Japan’s Ruling Bloc Asserts Itself with Passage of Extra Budget, Majority in Lower House

By Kanae Araki and Kota Ifuku / Yomiuri Shimbun Staff Writers

21:00 JST, December 18, 2025

The Liberal Democratic Party and the Japan Innovation Party have reclaimed the initiative as the ruling bloc, successfully passing the fiscal 2025 supplemental budget as drafted.

The coalition gained leverage in negotiations with the opposition by securing a House of Representatives majority, thanks to independent members joining the LDP-led bloc.

Prime Minister Sanae Takaichi, who also serves as LDP president, is seeking to bring the Democratic Party for the People into the fold to further stabilize her administration.

At a press conference on Wednesday, Takaichi touted her achievements, saying: “I have worked boldly, making the response to rising prices my top priority. With the passage of the supplemental budget, I have fulfilled my promise to the people.”

In a strategic move to ensure the budget would pass, the government conceded to the requests of the DPFP and Komeito ahead of time, leading to their approval of the initial proposal.

This is the first time a budget has passed in its original form since the fiscal 2024 budget, when the ruling coalition held majorities in both houses of the Diet.

The government and ruling bloc focused on securing the support of the DPFP and Komeito both because they have a minority in the House of Councillors, and because they aim to “deepen cooperation and ensure the passage of the fiscal 2026 budget,” according to a senior LDP official.

Within the government and the LDP, many hope that the DPFP will join the coalition. During a press conference, Takaichi did not give a clear answer about expanding the ruling bloc. Instead, she stressed that “robust economic policies cannot be advanced without political stability.”

The prime minister and her allies aim to build common ground with the DPFP by raising the annual income barrier, the income threshold for the imposition of income tax.

As for Komeito, the government and the LDP have worked hard to maintain relations with the now opposition party, hoping to keep the door open as much as possible for the party to rejoin the coalition in the future.

Some in the LDP are giving the extraordinary Diet session a “perfect score.” However, discord has emerged within the coalition over a bill to reduce the number of seats in the lower house, a measure that the JIP has avidly pursued.

Although the parties aim to pass the bill during the ordinary Diet session starting in January, its prospects remain unclear, and the issue threatens to be a source of tension.