted to 6 million yen.
This time, it was decided that, in principle, it would be provided free of charge without income restrictions for households with multiple children. The original draft of the Children’s Future Strategy also stated that it would ‘promote necessary reexamination of academic requirements’, but it also envisaged excluding children from support if they did not attend classes.
Previously, the Japanese government decided on a ‘strategic policy’ for low birth rate measures, including expansion of child allowances, in June. Initially, the business scale was being considered at about 3 trillion yen, but about 500 billion yen (about 4.485 trillion won) was added on May 31, just before the draft of the strategic policy was announced. At the time, Prime Minister Fumio Kishida expressed, “I have decided to expand support for higher education under my instructions.”
Asahi pointed out that the Japanese government plans to soon propose a plan to secure financial resources worth 3.5 trillion yen (approximately 31.393 trillion won), but it will also require cuts in social security spending.
In addition, the Yomiuri Shimbun reported that the Japanese government decided to expand child support allowances paid to single-parent households.
Child support allowance is for low-income households such as single parents and is paid until the end of the year in which the child turns 18.
Currently, for one child, up to 44,140 yen (about 370,000 won) is paid per month, for the second child, up to 10,420 yen (about 93,000 won) per month, and for the third child and onward, up to 6,250 yen (about 50,000 won) per month. An additional payment of 6,000 won is provided, but the amount for the third child also increases to a maximum of 10,420 yen per month, the same as the second child.
Income restrictions are also being reviewed. We are considering raising the upper limit of annual income for households receiving full child support allowance from the current 1.6 million yen (approximately 14.3 million won) to 1.9 million yen (approximately 17 million won). The upper limit standard for payment is also being considered to increase the annual income from 3.65 million yen (approximately 32.7 million won) to 3.85 million yen (approximately 34.5 million won).
The Japanese government aims to pass a revision to the Child Support Allowance Act at the regular National Assembly convened in January next year and implement the payment starting in January 2025.
Source: Donga
Mark Jones is a world traveler and journalist for News Rebeat. With a curious mind and a love of adventure, Mark brings a unique perspective to the latest global events and provides in-depth and thought-provoking coverage of the world at large.