Conservatives block Trump’s big tax breaks and spending cuts bill in a stunning setback

WASHINGTON – In a massive setback, House Republicans failed Friday to push their big package of tax breaks and spending cuts through the Budget Committee, as a handful of conservatives joined all Democrats in a stunning vote against it.

The hard-right lawmakers are insisting on steeper spending cuts to Medicaid and the Biden-era green energy tax breaks, among other changes, before they will give their support to President Donald Trump’s “beautiful” bill. They warn the tax cuts alone would pile onto the nation’s $36 trillion debt.

The failed vote, 16-21, stalls, for now, House Speaker Mike Johnson’s push to have the package approved next week. But the holdout lawmakers vowed to stay all weekend to negotiate changes as the Republican president is returning to Washington from the Middle East.

“Something needs to change or you’re not going to get my support,” said Rep. Chip Roy, R-Texas.

Tallying a whopping 1,116 pages, the One Big Beautiful Bill Act, named with a nod to Trump, is teetering at a critical moment. Conservatives are holding out for steeper cuts to Medicaid and other programs to help offset the costs of the tax breaks. But at the same time, lawmakers from high-tax states including New York are demanding a deeper tax deduction, known as SALT, for their constituents.

Johnson has insisted Republicans are on track to pass the bill, which he believes will inject a dose of stability into a wavering economy.

Democrats slammed the package, but they will be powerless to stop it if Republicans ultimately unite. They emphasized that millions of people would lose their health coverage if the bill passes while the wealthiest Americans would reap enormous tax cuts. They also said it would increase future deficits.

“That is bad economics. It is unconscionable,” said Rep. Brendan Boyle, the top Democratic lawmaker on the panel.

The Budget panel is one of the final stops before the package is sent to the full House floor for a vote, which is expected as soon as next week. Typically, the job of the Budget Committee is more administrative as it compiles the work of 11 committees that drew up various parts of the big bill.

But Friday’s meeting proved momentous. Republicans hold a slim majority in the House and have just a few votes to spare to advance the measure, including on the Budget Committee.

Four Republican conservatives initially voted against the package — Roy and Reps. Ralph Norman of South Carolina, Josh Brecheen of Oklahoma, Rep. Andrew Clyde of Georgia. Then one, Rep. Lloyd Smucker of Pennsylvania switched his vote to no.

The conservative holdouts from the Freedom Caucus are insisting on deeper cuts — particularly to Medicaid. They want new work requirements for aid recipients to start immediately, rather than on Jan. 1, 2029, as the package proposes.