{"id":38330,"date":"2025-10-01T07:46:24","date_gmt":"2025-10-01T07:46:24","guid":{"rendered":"https:\/\/news.godj.com\/news\/why-the-us-government-has-shut-down-and-what-happens-now\/"},"modified":"2025-10-01T07:46:24","modified_gmt":"2025-10-01T07:46:24","slug":"why-the-us-government-has-shut-down-and-what-happens-now","status":"publish","type":"post","link":"https:\/\/news.godj.com\/news\/why-the-us-government-has-shut-down-and-what-happens-now\/","title":{"rendered":"Why the US government has shut down and what happens now"},"content":{"rendered":"<p> <br \/>\n<\/p>\n<div xmlns:default=\"http:\/\/www.w3.org\/2000\/svg\" id=\"\">\n<div xmlns:default=\"http:\/\/www.w3.org\/2000\/svg\" data-component=\"byline-block\" class=\"sc-3b6b161a-0 jdlrvG\">\n<div data-testid=\"byline-new\" class=\"sc-c4820dd1-0 cYDsPh\"><span data-testid=\"byline-new-contributors\" class=\"sc-c4820dd1-11 bxdaHR\"><\/p>\n<p><span class=\"sc-c4820dd1-7 dbQBRo\">Anthony Zurcher<\/span><span data-testid=\"undefined-role-location\" class=\"sc-c4820dd1-8 evcqcz\">North America correspondent<\/span><span class=\"sc-c4820dd1-9 iEEPlu\"> and<\/span><\/p>\n<p><span class=\"sc-c4820dd1-7 dbQBRo\">James FitzGerald<\/span><span data-testid=\"undefined-role-location\" class=\"sc-c4820dd1-8 evcqcz\"\/><\/p>\n<p><\/span><\/div>\n<\/div>\n<p><figcaption class=\"sc-536eff7b-0 jFVvLh\">Watch: What could happen during the US government shutdown?<\/figcaption><\/p>\n<div data-component=\"text-block\" class=\"sc-3b6b161a-0 jdlrvG\">\n<p class=\"sc-9a00e533-0 bJoRPJ\">Funding for the US government has been cut off after President Donald Trump&#8217;s Republican Party failed to agree with opposition Democrats on a way forward on a spending bill.<\/p>\n<p class=\"sc-9a00e533-0 bJoRPJ\">The news means that some &#8211; but not all &#8211;  US government services will come to a temporary halt.<\/p>\n<p class=\"sc-9a00e533-0 bJoRPJ\">Although budget confrontations are common in US politics, this spending fight is especially tense because Trump has spent the last nine months drastically cutting the size of the national government.<\/p>\n<\/div>\n<p><h2 class=\"sc-f98b1ad2-0 fsBZby\">Why has the US government shut down?<\/h2>\n<\/p>\n<div data-component=\"text-block\" class=\"sc-3b6b161a-0 jdlrvG\">\n<p class=\"sc-9a00e533-0 bJoRPJ\">This situation results from the inability of the two parties to come together and pass a bill funding government services into October and beyond.<\/p>\n<p class=\"sc-9a00e533-0 bJoRPJ\">The Republicans control both chambers of Congress, but in the Senate &#8211; or upper chamber &#8211; they are short of the 60 votes they need to pass a spending bill.<\/p>\n<p class=\"sc-9a00e533-0 bJoRPJ\">Democrats, therefore, have some leverage in this case. They refuse to back a bill introduced by Republicans that they say will make it harder for Americans to afford healthcare, and have made this standoff primarily about advancing their healthcare policy goals. <\/p>\n<p class=\"sc-9a00e533-0 bJoRPJ\">They are calling for an extension of tax credits that make health insurance cheaper for millions of Americans &#8211; which are set to expire &#8211; and for a reversal of cuts to Medicaid that have been made by Trump. They also oppose spending cuts to the Centers for Disease Control (CDC) and National Institutes of Health (NIH).<\/p>\n<p class=\"sc-9a00e533-0 bJoRPJ\">A stopgap bill was earlier passed in the House, or lower chamber, but is yet to clear the Senate.<\/p>\n<\/div>\n<p><h2 class=\"sc-f98b1ad2-0 fsBZby\">When did the shutdown happen?<\/h2>\n<\/p>\n<div data-component=\"text-block\" class=\"sc-3b6b161a-0 jdlrvG\">\n<p class=\"sc-9a00e533-0 bJoRPJ\">At 00:01 EDT on Wednesday (05:01 BST), it became official: the US would have its first shutdown for nearly seven years. <\/p>\n<p class=\"sc-9a00e533-0 bJoRPJ\">The last time the government shuttered was at the end of 2018, during Trump&#8217;s first term. Both sides made last-ditch efforts to avoid a repeat this time.<\/p>\n<p class=\"sc-9a00e533-0 bJoRPJ\">On Monday, Trump met all four congressional leaders &#8211; the top Democrats in the House and Senate as well as their Republican counterparts. But there was little progress, and both sides appear to have dug deeper into their positions.<\/p>\n<p class=\"sc-9a00e533-0 bJoRPJ\">On the Republican side, Trump administration officials have been unwilling, so far, to offer any substantive concessions. <\/p>\n<p class=\"sc-9a00e533-0 bJoRPJ\">They appear to believe Democrats, as the side making demands in exchange for keeping the government open, will bear the brunt of the public&#8217;s blame \u2013 as they have in some past shutdowns.<\/p>\n<p class=\"sc-9a00e533-0 bJoRPJ\">Democrats, meanwhile, believe their push for preserving health-insurance subsidies is a popular one. <\/p>\n<p class=\"sc-9a00e533-0 bJoRPJ\">What is more, their congressional leaders provoked the ire of left-wing activists for backing down during the last budget bout in March. Many Democrats are itching for a bigger fight this time around \u2013 and funding the government is one of the only places where their party has some leverage.<\/p>\n<\/div>\n<p><h2 class=\"sc-f98b1ad2-0 fsBZby\">What&#8217;s different about the White House response this time?<\/h2>\n<\/p>\n<div data-component=\"text-block\" class=\"sc-3b6b161a-0 jdlrvG\">\n<p class=\"sc-9a00e533-0 bJoRPJ\">What stands out about this current standoff is the position of Trump&#8217;s team.<\/p>\n<p class=\"sc-9a00e533-0 bJoRPJ\">In the past, long shutdowns were usually seen as politically dangerous, hampering both voters&#8217; everyday lives and the images of lawmakers and the president.<\/p>\n<p class=\"sc-9a00e533-0 bJoRPJ\">But this time around, the Trump administration appears more than happy to shutter large parts of the US government for an extended period. In fact, officials have threatened to use a shutdown to identify &#8220;non-essential&#8221; workers who could then be permanently let go.<\/p>\n<p class=\"sc-9a00e533-0 bJoRPJ\">Also, after previous shutdowns, government operations mostly returned to normal, with staff and spending levels largely going back to prior levels once the standoff is resolved.<\/p>\n<p class=\"sc-9a00e533-0 bJoRPJ\">Over the past nine months, however, the Trump administration has slashed spending and pushed workers out of their jobs, testing the boundaries of presidential power. A shutdown could allow the administration to accelerate its massive reductions.<\/p>\n<\/div>\n<p><h2 class=\"sc-f98b1ad2-0 fsBZby\">What impacts will the shutdown have &#8211; including on national parks and social security?<\/h2>\n<\/p>\n<div data-component=\"text-block\" class=\"sc-3b6b161a-0 jdlrvG\">\n<p class=\"sc-9a00e533-0 bJoRPJ\">Not all of government will shut down.<\/p>\n<p class=\"sc-9a00e533-0 bJoRPJ\">Border protection, in-hospital medical care, law enforcement and air-traffic control are expected to continue to operate during the stoppage.<\/p>\n<p class=\"sc-9a00e533-0 bJoRPJ\">While social security and Medicare cheques would still be sent out, benefit verification and card issuance could stop.<\/p>\n<p class=\"sc-9a00e533-0 bJoRPJ\">Generally, in a shutdown, essential workers continue as normal &#8211; some of them without pay for the time being &#8211; but government employees deemed non-essential are temporarily put on unpaid leave.  In the past, these workers have then been paid retrospectively.<\/p>\n<p class=\"sc-9a00e533-0 bJoRPJ\">That means that services like the food assistance programme, federally-funded pre-school, the issuing of student loans, food inspections, and operations at national parks are expected to be curtailed or closed.<\/p>\n<p class=\"sc-9a00e533-0 bJoRPJ\">There could also be travel delays if the stand-off drags on and unpaid workers stop showing up.<\/p>\n<p class=\"sc-9a00e533-0 bJoRPJ\">Overall, analysts expect that this shutdown could be bigger than the one in late 2018, when Congress had passed some funding bills. They expect roughly 40% of federal workers &#8211; more than 800,000 people &#8211; to be put on temporary leave. <\/p>\n<\/div>\n<p><h2 class=\"sc-f98b1ad2-0 fsBZby\">How could this shutdown affect the economy?<\/h2>\n<\/p>\n<div data-component=\"text-block\" class=\"sc-3b6b161a-0 jdlrvG\">\n<p class=\"sc-9a00e533-0 bJoRPJ\">The scale of the damage will depend in part on how long the shutdown lasts &#8211; and how wide ranging it is. <\/p>\n<p class=\"sc-9a00e533-0 bJoRPJ\">In the past, disruption has tended to be temporary, with any lost activity mostly made up in the months after the shutdown ends. <\/p>\n<p class=\"sc-9a00e533-0 bJoRPJ\">Analysts estimate a shutdown this time could shave roughly 0.1 to 0.2 percentage points off economic growth for each week that it lasts &#8211; though much of that could be recouped.<\/p>\n<p class=\"sc-9a00e533-0 bJoRPJ\">That relatively muted impact may be why the stock market seems to be shrugging off this latest threat. <\/p>\n<p class=\"sc-9a00e533-0 bJoRPJ\">But, again, there are some ways that this shutdown could look different. <\/p>\n<p class=\"sc-9a00e533-0 bJoRPJ\">For one thing, Trump has threatened to fire &#8211; not just furlough &#8211; some workers, which would make the impact more long lasting.<\/p>\n<p class=\"sc-9a00e533-0 bJoRPJ\">The fight is also injecting more turmoil into an economy already being roiled by changes like tariffs and artificial intelligence, with the likely delay of key data &#8211; such as the official US monthly jobs report &#8211; expected to add to the uncertainty.  <\/p>\n<\/div>\n<p><h2 class=\"sc-f98b1ad2-0 fsBZby\">How common are shutdowns in the US?<\/h2>\n<\/p>\n<div data-component=\"text-block\" class=\"sc-3b6b161a-0 jdlrvG\">\n<p class=\"sc-9a00e533-0 bJoRPJ\">Quite common over the last 50 years. <\/p>\n<p class=\"sc-9a00e533-0 bJoRPJ\">There were three during Trump&#8217;s first term, including the longest in history at 36 days, which ended in January 2019. That one was brought about by disagreements over funding a wall on the Mexico border.<\/p>\n<p class=\"sc-9a00e533-0 bJoRPJ\">The Congressional Budget Office (CBO) <a target=\"_self\" href=\"https:\/\/www.bbc.co.uk\/news\/articles\/c3rqjd37levo\" class=\"sc-f9178328-0 jZoZnB\">estimated that it reduced economic output<\/a> by about $11bn, including $3bn that it never regained.<\/p>\n<p class=\"sc-9a00e533-0 bJoRPJ\">Fellow Republican Ronald Reagan oversaw eight shutdowns during his presidency in the 1980s &#8211; though all were relatively brief.<\/p>\n<\/div>\n<div data-component=\"text-block\" class=\"sc-3b6b161a-0 jdlrvG\">\n<p class=\"sc-9a00e533-0 bJoRPJ\">Shutdowns over budgets are almost unique to US politics.<\/p>\n<p class=\"sc-9a00e533-0 bJoRPJ\">Under the US system, the different branches of government have to reach an agreement on spending plans before they can become law.<\/p>\n<p class=\"sc-9a00e533-0 bJoRPJ\">In most countries, budget votes become votes of confidence in the government itself. But because the US has equal and often divided branches of government, that is not the case.<\/p>\n<\/div>\n<\/div>\n<p><br \/>\n<br \/><a href=\"https:\/\/www.bbc.com\/news\/articles\/crrj1znp0pyo?at_medium=RSS&#038;at_campaign=rss\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Anthony ZurcherNorth America correspondent and James FitzGerald Watch: What could happen during the US government shutdown? Funding for the US government has been cut off after President Donald Trump&#8217;s Republican Party failed to agree with opposition Democrats on a way forward on a spending bill. The news means that some &#8211; but not all &#8211; [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":38331,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[45],"tags":[],"class_list":["post-38330","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-us-canada"],"_links":{"self":[{"href":"https:\/\/news.godj.com\/news\/wp-json\/wp\/v2\/posts\/38330","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/news.godj.com\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/news.godj.com\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/news.godj.com\/news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/news.godj.com\/news\/wp-json\/wp\/v2\/comments?post=38330"}],"version-history":[{"count":1,"href":"https:\/\/news.godj.com\/news\/wp-json\/wp\/v2\/posts\/38330\/revisions"}],"predecessor-version":[{"id":38332,"href":"https:\/\/news.godj.com\/news\/wp-json\/wp\/v2\/posts\/38330\/revisions\/38332"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/news.godj.com\/news\/wp-json\/wp\/v2\/media\/38331"}],"wp:attachment":[{"href":"https:\/\/news.godj.com\/news\/wp-json\/wp\/v2\/media?parent=38330"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/news.godj.com\/news\/wp-json\/wp\/v2\/categories?post=38330"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/news.godj.com\/news\/wp-json\/wp\/v2\/tags?post=38330"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}