Trump-backed GOP bill would add $2.4 trillion to United States debt
A GOP bill backed by Donald Trump would add $2.4 trillion to the U.S. debt and leave 10.9 million more uninsured by 2034.
A Republican-led bill driven by Donald Trump's policy initiatives would boost United States national debt by $2.4 trillion over a ten-year period, based on a CBO report. The estimate contradicts GOP assertions that the bill is "fiscally neutral."
The legislation would also cause a sharp decline in health coverage, raising the number of uninsured Americans by 10.9 million by 2034, mainly as a result of cuts to Medicaid and the Affordable Care Act.
Fiscal impact: Revenue loss and rising deficit
Per the CBO and Joint Committee on Taxation report, the bill would decrease federal revenue by $3.7 trillion, spending will decrease by $1.3 trillion, for a net $2.4 trillion increase in the deficit.
Recent modifications to the bill such as SALT deductions and earlier work requirements for Medicaid caused the incorporation of higher debt within the projections.
ALSO SEE: Trump threatens tariffs on Apple and Mattel amid disputes over production and executive decisions
Health coverage decline and political reaction
The estimated loss of healthcare coverage would primarily affect low-income Americans. Cuts to Medicaid and ACA subsidies are the logical explanation for the anticipated increase in uninsured Americans.
Public outcry followed the report's release, as well as scathing condemnation from Elon Musk. The Senate is planning to look at the bill before a potential July 4 vote, but it is too early to know the final result.
