Congress Rebuffs Trump's Deep Budget Cuts, Preserving Core Programs

President Trump proposed sweeping, historically deep cuts to many federal programs, but Congress largely blocked those plans for 2026, leaving education, health, housing and research programs funded at or near prior levels. Preliminary data show about $1.6 trillion in discretionary spending for 2026, only modest changes from 2025. While the White House used tools like rescissions and pursued unilateral budget maneuvers and thousands of federal workers were affected, lawmakers preserved funding for Pell Grants and housing vouchers and rejected sharp reductions for agencies such as Education, the EPA and NIH. The episode underscores the persistent political friction around austerity and the ongoing battle between the presidency and Congress over spending priorities.