“Why Get a Driver’s License?” One in Three Driving Schools in Japan Expected to Close

【Financial News, Tokyo—Correspondent Seo Hye-jin】A 23-year-old office worker living in Tokyo gave up trying to obtain a driver’s license. After the driving school near his home closed, he looked for one he could attend after work. However, another school was also set to close in March next year and was not accepting new students. He said, “In Tokyo, it’s not inconvenient to live without a car. I don’t think I need a license anymore.”
According to the Nihon Keizai Shimbun (Nikkei) on the 27th, driving school closures are continuing in Japan as fewer young people seek driver’s licenses. The decline in the population of people of licensing age due to low birth rates, along with the growing perception that people can live without cars in urban areas with convenient public transportation, is fueling the trend.
The number of driver’s license holders aged 24 or younger in Japan fell by 367,000, or 6.7%, from the end of 2021 to the end of 2025. During the same period, the number of ordinary first-class license holders aged 19 or younger declined by approximately 88,000, or 12.3%. For driving schools whose core students are young people, avoiding a decline in demand has become difficult.
Closures are occurring not only in Tokyo but also in regional areas. Suginami Driving School in Tokyo closed in 2023, and part of its site is slated to be converted into a paid nursing care facility for older adults. Katsumata Driving School in Chiba closed the same year, while Fujiidera Driving School in Osaka shut down in 2024. Two schools also closed in Aomori last year.
The population of people reaching the age when they can obtain a driver’s license is expected to decline further. Japan’s population of 18-year-olds is projected to fall from approximately 1.1 million in 2025 to approximately 980,000 in 2035.
Nikkei estimated that, taking population projections and industry restructuring into account, the annual number of graduates from ordinary driver’s license courses will decline from approximately 1.03 million in 2025 to approximately 680,000 in 2050. The number of driving schools is also expected to fall from 1,277 at the end of 2025 to approximately 840 in 2050. In effect, one out of every three schools will disappear.
As their student base changes, driving schools are also shifting their focus to attract older adults and foreign nationals.
More than 400 older adults visit SBS Driving School Anesaki in Chiba Prefecture each month for driver’s license renewal courses. The school has also prepared accommodations with cooking facilities and private showers for foreign students.
Two driving schools in Gunma Prefecture operate residential driver’s license courses, attracting students from the greater Tokyo area during school vacations and foreign nationals during the off-season.
However, a decline in the number of driving schools could create gaps in traffic safety education in regional areas. Nobuyuki Takahashi, a professor at Kokugakuin University, said, “For older drivers in areas with insufficient public transportation, it may be worth expanding reeducation during license renewals and considering public support for regional driving schools facing financial difficulties.”
[email protected] Seo Hye-jin Reporter