Prime Minister Shinzo Abe attended the Meeting of the Government and Ruling Parties at the Prime Minister's Office.

During the meeting, there were discussions on the "consumption tax rates and local consumption tax rates increase and accompanying measures."

Based on the discussion, the Prime Minister said in his address,

"We are starting to see signs of recovery in our economy thanks to the 'three arrows' policies, which are different from the past in both their scope and reach.
We must not let this chance to overcome the deflation that has continued for 15 years pass us by.
I have paid much careful consideration to our economic conditions.
In addition, with regard to policies needed in order to avoid a relapse in economic conditions by increasing consumption tax rates, and to set the Japanese economy on a path to solid growth, I have had Minister Amari, Minister Aso, and members of the ruling parties hold intensive discussions all day and night, and today we were able to compile a draft economic policy package.
Through the implementation of this economic policy package, even if there is an increase in consumption tax rates, we will be able to mitigate the impact of that as much as possible, and I believe it will be possible to quickly recover and set Japan's economy on a path back toward growth.
Based on this concept, in order to maintain confidence in the Government and thoroughly pass a sustainable social security system onto future generations, I have made the decision to raise national and local consumption tax rates from 5% to 8% on April 1, 2014.
This evening, I want to explain the decision this time, its background, and our measures to the nation.
I ask for the extensive cooperation of senior officials of the ruling parties with regard to this draft Cabinet decision."