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Trump's budget would push debt to €30trn

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President Donald Trump (Evan Vucci/AP)

President Donald Trump (Evan Vucci/AP)

President Donald Trump (Evan Vucci/AP)

President Donald Trump's budget anticipates the gross federal debt could top $30trn (€27.5trn) over the next decade despite deep proposed cuts to social programmes.

The US president's $4.8trn spending plan, a summary of which was obtained yesterday by Bloomberg News, would increase debt partly because of tax cuts and billions more in spending on defence.

The budget is an election year embodiment of many of the policy priorities Mr Trump has championed over his first three years in office. He proposes continuing his efforts to "rebuild" the US military by investing heavily in defence spending - $740.5bn in the next fiscal year - including the creation of Space Force.

But the president also calls for deep cuts to government programmes he believes are unpopular with his base, slashing discretionary spending by 5pc - down to $590bn - in the coming year. That includes major reductions in foreign aid - with the State Department and international programmes cut 7.7pc, and the Environmental Protection Agency cut 26.5pc next year.

The proposals call for stringent new work requirements on welfare programmes.

Bloomberg

Irish Independent