U.S. President Donald Trump on Friday signed into law a sweeping policy bill that enshrines major elements of his political agenda, including tax cuts, increased defence spending, and tougher immigration measures. The signing came just a day after the 870-page bill narrowly passed Congress following intense partisan debate.
The signing ceremony, held at the White House ahead of Independence Day festivities, had a celebratory atmosphere, complete with a flyover by B-2 bombers and F-35 and F-22 fighter jets—aircraft recently used in a strike on Iranian nuclear facilities. Trump addressed supporters from the White House balcony, hailing the legislation as a boost for economic growth and a milestone for his administration.
“This is the largest spending cut, and yet, you won’t even notice it,” Trump said. “The people are happy.”
The bill includes extensions of Trump’s 2017 tax cuts, new tax breaks on tipped income and Social Security, a $150 billion boost to defence spending, $100 billion for Immigration and Customs Enforcement (ICE), and steep reductions to Medicaid and food assistance programmes like SNAP. It also rolls back clean energy tax incentives introduced under the Biden administration.
Trump praised the increased resources for border security and touted the bill’s removal of taxes on tips, overtime pay, and Social Security income for seniors. “We’ve cut taxes like never before,” he said, calling the legislation a “gift to America” as the nation approaches its 250th anniversary.
Despite the festivities, the bill remains controversial. It passed the House 218 to 214, with only two Republicans joining all 212 Democrats in opposition. The final vote was delayed after House Minority Leader Hakeem Jeffries delivered a nearly nine-hour speech condemning the bill as “an extraordinary assault on the healthcare of the American people.”
The Senate passed the bill earlier in the week, but only after Vice President JD Vance cast a tiebreaking vote to overcome a Republican holdout.
Critics warn the bill disproportionately benefits the wealthy and will lead to deep cuts in social welfare programmes. The non-partisan Congressional Budget Office (CBO) projects the tax cuts could lead to a surplus in the first year but will drive the deficit higher in subsequent years. The Tax Policy Center estimates that about 60% of the tax benefits will go to individuals earning over $217,000 annually.
Concerns are also mounting over the bill’s impact on low-income families. Jordan, a 26-year-old father of two who relies on SNAP benefits to feed his family, told the BBC he may have to take a second job if his support is reduced. “I’m going to make sure that I can do whatever I can to feed my family,” he said.
Medicaid cuts in the bill are projected to leave nearly 12 million Americans without healthcare coverage over the next decade. Republicans defend the changes, arguing that stricter work requirements will reduce fraud and encourage self-sufficiency.
Public support for the bill appears low. A Quinnipiac University poll conducted before the vote found only 29% of Americans supported the legislation, with support rising to about two-thirds among Republicans. However, awareness of the bill’s contents remains limited. Reuters reported that many Trump supporters at a rally in Des Moines on Thursday night were unfamiliar with the details of the legislation.
At that rally, Trump celebrated the bill’s passage, calling it “a phenomenal victory” and telling the crowd, “There could be no better birthday present for America.”