Key points
- Funding deadline looms Tuesday midnight
- $1.7 trillion spending plan unresolved
- 24 million Americans face rising premiums
WASHINGTON: US President Donald Trump and Democratic leaders made little headway during a White House meeting intended to prevent a government shutdown, which could disrupt many public services from Wednesday.
After a meeting with congressional leaders at the White House Monday afternoon ended without a deal to fund the government, Vice President JD Vance warned, “I think we’re headed to a shutdown because Democrats won’t do the right thing.” https://t.co/9S7p3bAGxv pic.twitter.com/KQN5Coe6XQ
— ABC News Politics (@ABCPolitics) September 29, 2025
Both parties left the talks blaming each other if funding isn’t extended past Tuesday midnight. “I think we’re headed to a shutdown,” said Vice President JD Vance, reports Reuters.
Democrats insist any funding extension must also maintain expiring health benefits. Republicans, however, want health care and funding handled separately. Senate Democratic Leader Chuck Schumer said, “We have very large differences.”
Without action, thousands of federal employees—across NASA, national parks, and more—may face furloughs. Services could be halted, courts closed, and small business grants delayed.
Shutdown threats have become common in recent years, but Trump’s disregard for Congressional spending laws has heightened uncertainty. He has withheld funds previously approved and threatens more federal job cuts if a shutdown occurs. Few agencies have released plans for operating under a shutdown.
Discretionary spending
On Monday night, the White House extended over 20 advisory committees until 2027 via executive order. Their funding during a shutdown remains unclear.
At the heart of the standoff is $1.7 trillion in discretionary spending—roughly one-quarter of the total $7 trillion federal budget. The rest largely covers health, pensions, and interest on the $37.5 trillion national debt.
Democrats proposed a 7–10 day funding extension to allow for longer negotiations, shorter than the Republican-backed 21 November timeline. Schumer rejected the shorter bill after returning to the Capitol.
Republicans aim to pressure Democrats with a fresh Senate vote on their previously rejected bill.
This shutdown dispute centres on health care. If tax breaks are not extended, 24 million Americans could face higher premiums. “Accepting the Republican plan to continue to assault and gut health care is unacceptable,” said House Democratic Leader Hakeem Jeffries.
