How much will U.S. debt increase with passage of Trump’s big, beautiful bill? Here’s the whopping amount

After a narrow majority vote in the Republicans-led US House of Representatives, US president Donald Trump’s sweeping tax and spending bill has been passed, but it comes with trillions of dollars more in debt, as per a report.

Massive Debt Increase Forecasted

The nonpartisan Congressional Budget Office revealed that this "big, beautiful bill" comes with a hefty price tag: $3.8 trillion in additional debt to the federal government's $36.2 trillion debt over the next decade, as per Reuters.

According to the report, the bill passed even though there are increased concerns over the US debt, which has reached 124% of GDP, which also led to a downgrade of the United States' highest credit rating by rating agency Moody's Ratings last week.

The United States government has recorded budget deficits every year of this century because both Republican and Democratic administrations have failed to bring spending into alignment with revenue, Reuters reported.

Rising Interest Payments

Last year, interest payments had accounted for 1 out of every 8 dollars spent by the US government, which was more than the amount spent on the military, as per CBO. But now, that share would increase to 1 out of every 6 dollars over the next decade because of the growing ageing population; it will raise the government's health and pension costs, even if the US president's budget bill is not taken into account, according to Reuters.

Impact on Income

According to Democrats, the bill would inequally benefit the rich while reducing benefits for working-class Americans, as per the Reuters report. CBO found that this bill would cut income for the poorest 10% of US households and increase income for the top 10%, reported Reuters.

Democratic Representative Jim McGovern said, "This bill is a scam, a tax scam designed to steal from you, the American people, and give to Trump's millionaire and billionaire friends," as quoted in the report.

FAQs

What is this new bill about?
The bill is for a tax and spending plan passed by the Republican-controlled House that includes tax breaks, spending increases, and changes to social programs, as per reports.

How much more debt will the bill add?
The Congressional Budget Office estimates it will add $3.8 trillion to the national debt over the next ten years.