Federal Government Shutdown Begins Over ACA Subsidy Dispute

The federal government shutdown on October 1, 2025, resulted from a deadlock between Republicans and Democrats over spending bills, particularly concerning the renewal of expanded Affordable Care Act (ACA) premium subsidies. Democrats insisted on continuing these subsidies, which were initially passed during the pandemic, while Republicans have refused to discuss or renew them, demanding the government reopen first. House Speaker Mike Johnson and Senate Majority Leader John Thune have downplayed the urgency of renewing the ACA subsidies, asserting the expiration is a December issue and accusing Democrats of forcing the shutdown to satisfy their base. Democrats, including House Minority Leader Hakeem Jeffries, emphasized that healthcare is an American issue, criticizing Republicans for proposing a partisan spending bill that cuts healthcare. Johnson also faced correction on live television regarding misleading claims about Democrats' healthcare proposals involving immigrants. Meanwhile, President Donald Trump announced a deal with Pfizer to lower some drug prices, though the impact on consumers remains unclear.