Additional subsidies for the Go To Travel campaign will be allocated to major booking site operators and other parties, Land, Infrastructure, Transport and Tourism Minister Kazuyoshi Akaba announced Tuesday.
The decision was prompted by travel agencies' moves to stop selling discounted products or lower the maximum discount available, due to insufficient subsidies. More funding will allow the agencies to maintain discounts of up to 14,000, yen or up to 35% of the original cost, per person per night.
"We will firmly stick to [the original discount rate]," Akaba said at a press conference after a Cabinet meeting on Tuesday. "We have caused trouble for the public. We will try to make the campaign work properly."
Additional allocations will be made from the existing budget. Travel agencies are expected to be able to resume sales at the initial discount rate by Wednesday morning.
A number of major travel booking sites had recently stopped selling discounted products or reduced the maximum discount under the Go To Travel campaign, as the subsidies allocated to them have been running out after trips to and from Tokyo were added to the campaign from October.
The booking site operated by NTT Docomo, Inc. temporarily stopped selling travel products at discounted prices after reaching its allocated budget cap.
Jalan.net, Yahoo's travel site and Ikyu.com lowered the maximum discount from 14,000, yen or 35% of the original cost, to 3,500 yen for reservations made on or after Saturday.
Rakuten Travel had kept the maximum discount amount, but allowed customers to use the service only once.
In contrast, agencies including JTB Corp. and Nippon Travel Agency Co. have maintained the maximum discount amount at 14,000 yen without limiting the number of times people can use the service.
According to the Japan Tourism Agency, the Go To Travel campaign permits travel companies to change the discount amount. However, it is confusing for customers when discounts vary among companies.
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