More stories

  • in

    Trump and Musk’s feud blows up again with threats of Doge and deportation

    Donald Trump and Elon Musk’s feud reignited this week with the former political allies trading sharp public threats of retribution. The blowup, centered around Musk’s opposition to Trump’s signature tax bill as it moves through Congress, ends a period of rapprochement between two of the world’s most powerful men.Musk posted escalating attacks against Trump’s sweeping spending bill on his social media platform X, calling the legislation “insane” and vowing to form a new political party if it passed late Monday. In response, Trump claimed he could “look into” deporting the South Africa-born billionaire, while also suggesting he could cut government subsidies for Musk’s companies or set the so-called “department of government efficiency” (Doge) on its former leader.“Doge is the monster that might have to go back and eat Elon. Wouldn’t that be terrible?” Trump asked reporters on Tuesday.Musk’s attempt to derail the tax bill was a major factor in his falling out with the president last month, and the Tesla CEO’s renewed offensive comes at a sensitive time as Trump seeks to shepherd the legislation through Congress. The fight could test Musk’s political influence over the Republican party as he seeks to peel away votes for the bill, as well as further deteriorate his once-close relationship with Trump.Musk has repeatedly criticized the legislation Trump calls his “big, beautiful bill” for its potential to nullify the cuts to the federal government he made through Doge and for the likelihood it will add trillions to the national debt, which he has warned will “bankrupt America” and imperil his dream of reaching Mars. Musk, a top Republican megadonor, intensified his campaign in recent days with threats that he would form his own “America Party” and target lawmakers in upcoming elections who voted for the bill in 2026 primary elections.“Every member of Congress who campaigned on reducing government spending and then immediately voted for the biggest debt increase in history should hang their head in shame!” Musk posted. “They will lose their primary next year if it is the last thing I do on this Earth.”Trump has rejected Musk’s criticisms of the bill, alleging that his opposition is because the bill would end a tax credit for consumers purchasing electric vehicles.“Elon’s very upset that the EV mandate is gonna be terminated,” Trump said on Tuesday. “Not everybody wants an electric car. I don’t want an electric car.”When a reporter asked if Trump is considering deporting Musk, he responded that he didn’t know but would “take a look”. Musk replied to a video of the statement on X, saying: “So tempting to escalate this. So, so tempting. But I will refrain for now.” Trump bought a Tesla in March.skip past newsletter promotionafter newsletter promotionTrump’s remarks were a stark turnaround from only months ago when he hosted a showcase for Tesla on the White House lawn in front of media, during which he encouraged his supporters to buy Musk’s cars and sat in the driver’s seat of a red Model S sedan. In contrast, Trump threatened this week that he could destroy Musk’s businesses.“Elon may get more subsidy than any human being in history, by far, and without subsidies, Elon would probably have to close up shop and head back home to South Africa,” Trump posted on his Truth Social platform on Monday. “No more Rocket launches, Satellites, or Electric Car Production, and our Country would save a FORTUNE.”Musk’s companies, especially SpaceX, are closely intertwined with US government agencies and have received billions of dollars in contracts from them. The government has meanwhile come to rely on SpaceX for key parts of its space travel and satellite communications programs, and the company is being considered for a role in building a new multibillion dollar missile defense program. The symbiotic relationship between Musk and the government has made any political tensions sensitive for his businesses, and Tesla’s share price declined on Monday and Tuesday as the feud continued. More

  • in

    Senate Republicans pass Trump’s sweeping policy bill, clearing major hurdle

    Senate Republicans on Tuesday passed a major tax and spending bill demanded by Donald Trump, ending weeks of negotiations over the comprehensive legislation and putting it another step closer to enactment.But it remains unclear whether changes made by the chamber will be accepted by the House of Representatives, which approved an initial draft of the legislation last month by a single vote. While Republicans control both houses of Congress, factionalism in the lower chamber is particularly intense, with rightwing fiscal hardliners demanding deep spending cuts, moderates wary of dismantling safety-net programs and Republicans from Democratic-led states expected to make a stand on a contentious tax provision. Any one of these groups could potentially derail the bill’s passage through a chamber where the GOP can lose no more than three votes.The bill’s passage is nonetheless an accomplishment for Senate Republicans who faced their own divisions in getting it passed, and saw one lawmaker announce his retirement after clashing with Trump over the bill. The push to get the legislation done intensified on Saturday when the chamber voted to begin debate, then continued with amendment votes that began on Monday and stretched all night.The vote for passage came just after noon on Tuesday, and required the vice-president, JD Vance, to break a tie that resulted after three Republicans joined with all Democrats in voting against it.In a joint statement, the speaker, Mike Johnson, and the House Republican leadership said: “Republicans were elected to do exactly what this bill achieves: secure the border, make tax cuts permanent, unleash American energy dominance, restore peace through strength, cut wasteful spending, and return to a government that puts Americans first. This bill is President Trump’s agenda, and we are making it law.”The Senate majority leader, John Thune, said Republican senators and staff began laying the groundwork for this budget bill more than a year ago, planning how they would extend tax breaks if they had the votes. He said: “Since we took office in January, Republicans have been laser-focused on achieving the bill before us today. And now we’re here, passing legislation that will permanently extend tax relief for hard-working Americans.”The lower chamber will take up the measure on Wednesday, before a deadline Trump has imposed to have it on his desk by Friday, the Independence Day holiday. But the president has recently made comments indicating the bill could arrive later, saying at a press conference on Friday “we can go longer”, before writing on Truth Social that “the House of Representatives must be ready to send it to my desk before July 4th”.Trump has described the bill as crucial to his presidency, and congressional Republicans made it their top priority. It will extend tax cuts enacted during the president’s first term in 2017, and includes new provisions to cut taxes on tips, overtime and interest payments for some car loans. It funds Trump’s plans for mass deportations by allocating $45bn for Immigration and Customs Enforcement detention facilities, $14bn for deportation operations and billions of dollars more to hire an additional 10,000 new agents by 2029. It also includes more than $50bn for the construction of new border fortifications, which will probably include a wall along the border with Mexico.To satisfy demands from fiscal conservatives for cuts to the US’s large federal budget deficit, the bill imposes new work requirements on enrollees of Medicaid, which provides healthcare to low-income and disabled Americans. It also imposes a limit on the provider tax states use to fund their program, which could lead to reductions in services. Finally, it sunsets some incentives for green-energy technologies created by Congress under Joe Biden.Nonetheless, the bill would add $3.3tn to the US budget deficit through 2034, according to the non-partisan Congressional Budget Office.The Committee for a Responsible Federal Budget, a non-profit focused on fiscal responsibility, called the bill “a failure of responsible governing” because it will add to the federal debt and includes budget gimmicks that disguise how much debt it is adding. The group estimated it would add more than $4tn to the national debt through 2034, and said that if some “arbitrary expirations” were made permanent, they would add $5.4tn.“The Senate reconciliation bill fails almost every test of fiscal responsibility,” said Maya MacGuineas, the group’s president. “Instead of worrying about arbitrary deadlines or sparing the Senate another vote-a-rama, fiscal conservatives should stand up for what’s right and reject the Senate plan to explode our debt.”While it was formally titled the one big beautiful bill act, the Senate’s Democratic minority leader, Chuck Schumer, managed to get the name stricken minutes before the vote for passage, though that is not expected to change how many lawmakers refer to it. Because it was passed using the budget reconciliation procedure that requires legislation only affect spending, revenue and the debt limit, Democrats were unable to use the filibuster to block its passage in the Senate.Schumer called the bill a “big, ugly betrayal”, pointing to the millions who will lose health insurance, job losses and debt increase done in favor of tax breaks for the wealthy and corporate special interests. He also decried the process Republicans used to pass the bill, saying they pushed the rules and norms of the chamber in a way that did “grave damage” to the body.“Today’s vote will haunt our Republican colleagues for years to come as the American people see the damage that is done – as hospitals close, as people are laid off, as costs go up, as the debt increases. They will see what our colleagues have done and they will remember it, and we Democrats will make sure they remember it,” Schumer said.In the lead-up to the bill’s passage, several moderate Republicans signaled unease with its cuts to the social safety net, including North Carolina’s Thom Tillis. After saying on Saturday he would not vote for the bill, Trump publicly attacked him, and the senator announced he would not run for re-election next year, potentially improving Democrats’ chances of picking up the purple state’s seat.“It is inescapable this bill will betray the promise Donald Trump made,” Tillis said on Sunday. Pointing to a forecast that the bill would cost 663,000 North Carolinians their Medicaid coverage, Tillis said: “What do I tell 663,000 people in two years or three years, when President Trump breaks his promise by pushing them off of Medicaid because the funding’s not there any more, guys?”In addition to Tillis, Rand Paul of Kentucky voted against passage, criticizing the bill’s impact on the budget deficit and national debt. Susan Collins, who is expected to face a fierce re-election challenge next year from Democrats for her seat in Maine, also opposed it, saying the measure would “threaten not only Mainers’ access to healthcare, but also the very existence of several of our state’s rural hospitals”.The Alaska moderate Lisa Murkowski expressed similar concerns about its effect on Medicaid, but ended up voting for passage.Now that the legislation is back in the House, Johnson faces a difficult task in getting the Senate’s changes cleared by his conference’s competing factions.Moderates remain concerned about the safety-net cuts, while rightwing Republicans have railed against the bill’s expensive price tag. Last week, David Valadao, a Republican representative whose central California district has one of the highest Medicaid enrollment rates in the nation, said he would not support the measure over its funding changes to the program.On Monday, before the bill’s passage, the Democratic National Committee announced the launch of an organizing campaign to capitalize on the unpopularity of the budget plan’s provisions. Ken Martin, the chair of the DNC, shared in a press briefing that when he was growing up, his family relied on the kinds of safety-net programs that are being cut.Martin said in a statement on Tuesday that the bill helps billionaires at the expense of American families – the sort of messaging the party will rely on as it hits the road to turn out voters for the midterms and special elections.“It’s a massive scheme to steal from working folks, struggling families and, hell, even from nursing homes – all to enrich the already rich with a tax giveaway,” Martin said. “Billionaires don’t need more help – working families do. Democrats will stand shoulder to shoulder with working families to kick these Republicans out of their seats in 2026.”The rightwing House Freedom caucus has also criticized the bill for its price tag. “The Senate must make major changes and should at least be in the ballpark of compliance with the agreed upon House budget framework. Republicans must do better,” they wrote on Monday, as amendments were being considered.In a Tuesday press conference, the House minority leader, Hakeem Jeffries, said the bill represents the “largest cut to Medicaid in American history”. He expects his caucus will uniformly oppose the bill and will be making the case to vote it down in the rules committee and on the House floor.When asked whether House Democrats would use any procedural moves to delay passage of the bill, Jeffries said: “All procedural and legislative options are on the table.” More

  • in

    What’s in Trump’s major tax bill? Extended cuts, deportations and more

    Senate Republicans on Tuesday passed Donald Trump’s massive tax and spending bill after spending all night voting on amendments. The bill, which the GOP has dubbed the One Big Beautiful Bill Act, now returns to the House of Representatives, which passed their version last month, before a Friday deadline the president has imposed for the legislation to be on his desk.Here’s what’s in the Senate’s version of the bill:Extending big tax cutsAfter taking office in 2017, Trump signed the Tax Cuts and Jobs Act, which lowered taxes and increased the standard deduction for all taxpayers, but generally benefited high earners more than most. Those provisions are set to expire after this year, but the “big, beautiful bill” makes them permanent, while increasing the standard deduction by $1,000 for individuals, $1,500 for heads of households and $2,000 for married couples, albeit only through 2028.Cutting tax on tips or overtimeThe bill has an array of new tax write-offs – but only while Trump is president. Several of the new exemptions stem from promises Trump made while campaigning last year. Taxpayers will be able to write off income from tips and overtime, and interest made on loans to purchase cars assembled in the United States. People aged 65 and over are eligible for an additional deduction of $6,000, provided their adjusted gross income does not exceed $75,000 for single filers or $150,000 for couples. But all of these incentives expire at the end of 2028, right before Trump’s term as president ends.Money for mass deportations and a border wallAs part of Trump’s plan to remove undocumented immigrants from the country, Immigration and Customs Enforcement (Ice) will receive $45bn for detention facilities, $14bn for deportation operations and billions of dollars more to hire an additional 10,000 new agents by 2029. More than $50bn is allocated for the construction of new border fortifications, which will probably include a wall along the border with Mexico.Slashing Medicaid and food stampsRepublicans have attempted to cut down on the bill’s cost by slashing two major federal safety-net programs: Medicaid, which provides healthcare to poor and disabled Americans, and the Supplemental Nutrition Assistance Program (Snap), which helps people afford groceries. Both are in for funding cuts, as well as new work requirements. The left-leaning Center on Budget and Policy Priorities estimates the Medicaid changes could cost as many as 10.6 million people their healthcare, and about eight million people, or one in five recipients, their Snap benefits.Cuts to green energyThe bill will phase out many tax incentives created by Congress during Joe Biden’s presidency meant to encourage consumers and businesses to use electric vehicles and other clean-energy technology. Credits for cleaner cars will end this year, as will subsidies for Americans seeking to upgrade their homes to cleaner or more energy-efficient appliances. While a draft of the bill targeted wind- and solar-energy projects with a new excise tax, senators voted to remove that at the last minute.State and local tax relief (Salt)One of the thorniest issues the bill addresses is how much relief to provide from state and local taxes (Salt), which many Americans must also pay in addition to their federal tax. Several House Republicans representing districts in Democratic-led states withheld their support from the bill until the Salt deductibility cap was raised from $10,000 to $40,000, but Senate Republicans made clear they would change that. The Senate’s version keeps the $40,000 cap, but only through 2028.Raising the debt ceilingThe bill will increase the US government’s authority to borrow, known as the debt limit, by $5tn. The US treasury secretary, Scott Bessent, has predicted the government will hit the limit by August, at which point it could default on its debt and spark a financial crisis.More benefits for the rich than the poorWealthier taxpayers appear set to receive more benefits from this bill than poorer ones, according to the Budget Lab at Yale University. Taxpayers in the lowest-income quintile will see a 2.5% decrease in their incomes, largely due to the Snap and Medicaid cuts, while the highest earners will see their incomes grow by 2.4%, the Budget Lab estimated. The impact could change based on which amendments the Senate adopts.A huge price tagDespite the GOP’s attempts to use the bill as a vehicle to rein in government spending, the bill would increase the deficit by $3.3tn through 2034, according to the non-partisan Congressional Budget Office. Most of that price tag is the extension of the 2017 tax cuts. The heavy budgetary impact could complicate the bill’s chances of passing the House, where fiscal hardliners have demanded budget-deficit reductions. More

  • in

    I can’t believe I need to spell this out – but Trump is not your daddy | Arwa Mahdawi

    Is your name Barron, Donald Jr, Eric, Ivanka or Tiffany Trump? No? Then I regret to inform you that President Donald John Trump is almost certainly not your daddy. I say “almost certainly” because narcissistic billionaires do have a nasty habit of spawning willy-nilly. Just look at Elon Musk and Pavel Durov – the latter is the Telegram founder, who has more than 100 children in 12 countries via sperm donation.Still, unless you are a very high-IQ individual, with an orange glow, an insatiable appetite for money-making schemes, and a weird belief that you invented the word “caravan”, I think it’s safe to say that you’re probably not Trump’s offspring.Why am I taking great pains to spell this out? Because a disturbing condition called Trump daddy derangement syndrome (TDDS) is sweeping the world – the main symptom of which is an irresistible urge to call the president of the United States “Daddy”.Former Fox News host Tucker Carlson bears some blame for the spread of this ailment. While speaking at a Trump rally last October, Carlson delivered an unusual speech in which he compared the US under Trump to a patriarch giving his naughty teenage daughter a “vigorous spanking”. Rather than immediately losing the contents of their stomach because of this imagery, the Maga-loving crowd lapped it up. When Trump came on stage later they yelled “Daddy’s home!” and “Daddy Don!” Which, of course, plays right into Trump’s self-mythologising as a hypermasculine strongman who will be a protector of women “whether they like it or not”.While TDDS remained fairly dormant for a few months after that, it seems we are suffering a new outbreak. Last week, Nato secretary general Mark Rutte addressed Trump’s comments about Israel and Iran not knowing “what the fuck they’re doing” by helpfully explaining that: “Sometimes Daddy needs to use strong language.”And sometimes a Nato chief needs to watch their language. After his comments caused a social media storm, Rutte rapidly back-pedalled. “The daddy thing, I didn’t call him ‘Daddy,’” Rutte told reporters later that day, despite being on the record saying just that. “Sometimes, in Europe, I hear … countries saying: ‘Hey, Mark, will the US stay with us?’ And I said that sounds a little bit like a small child asking his daddy: ‘Hey, are you still staying with the family?’ So in that sense, I used ‘daddy’ – not that I was calling President Trump Daddy.”Nice try, Mark, but I’m not sure that makes things better. Rutte, a Dutchman, is basically calling Europe a helpless child who needs Trump’s approval.Whatever Rutte meant, Trump and his followers seem to have taken “daddy” as a compliment. Last week Jonathan Lindsey, a Republican lawmaker, told fellow Michigan senate members that a lot of Americans see Trump as a father figure and more people should start referring to him as “Daddy”. Gay Democratic Michigan senator Jeremy Moss then replied: “You don’t want to know what daddy means in my community.” Just to spell it out, “daddy” has been gay slang for an older man, often monied, who is sexually involved with a younger man for almost as long as Trump has been alive.Meanwhile, Trump spoke approvingly of Rutte’s comments, saying: “I think he likes me.” He added: “If he doesn’t, I’ll let you know. I’ll come back and I’ll hit him hard, OK? He did it very affectionately. Daddy, you’re my daddy.” Trump’s fundraising operation is also flogging T-shirts with his mugshot and the word “DADDY” on them for just $35. Sigmund Freud, sadly, could not be reached for comment on all this. But if he were available, I think even he might have said: “Mummy, please make this stop.” More

  • in

    Senate holds marathon ‘vote-a-rama’ on Donald Trump’s ‘big, beautiful bill’ – US politics live

    Good morning and welcome to our live coverage of US politics and the second Trump administration.The US Senate is holding a marathon vote on a sprawling budget that is vital to Donald Trump’s agenda and would see sweeping tax breaks and cuts to healthcare and food programmes if passed.Senators have convened at the Capitol for a process known as “vote-a-rama”, in which lawmakers will propose amendments to the legislation over what is expected to be many hours.Democrats say the bill’s tax cuts would disproportionately benefit the wealthy at the expense of social programs for lower-income Americans.The One Big Beautiful Bill Act (yes, it is formally called this) is expected to add an estimated $3.3tn to the national debt over the next decade. Republicans are rushing to pass the bill Trump’s self-imposed deadline of 4 July.Republicans – who control both chambers of Congress and are generally loyal to Trump – are heavily divided over how deep welfare cuts should be in order to extend tax breaks in the legislation.It is about 2.30am in Washington and it has been over 16 hours since voting began. We are expecting a result in around two and a half/ three hours time. Stay with us for all the latest developments.In other news:

    Tech billionaire Elon Musk, who spent more than a quarter of a billion dollars in support of Trump’s candidacy, has pledged to found a new political party he called the “America Party” and support candidates who did not back the budget bill in future elections.

    The Senate parliamentarian found that Republicans can include a provision that would block Medicaid funding from Planned Parenthood in the “big, beautiful bill”.

    Trump signed an executive order overturning sanctions on Syria today and issued a memorandum on US policy toward Cuba.

    The Trump administration sued the city of Los Angeles over policies limiting city cooperation with federal immigration authorities, continuing a confrontation over Donald Trump’s aggressive deportation efforts in the largely Democratic city.

    The Trump administration informed Harvard University that its investigation found that the university violated federal civil rights law over its treatment of Jewish and Israeli students, putting its federal funding further at risk.

    Trump will host Israeli prime minister Benjamin Netanyahu at the White House on 7 July.

    Trump wrote to Fed chair Jerome Powell again urging him to lower interest rates.
    Beginning early on Monday and so far having run for roughly 19 hours, it remains unclear how long the voting in the marathon ‘vote-a-rama’ will last.Republicans can afford to lose no more than three votes in either chamber to pass a bill the Democrats are united in opposition to.If approved in the Republican-controlled Senate, Trump’s One Big Beautiful Bill Act will return to the lower House of Representatives, also Republican controlled, which passed its own version by a single vote at the end of May (215 to 214).In the House, a full vote on the Senate’s final version of the bill could then come as early as Wednesday morning.The senate has adopted an amendment offered by Republican senator Joni Ernst – who represents Iowa – to prevent jobless millionaires from claiming unemployment compensation.Lawmakers voted 99-1 to strike the AI regulation ban from the bill by adopting an amendment offered by Republican senator Marsha Blackburn.Republican Senator Thom Tillis, who announced his retirement on Sunday after voting not to proceed with the megabill, was the lone lawmaker who voted to retain the ban.The Senate version of Trump’s legislation would have only restricted states regulating AI from tapping a new $500m fund to support AI infrastructure.Major AI companies, including Alphabet’s Google and OpenAI, have expressed support for Congress taking AI regulation out of the hands of states.Blackburn presented her amendment to strike the provision a day after agreeing to compromise language with Senate Commerce Committee chair Ted Cruz that would have cut the ban to five years and allowed states to regulate issues such as protecting artists’ voices or child online safety if they did not impose an “undue or disproportionate burden” on AI.But Blackburn withdrew her support for the compromise before the amendment vote.In a statement, the Tennessee Republican said:
    The current language is not acceptable to those who need these protections the most.
    Until Congress passes federally preemptive legislation like the Kids Online Safety Act and an online privacy framework, we can’t block states from making laws that protect their citizens.
    The Republican-led US Senate has voted overwhelmingly to remove a 10-year federal ban on state regulation of AI from Trump’s mega bill, Reuters is reporting. More details soon…Johana Bhuiyan is a senior tech reporter and editor for Guardian US, based in San FranciscoThe US Department of Homeland Security has for the first time built a national citizenship database that combines information from immigration agencies and the social security administration.The database was created in collaboration with the “department of government efficiency” (Doge) in an effort to bridge the gaps between disparate information sources to make it easier to determine whether someone is a citizen, according to NPR, which first reported the details of the database.The database is the result of an expansion of the systematic alien verification for entitlements (Save) program, made up of smaller databases within the homeland security department, and an integration with information from the Social Security Administration.The centralized repository is searchable and can be accessed by state and local election officials to look up the names of anyone trying to vote to determine if they are citizens, according to NPR. Until now, election officials had to ask potential voters for documents verifying their citizenship or rely on a hard-to-navigate patchwork of databases.You can read the full story here:Some more news from the US senate now, where Republicans are – for the most part – still trying to pass Trump’s mega-bill.Maine’s Republican senator Susan Collins has blamed Democrats for tanking her amendment to increase the bill’s rural hospital relief fund, saying they are “hypocrites” for championing themselves as protectors of Medicaid but then opposing her efforts to reduce the impacts of the legislation on rural hospitals.“I was surprised at the hypocrisy of the Democrats on it, had they voted for it would have passed easily,” ABC News quoted Collins as having told reporters this morning.Only two Democrats out of 22 senators supported Collins’ amendment, which would have seen the creation of a new top marginal tax rate used to double the size of the proposed rural hospital relief fund from $25bn to $50bn.Collins added:
    They complained repeatedly about the distribution in this bill of Medicaid cuts, hurting individuals in rural hospitals and tax cuts being extended for people who are wealthy. And yet, when we tried to fix both those problems, they took a very hypocritical approach.
    Rural and smaller hospitals are at risk of bankruptcy because of the steep Medicaid cuts being proposed in the budget bill.Elon Musk has vowed to unseat lawmakers who support Donald Trump’s sweeping budget bill, which he has criticized because it would increase the country’s deficit by $3.3tn.Musk wrote on his social media platform, X:
    Every member of Congress who campaigned on reducing government spending and then immediately voted for the biggest debt increase in history should hang their head in shame!
    And they will lose their primary next year if it is the last thing I do on this Earth.
    A few hours later he added that if “insane spending bill passes, the America Party will be formed the next day”.With these threats, lobbed at lawmakers over social media, the tech billionaire has launched himself back into a rift with the US president he helped prop up.Since taking leave from his so-called “department of government efficiency”, or Doge, Musk has sharply criticized Trump’s budget bill, which he has said will undermine his work at Doge by increasing spending.You can read the full story by my colleague, Maanvi Singh, here:

    The Senate bill includes $4.5tn in tax cuts, according to the latest analysis from the congressional budget office, making permanent Trump’s 2017 rates, which would expire at the end of the year if Congress fails to act.

    The Senate package would roll back billions of dollars in green energy tax credits, which Democrats warn will wipe out wind and solar investments nationwide.

    It would impose $1.2tn in cuts, largely to Medicaid and food stamps, by imposing stricter work requirements, making sign-up eligibility more stringent and changing federal reimbursements to states. Medicaid provides government-sponsored health care for low-income and disabled Americans.

    The bill would provide a $350bn infusion for border and national security, including for deportations, some of it paid for with new fees charged to immigrants.
    Senate minority leader Chuck Schumer says Democrats will bring “amendment after amendment after amendment to the floor, so Republicans can defend their billionaire tax cuts.”He said Democrats would offer amendments to “see once and for all if Republicans really meant all those nice things they’ve been saying about ‘strengthening Medicaid’ and ‘protecting middle-class families’, or if they were just lying”.As the marathon session grinds into the early hours of the morning, some lawmakers are finding ways to relax or vent away from the heat of the chamber.GOP senators took breaks from the Senate floor as well.Republican US senator Tommy Tuberville, of Alabama, smoked a cigar on the Capitol terrace at sunset while other GOP senators took calls and chatted in rooms near the Senate chamber.This weekend’s dramatic senate session saw a narrow 51-49 passing of a procedural vote on Saturday night to advance the budget bill and a forced reading of the 940-page bill by Democrats, a political manoeuvre that was deployed to stall its progress.Two Republicans sided with Democrats in voting against opening debate, wanting to change parts of the contentious legislation.One of these Republicans was the North Carolina moderate Thom Tillis, who said the package was a betrayal of Donald Trump’s promise not to withdraw healthcare from people, something he fears could happen if rural hospitals close. The other was Rand Paul of Kentucky.The bill must now clear a formal Senate vote and be returned to the lower House for approval – which Trump wants done before a self-imposed Fourth of July holiday deadline.As my colleague Chris Stein explains in this story, after Tillis declined to vote for the bill, Trump attacked him and the senator announced he would not stand for re-election next year, potentially improving Democrats’ chances of picking up the purple state’s seat.Good morning and welcome to our live coverage of US politics and the second Trump administration.The US Senate is holding a marathon vote on a sprawling budget that is vital to Donald Trump’s agenda and would see sweeping tax breaks and cuts to healthcare and food programmes if passed.Senators have convened at the Capitol for a process known as “vote-a-rama”, in which lawmakers will propose amendments to the legislation over what is expected to be many hours.Democrats say the bill’s tax cuts would disproportionately benefit the wealthy at the expense of social programs for lower-income Americans.The One Big Beautiful Bill Act (yes, it is formally called this) is expected to add an estimated $3.3tn to the national debt over the next decade. Republicans are rushing to pass the bill Trump’s self-imposed deadline of 4 July.Republicans – who control both chambers of Congress and are generally loyal to Trump – are heavily divided over how deep welfare cuts should be in order to extend tax breaks in the legislation.It is about 2.30am in Washington and it has been over 16 hours since voting began. We are expecting a result in around two and a half/ three hours time. Stay with us for all the latest developments.In other news:

    Tech billionaire Elon Musk, who spent more than a quarter of a billion dollars in support of Trump’s candidacy, has pledged to found a new political party he called the “America Party” and support candidates who did not back the budget bill in future elections.

    The Senate parliamentarian found that Republicans can include a provision that would block Medicaid funding from Planned Parenthood in the “big, beautiful bill”.

    Trump signed an executive order overturning sanctions on Syria today and issued a memorandum on US policy toward Cuba.

    The Trump administration sued the city of Los Angeles over policies limiting city cooperation with federal immigration authorities, continuing a confrontation over Donald Trump’s aggressive deportation efforts in the largely Democratic city.

    The Trump administration informed Harvard University that its investigation found that the university violated federal civil rights law over its treatment of Jewish and Israeli students, putting its federal funding further at risk.

    Trump will host Israeli prime minister Benjamin Netanyahu at the White House on 7 July.

    Trump wrote to Fed chair Jerome Powell again urging him to lower interest rates. More

  • in

    Trump news at a glance: Republicans scramble to pass ‘one big, beautiful bill’ as deadline looms

    Senate Republicans are racing to meet Donald Trump’s self-imposed 4 July deadline to pass the president’s massive tax-and-spending “one big, beautiful bill”. In a marathon session, senators convened at the Capitol to propose amendments to the legislation over many hours.Democrats, who universally oppose the bill, are expected to use the process to force their opponents into politically tricky votes that they will seek to wield against them in elections to come.Even if it passes the Senate, the bill will still need to go back through the House, which is being called back to session for votes as soon as Wednesday.Here’s the latest:US Senate Republicans make final push to pass Trump’s one big beautiful billAs the marathon session kicked off on Monday morning, Senate majority leader John Thune sounded optimistic that the measure would soon clear his chamber. “Let’s vote. This is good for America, this is good for the American people, it is good for working families,” he said.Chuck Schumer the Senate minority leader said the bill “steals people’s healthcare, jacks up their electricity bill, take away their jobs – all to pay for tax breaks for billionaires”. He said Democrats would offer amendments to “see once and for all if Republicans really meant all those nice things they’ve been saying about ‘strengthening Medicaid’ and ‘protecting middle-class families’, or if they were just lying”.Republican Senator Thom Tillis said “this bill will betray the promise Donald Trump made,” a few hours after announcing he would not seek re-election in politically competitive North Carolina.Read the full storyDoJ moves to strip US citizenship from some naturalised AmericansThe Trump administration has codified its efforts to strip some Americans of their US citizenship in a recently published justice department memo that directs attorneys to prioritize denaturalization for naturalized citizens who commit certain crimes.The memo, published on 11 June, calls on attorneys in the department to institute civil proceedings to revoke a person’s United States citizenship if an individual either “illegally procured” naturalization or procured naturalization by “concealment of a material fact or by willful misrepresentation”.Read the full storyWhite House says Canada ‘caved’ to Trump demand to scrap tech taxThe United States has said that Canada’s prime minister Mark Carney “caved” to demands from the White House after his government abruptly scrapped their digital services tax on US technology companies, which was set to go into effect on Monday.“It’s very simple. Prime minister Carney and Canada caved to president [Donald] Trump and the United States of America,” press secretary Karoline Leavitt said in a daily briefing.Read the full storyTrump administration reportedly concludes Harvard violated students’ civil rightsThe Trump administration has concluded that Harvard University violated federal civil rights law in its handling of Jewish and Israeli students, and it threatened the school with a potential “loss of all federal financial resources” as a result, according to the Wall Street Journal.In a Monday letter addressed to the Harvard president, Alan Garber, administration attorneys stated that the university was aware Jewish and Israeli students felt unsafe on campus but failed to take meaningful action. The letter, obtained by the Journal, accused Harvard of “deliberate indifference” toward those concerns.Read the full storyTrump signs executive order on lifting some Syria sanctions Donald Trump has signed an executive order to lift some financial sanctions on Syria in a move that the White House says will help stabilise the country after the ousting of Bashar al-Assad.Read the full storyUS dollar has worst first half in more than 50 years amid Trump tariffsThe US dollar has had its worst first half-year in more than 50 years, as the financial markets over the last six months were dominated by geopolitical crises and Donald Trump’s trade war.The dollar has fallen by 10.8% against a basket of currencies since the start of 2025. That is its worst performance over the first six months of any year since 1973, and the worst half-year since the second half of 1991.Read the full storyWhat else happened today:

    The US Department of Homeland Security has for the first time built a national citizenship database that combines information from immigration agencies and the social security administration.

    The Trump administration is on track to oversee one of the deadliest years for immigrants in detention after the recent deaths of two men – one from Cuba and another from Canada – while in federal custody.

    The US supreme court agreed on Monday to hear a case that could further erode restrictions on money in politics, in a challenge that comes in part from vice-president JD Vance.
    Catching up? Here’s what happened 29 June. More

  • in

    Trump signs executive order to lift some financial sanctions on Syria

    Donald Trump has signed an executive order to lift some financial sanctions on Syria in a move that the White House says will help stabilise the country after the ousting of Bashar al-Assad.The order was designed to “terminate the United States’ sanctions programme on Syria”, a White House spokesperson said, cancelling a 2004 declaration that froze Syrian government property and limited exports to Syria over Damascus’s chemical weapons programme.Some sanctions will remain on Syria, including those mandated through Congress under the Caesar Syria Civilian Protection Act of 2019 that targeted funds for reconstruction and natural gas development, as well as the US declaration of Syria as a state sponsor of terrorism.Trump’s order would mainly direct other members of the administration to consider broader sanctions relief for Syria – and could possibly provide leverage with Syria in talks on normalising ties with Israel and foreign investment in the country’s reconstruction.The order included a direction to secretary of state Marco Rubio to evaluate suspending sanctions under the Caesar Act, permit the relaxation of control on the export of “certain goods”, and lift restrictions on some foreign aid. It also directs Rubio to review Syrian leader Ahmed al-Sharaa’s designation as a terrorist leader and Syria’s designation as a state sponsor of terrorism, and to consider measures for sanctions relief through the United Nations.“We welcome the cancellation of the majority of the sanctions program imposed on the Syrian Arab Republic, pursuant to the historic executive order issued by President Trump,” said Syrian foreign minister Asaad Hassan al-Shaibani. “By removing this major obstacle to economic recovery, the doors to long-awaited reconstruction and development are opened, along with the rehabilitation of vital infrastructure, providing the necessary conditions for the dignified and safe return of displaced Syrians to their homeland.”The White House sought to portray the decision as one that would protect US interests, noting Trump’s efforts to “address foreign terrorists”, promote the normalisation of ties with Israel, and prevent a resurgence of the Islamic State.“President Trump wants Syria to succeed – but not at the expense of US interests,” the White House said in a statement.White House officials said that the executive order would maintain pressure on the former leader Assad and his entourage.“The order will remove sanctions on Syria while maintaining sanctions on the former president, Assad, his associates, human rights abusers, drug traffickers, persons linked to chemical weapons activities, Islamic State and their affiliates, and Iranian proxies,” said the White House press secretary, Karoline Leavitt, during a briefing on Monday.The move was widely anticipated after Donald Trump briefly met with Syria’s new leader Ahmed al-Sharaa, who led forces that overthrew Assad in December. Sharaa has complained that the sanctions against Syria had made it difficult to stabilise his fragile transition government, citing issues with paying civil servant wages and funding reconstruction. Trump pledged in May to lift all sanctions on Syria following Assad’s removal from power.The executive order would “end the country’s isolation from the international financial system, setting the stage for global commerce, and galvanizing investments from its neighbors in the region as well as from the US”, said acting under-secretary for terrorism and financial intelligence Brad Smith in a briefing with reporters.Asked about the Abraham accords, the Trump administration’s negotiations for Arab states to normalise diplomatic ties with Israel, a senior administration official suggested that the White House would not push for the recognition of specific territorial claims between Syria and Israel.“We’re going to come to a mutuality of understanding, and you’re going to get there slowly, and there’s going to be metrics and milestones and objectives, and you’re going to start trusting each other,” the official said. “And over this trust, those lines become illusory.” More