Japan Offers Families £5,300 Per Child to Leave Tokyo
Japan Offers Families £5,300 Per Child to Leave Tokyo

The Japanese government is offering families 1 million yen (£5,300) per child to move out of greater Tokyo, in a bid to reverse population decline in rural areas. The incentive, a significant increase from the previous 300,000 yen, will be introduced in April as part of efforts to revitalise towns and villages hit by ageing and shrinking populations.

Families living in Tokyo's 23 core wards, the wider metropolitan area, and the commuter-belt prefectures of Saitama, Chiba and Kanagawa are eligible. They must relocate outside greater Tokyo, though some may receive the cash if they move to mountainous areas within the city's boundaries. Recipients must live in their new homes for at least five years and have at least one household member in work or planning to start a business; early movers must repay the money.

The payment comes on top of up to 3 million yen already available in financial support. A family with two children could receive up to 5 million yen. Half of the funding comes from the central government, the other half from local municipalities. About 1,300 municipalities, roughly 80% of the total, have joined the scheme.

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Tokyo's population fell for the first time last year, partly due to the pandemic, but policymakers want to lower density further. The scheme has struggled to attract interest since its launch three years ago, with only 1,184 families relocating in 2021, compared with 71 in 2019. The government hopes 10,000 people will move from Tokyo to rural areas by 2027.

Japan's population fell by a record 644,000 in 2020-21, and is projected to drop from 125 million to 88 million by 2065. The birthrate remains at 1.3 children per woman, well below the replacement rate of 2.1. In 2021, births hit a record low of 811,604, while centenarians numbered over 90,500.

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