Japanese Finance and Health Ministers have agreed to raise the core portion of medical service fees by 3% or more for the first time in 30 years. This measure aims to help hospitals manage rising prices and boost wages for medical workers. Fees will increase by 2.22% in fiscal 2026.
The Japanese government has decided to raise medical service fees to address mounting inflationary pressures. Finance Minister Satsuki Katayama and Health Minister Kenichiro Ueno reached an agreement on Wednesday, December 24. This will result in a 2.22% increase in medical service fees for fiscal 2026, the first such rise in 12 years.
The main component, which primarily covers labor costs for medical workers, will see an annual average increase of 3.09% over the two years starting from April next year. Meanwhile, official drug prices will be lowered by 0.87%. This adjustment to the core fees by 3% or more marks the first time in 30 years and is intended to help hospitals cope with escalating costs and improve wages for medical staff.
Additionally, the maximum monthly out-of-pocket medical expenses will be raised by up to 38%, depending on income, potentially as early as August next year. Annual caps for those undergoing long-term treatment will also be introduced; for the average income bracket of ¥3.7 million to ¥7.7 million, the yearly maximum is ¥530,000.
Fees paid to nursing care providers will increase by 2.03%, and those for disability welfare services by 1.84%. These changes represent a balanced effort to sustain the healthcare sector while maintaining access for citizens.