Takaichi and Koizumi Under Fire for High Political Spending

Political funding reports have raised significant concerns regarding the spending habits of Prime Minister Sanae Takaichi and Defense Minister Shinjiro Koizumi. The analysis reveals that Takaichi expended more than 80 million yen (over half a million US dollars) on publicity for the 2024 leadership campaign of the Liberal Democratic Party (LDP). In contrast, Koizumi spent approximately 20 million yen, while former Prime Minister Shigeru Ishiba spent around 0.42 million yen.

The Mainichi Shimbun reported on November 28 that Takaichi’s expenditures stand out in comparison to the relatively modest publicity costs typically seen in LDP leadership races. While these figures pale against the extensive financial backing seen in American political campaigns, they are viewed as substantial within the Japanese context. Historical scandals and recent issues surrounding LDP slush funds have heightened public sensitivity toward corporate donations to politicians.

The 2024 LDP leadership race was held in September 2024 following Prime Minister Fumio Kishida‘s resignation amid public scrutiny over the party’s connections with the Unification Church and internal financial scandals. Takaichi received the most votes in the first round but ultimately lost to Ishiba in a runoff. Nonetheless, her formidable campaign is believed to have positioned her well for the 2025 leadership race, which she won after Ishiba’s resignation, becoming prime minister in October 2025.

According to Takaichi’s funding report, her publicity efforts involved the allocation of 83.84 million yen prior to and during the 2024 race. This amount significantly exceeds the 10 million yen spent during her initial bid in 2021. Key expenditures included 33 million yen on advertising with a video production and social media agency, and 5 million yen for website planning and production services connected to the late campaign strategist Shinnosuke Fujikawa. Furthermore, 45.84 million yen was spent on printed materials, which faced scrutiny as her team began mailing promotional leaflets to over 300,000 party members prior to the official campaign period. This action led to a warning from the LDP’s election management committee, although it is believed to have bolstered her support among party members.

Koizumi, who placed third in the 2024 race, followed Takaichi as the second-highest spender, reporting 20.23 million yen paid to a Tokyo public relations firm for leadership election support. He also incurred 29.19 million yen in campaign expenses to a branding firm after the race, although the connection to the leadership contest remains unclear. Additionally, he paid 13 million yen to a company for public-opinion research during the campaign.

In contrast, Ishiba’s spending was considerably lower, with his funding reports revealing just 390,000 yen for leaflet production and 30,000 yen for social media promotions. The LDP leadership race does not fall under the strict regulations of the Public Offices Election Act, resulting in no spending caps or mandatory reporting requirements. Although the party prohibits high-cost activities such as mailing PR documents, violations lack penalties, prompting concerns about unchecked social media advertising.

Simultaneously, on November 28, NHK reported that both Takaichi’s and Koizumi’s local LDP chapters received corporate donations of 10 million yen each in 2024, surpassing the limits set by the Political Funds Control Act. Reports from the Nara and Kanagawa election management committees detail that Takaichi’s chapter received a donation from a Tokyo-based company, while Koizumi’s chapter was funded by an Osaka-based company. Both companies exceeded the legal donation cap by 2.5 million yen due to miscalculations regarding their capital sizes.

Takaichi’s office acknowledged the mistake, stating that they had misidentified the company’s size and returned the excess amount, correcting the funding report. Koizumi’s office also admitted to being unaware of the capital size and confirmed that the excess was promptly refunded, with the adjustment to be reflected in next year’s funding report.

Japan’s political landscape has a history of funding scandals, including the Lockheed scandal in 1976 and the Recruit scandal in 1988. These events led to significant public backlash against “money politics,” culminating in a loss of LDP control in 1993. Subsequent reforms to the Political Fund Control Act have aimed to tighten donation limits and enhance transparency, but recent scandals have raised questions about compliance and understanding of the existing regulations.

As political funding practices continue to come under scrutiny, the LDP faces challenges in restoring public trust. Proposals to ban corporate contributions, advocated by the LDP’s coalition partner, Nippon Ishin no Kai (Japan Innovation Party), remain a focal point for legislative discussions. Takaichi’s substantial publicity spending during her leadership campaign may have contributed to her cabinet’s current approval ratings, which stand at 72% according to a recent Yomiuri Shimbun survey.

The implications of Takaichi’s and Koizumi’s spending highlight the crucial role media scrutiny plays in holding political figures accountable. Diverse perspectives from various news outlets, ranging from the left-leaning Asahi Shimbun and Mainichi Shimbun to the more conservative Yomiuri Shimbun and Sankei Shimbun, will be essential in shaping public discourse on these issues.