Trump's Tax-Cut Bill Would Leave 11M More People Uninsured in 10 Years, Bump Federal Deficit by $2.4T

US President Donald Trump's 'big, beautiful bill' cleared the House last month and is now in the Senate.

According to the Congressional Budget Office estimates, the bill, if passed, would trim federal spending by £957.68 trillion ($1.3 trillion) by 2034. It would also lead to tax cuts of £2.76 trillion ($3.75 trillion) and add £1.76 trillion ($2.4 trillion) to the federal deficit in the same period.

Furthermore, the CBO analysis showed that as a result of the tax cut bill, the number of people lacking health insurance coverage, primarily Medicaid, would increase to 10.9 million through 2034. This figure included 1.4 million undocumented residents who are covered through state-funded programs.

The proposed law would mandate that non-disabled Americans on Medicaid work a minimum of 80 hours every month or qualify for an exemption, like being a student or caregiver.

The CBO had estimated earlier that nearly 4 million people would lose health insurance coverage through 2034 if Congress did not extend pandemic-era tax credits, which made Affordable Care Act plans more feasible for consumers.

According to Kathy Hempstead, a senior policy officer at the Robert Wood Johnson Foundation, Trump's proposed changes to Medicaid and the ending of Affordable Care Act marketplace tax credits could impact insurance coverage for as many as 15 million people.

'We're making a giant U-turn here,' said Hempstead. 'Are we really going to be a thriving, productive society if we have a huge share of our population uninsured?' In turn, the uninsured could end up racking up more medical debt. Doctors and hospitals are also likely to be financially affected.

'There's going to be a big hit on the health care economy as people stop getting care and start trying to get care that they can't pay for,' Hempstead said.

According to the Economic Policy Institute, the bill would lead to average Medicaid cuts of more than £51.56 billion ($70 billion) yearly or £526.72 billion ($715 billion) over the next decade. The cuts could also negatively impact local economies and workers across the US.

The nonpartisan think tank noted that millions of people live in weaker local economies even when national unemployment rates are low. They are vulnerable to 'spending shocks' like Medicaid cutbacks.

The nonprofit entity estimated that almost 27 million US workers live in weaker local economies across the nation, and a Medicaid cut could stunt local spending and lead to 850,000 job losses.

In a rare intervention, former US President Barack Obama also cautioned that Congress is putting millions at risk of losing healthcare coverage as the Republican party spearheads rules that would end major provisions of the Affordable Care Act.

'Congressional Republicans are trying to weaken the Affordable Care Act and put millions of people at risk of losing their health care,' Obama posted on social media. 'Call your Senators and tell them we can't let that happen.'

Even Elon Musk, who recently left the White House after stepping down as chief of the Department of Government Efficiency, lashed out at Trump's tax bill, telling Americans to urge their representative in Washington to cancel the bill.

'Shame on those who voted for it,' he had said earlier this week.