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Trump Asks for Debt Ceiling Increase. If Not, He Says Let Shutdown Start Now

Trump debt ceiling demand/ government shutdown 2024/ House budget impasse/ Speaker Mike Johnson/ federal workers furlough/ Newslooks/ J. Mansour/ Morning Edition/ With hours until a potential government shutdown, President-elect Donald Trump insists on including a debt ceiling extension in any budget deal. House Speaker Mike Johnson scrambles to navigate between Trump’s demands, conservative hardliners, and bipartisan opposition, leaving government operations at risk of grinding to a halt.

Speaker of the House Mike Johnson, R-La., talks briefly to reporters just before a vote on an interim spending bill to prevent a government shutdown, at the Capitol in Washington, Thursday, Dec. 19, 2024. The vote failed to pass. (AP Photo/J. Scott Applewhite)

Trump’s Debt Ceiling Demand and Shutdown Threat: Quick Looks

  • Trump’s Ultimatum: The president-elect demands a debt ceiling increase until 2029 in the budget deal.
  • House Deadlock: Speaker Johnson faces opposition from Democrats and GOP members, with no resolution in sight.
  • Shutdown Countdown: Federal agencies prepare for closures as funding is set to expire at midnight Friday.
  • Senate’s Role: Senate Democrats push for a return to an earlier bipartisan agreement.
  • Johnson’s Leadership in Question: Johnson’s position as speaker is under scrutiny as he juggles Trump’s demands and party divisions.

Trump Asks for Debt Ceiling Increase. If Not, He Says Let Shutdown Start Now

Deep Look

Trump’s Budget Showdown: Debt Ceiling or Shutdown

With a federal government shutdown looming, President-elect Donald Trump has doubled down on his demand for a debt ceiling increase, insisting it be included in any budget deal. Trump’s unyielding stance, made clear in a Friday morning post on social media, leaves House Speaker Mike Johnson in a bind as time runs out to avert a funding lapse.

“If there is going to be a shutdown of government, let it begin now,” Trump declared, signaling his willingness to let federal operations grind to a halt.

The Debt Ceiling Dilemma

The debt ceiling, set to expire on Jan. 1, 2025, poses a thorny challenge for Trump’s incoming administration. By pushing for a five-year extension through 2029, Trump hopes to sideline potential battles in Congress early in his term. However, this demand clashes with conservatives’ calls for fiscal discipline and cuts to federal spending.

Trump’s position also carries echoes of his first term, during which he oversaw the longest government shutdown in U.S. history in late 2018. This time, the stakes are heightened as federal workers brace for missed paychecks and agencies prepare to halt operations ahead of the holidays.

A Fractured House

Speaker Johnson is attempting to navigate the House’s deep divisions after a tumultuous week. On Thursday, Trump’s preferred 116-page spending planincluding a debt ceiling extension through 2027—collapsed in a 174-235 vote, with opposition from Democrats and over three dozen Republicans.

Now, Johnson is meeting behind closed doors with members of the House Freedom Caucus and Vice President-elect JD Vance to craft a new path forward.

“We’re going to regroup and come up with another solution,” Johnson said late Thursday.

Democratic Resistance

House Democrats remain steadfast in their opposition, with Minority Leader Hakeem Jeffries calling the revised deal “laughable.” Senate Democrats, led by Appropriations Chair Patty Murray, are advocating for a return to an earlier bipartisan compromise that included $100 billion in disaster aid and other provisions.

“I’m ready to stay here through Christmas because we’re not going to let Elon Musk run the government,” Murray said, referencing Trump’s ally and vocal supporter, whose influence has fueled GOP dissent.

Leadership in Question

For Johnson, the stakes extend beyond the budget crisis. With a vote for House speaker set for Jan. 3, his handling of the current impasse could determine his political future. Johnson must balance Trump’s demands with bipartisan negotiations while appeasing conservative critics.

Steven Bannon, a key Trump ally, has already cast doubt on Johnson’s leadership, rallying supporters at a conservative event: “Clearly, Johnson is not up to the task. He’s gotta go.”

Federal Workers Brace for Impact

As the clock ticks toward the midnight deadline, federal employees face uncertainty. A shutdown would furlough millions of workers, delay paychecks, and disrupt essential services.

Rep. Bob Good, R-Va., expressed skepticism that a resolution would be reached in time, while Rep. Lauren Boebert remained optimistic, citing progress in discussions involving Vance.

“I think President Trump was possibly sold a bad bill yesterday,” Boebert said, hinting at internal GOP divisions.

Senate Efforts to Revive Bipartisan Deal

In the Senate, Democratic leaders are exploring ways to revive the initial bipartisan compromise negotiated earlier in the week. However, with just hours remaining, the likelihood of passing a new agreement dims.


Key Takeaways

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