This paper examines the effect of a tuition-free high school program launched in FY2010 in Japan on the high school enrollment rate and household spending. We have some interesting findings. First, the program contributed to improvement in the high school enrollment rate for poorer households. Second, the program stimulated household spending significantly for poorer households relative to richer households. Third, the program altered the composition of household expenditure significantly for richer households with a surge in spending shares in non-tuition education, clothing, and recreational goods.