Prime Minister Shigeru Ishiba addressed a meeting of the LDP's political reform headquarters where the decision to abolish "policy activity expenses" was approved. These funds, distributed by political parties to individual lawmakers without the need to disclose how they are spent, have sparked public outrage over lack of transparency. The LDP, in coordination with its junior coalition partner Komeito and opposition parties, aims to amend the Political Fund Control Law by the year-end, with the finalized proposal expected by November 21.
The use of policy activity expenses, primarily for expanding party influence and policy development, has remained undisclosed, adding to concerns about accountability. The move to eliminate these funds comes after reports surfaced regarding misreporting of substantial amounts accumulated from fund-raising events by LDP factions and members. While a revision to the Political Fund Control Law in June mandated receipts disclosure on how policy activity expenses are used after ten years, specific implementation details were left ambiguous for a later determination. Prime Minister Ishiba's directive to discuss the abolition of these expenses followed the LDP's seat losses in the Lower House election in October, prompting internal deliberations that led to the decision to halt the distribution of these funds to individual lawmakers.
The proposal to abolish the controversial funds was solidified during a gathering of senior members at the LDP’s political reform headquarters, outlining that expenses involving sensitive diplomatic matters or recipient privacy would not be fully revealed. Instead, these expenditures will be examined by independent third parties, ensuring a degree of oversight while aiming for greater transparency within the political funding landscape.