The prospect of a federal government shutdown grew stronger on Monday after US President Donald Trump’s White House talks with top congressional leaders ended without a deal.
Funding is set to expire at 12:01 am (local time) on Wednesday if no agreement is reached.
As per CNBC , Vice President JD Vance predicted the worst outcome, telling reporters, “I think we’re headed to a shutdown because the Democrats won’t do the right thing”.
Standing alongside House speaker Mike Johnson and Senate majority leader John Thune, Vance accused Democrats of blocking a “clean” continuing resolution to extend funding until late November.
Democrats pushed back, insisting they will not accept a stopgap bill that ignores healthcare protections. Senate minority leader Chuck Schumer said the parties have “very large differences” but added that Trump “for the first time … heard our objections and heard why we need a bipartisan bill”, as per NBC News .
House minority leader Hakeem Jeffries argued Republicans are trying to “gut the health care of everyday Americans.”
The stalemate centres on whether temporary funding legislation should also extend enhanced Affordable Care Act tax credits, set to expire at year’s end.
Democrats argue that without action, millions could face higher premiums when open enrolment begins on 1 November. Jeffries said, “We believe that simply accepting the Republican plan to continue to assault and gut healthcare is unacceptable”, according to news agency Reuters .
Republicans counter that Democrats are holding the government “hostage.” Thune said, “What the Democrats have done here is take the federal government as a hostage — and by extension, the American people — to try and get a whole laundry list of things”, as quoted by NBC News.
If no resolution is passed, federal agencies will begin furloughing staff, disrupting services from Nasa to national parks. Military personnel would also go unpaid during the closure, though all workers would be compensated once it ends, according to plans already shared by some agencies.
Budget standoffs have become a recurring feature in Washington, but Trump’s threat to use the shutdown to permanently slash parts of the federal workforce has added new uncertainty.
Only a few agencies have detailed their contingency plans, and Democrats say Trump’s willingness to override spending laws makes this fight riskier than previous standoffs.
With the Senate scheduled to vote again on the GOP’s short-term measure on Tuesday — a bill that has already failed once — the chances of a last-minute breakthrough remain slim.
Schumer said after Monday’s meeting that the gulf between the two sides remains wide, “There’s still large differences between us.”
Funding is set to expire at 12:01 am (local time) on Wednesday if no agreement is reached.
As per CNBC , Vice President JD Vance predicted the worst outcome, telling reporters, “I think we’re headed to a shutdown because the Democrats won’t do the right thing”.
Standing alongside House speaker Mike Johnson and Senate majority leader John Thune, Vance accused Democrats of blocking a “clean” continuing resolution to extend funding until late November.
Democrats pushed back, insisting they will not accept a stopgap bill that ignores healthcare protections. Senate minority leader Chuck Schumer said the parties have “very large differences” but added that Trump “for the first time … heard our objections and heard why we need a bipartisan bill”, as per NBC News .
House minority leader Hakeem Jeffries argued Republicans are trying to “gut the health care of everyday Americans.”
The stalemate centres on whether temporary funding legislation should also extend enhanced Affordable Care Act tax credits, set to expire at year’s end.
Democrats argue that without action, millions could face higher premiums when open enrolment begins on 1 November. Jeffries said, “We believe that simply accepting the Republican plan to continue to assault and gut healthcare is unacceptable”, according to news agency Reuters .
Republicans counter that Democrats are holding the government “hostage.” Thune said, “What the Democrats have done here is take the federal government as a hostage — and by extension, the American people — to try and get a whole laundry list of things”, as quoted by NBC News.
If no resolution is passed, federal agencies will begin furloughing staff, disrupting services from Nasa to national parks. Military personnel would also go unpaid during the closure, though all workers would be compensated once it ends, according to plans already shared by some agencies.
Budget standoffs have become a recurring feature in Washington, but Trump’s threat to use the shutdown to permanently slash parts of the federal workforce has added new uncertainty.
Only a few agencies have detailed their contingency plans, and Democrats say Trump’s willingness to override spending laws makes this fight riskier than previous standoffs.
With the Senate scheduled to vote again on the GOP’s short-term measure on Tuesday — a bill that has already failed once — the chances of a last-minute breakthrough remain slim.
Schumer said after Monday’s meeting that the gulf between the two sides remains wide, “There’s still large differences between us.”
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