What effects will the "One Big Beautiful Bill" have on Americans?

2025-07-04 09:35:00, Kosova & Bota CNA

The House of Representatives narrowly voted in favor of President Donald Trump's tax and spending package, which has been criticized for the strain it is expected to place on the U.S. budget.

The US House of Representatives has approved the tax and spending bill requested by President Donald Trump. The lawmakers voted 218 to 214 for the legislative package, which has become known as the "One Big Beautiful Bill" and has been the subject of much discussion and criticism. The Senate has also given the green light. Now President Trump can sign the bill so that it can take effect on July 4, the national holiday, as he intended.

What does the "One Big Beautiful Bill Act" contain?

The package includes a mix of individual and business tax cuts, massive spending on immigration controls, increased military spending and an increase in fossil fuel incentives.

There are also changes to the right to participate in health and social programs, as well as the closure of some of the climate transition initiatives initiated by former President Joe Biden.

The main beneficiaries are the policy areas that have been the foundation of Trump's "America First" mantra.

Spending on armaments and restricting immigration

An amount of $178 billion (about 150 billion euros) will go to programs aimed at limiting immigration, including resuming construction of the border wall with Mexico, increasing border police personnel and resources, and investigating and prosecuting immigrants.

About $153 billion will be spent on defense: shipbuilding, missile defense systems, nuclear weapons, and support for military assistance at the border.

And after promises during the election campaign and in his victory speech that he would "drill as much as he can" - that is, to increase fossil fuel extraction - the bill will stimulate both resource exploration and gas exports, and will end concessions and incentives for electric vehicles, clean energy and emissions reduction programs.

There will also be tax cuts of about $4.5 trillion (3.8 trillion euros) for individuals and businesses. This includes Trump's promise to stop taxing tips and overtime pay.

Dissatisfaction and criticism

The "One Big Beautiful Bill" legislative package has been criticized for the burden it is expected to cause on the US budget. Independent budget experts in Congress estimate that within ten years Trump's plans could increase the US debt by another $3.4 trillion. Therefore, this law was criticized even by Republicans who are conservative in terms of fiscal policy.

According to a Quinnipiac University poll conducted in mid-June, 53% of Americans support the bill and 27% do not, while the rest expressed neither in favor nor against.

Only two-thirds of Republican voters support the package. Analysts DW spoke to said that when voters are explained the content of the bill, support for it drops, including among Republican voters./ DW