Prominent right-wing podcaster Steve Bannon warned on Friday that he doesn’t see “how the math works” for Republicans‘ budget reconciliation bill, which is supported by President Donald Trump.
Newsweek reached out to press representatives for the White House and House Speaker Mike Johnson, a Louisiana Republican, for comment on Saturday.
Why It Matters
Bannon, who served as the CEO of Trump’s 2016 campaign and worked briefly as a White House adviser during the president’s first term, is a leading voice of the “Make America Great Again” or “MAGA” movement. While he supports Trump, he has been critical of some actions by the president and has recently raised concerns about the budget reconciliation bill.
The bill narrowly passed the House successfully on a party-line vote this week, with Trump’s support, and now goes to the Senate. Bannon’s concerns about the math of the bill are echoed by many conservatives and liberals alike. The nonpartisan Congressional Budget Office (CBO) has scored the legislation and said Wednesday that it would add $3.1 trillion to the national debt over the next decade.
What to Know
“We just don’t see how the math works,” Bannon said on Friday segment of his War Room podcast. “Unless in the Senate there’s going to be a tax increase.”
Earlier this week, Bannon raised related concerns about the legislation, which Trump has described as “one big, beautiful bill.”
“I have not changed my mind one bit on this bill. This bill could be a lot better,” Bannon said. “I’m very concerned about the deficits in the short term…and I’m very upset.”
Bannon has long said that the government should increase taxes on wealthy Americans. While Trump floated the idea of allowing taxes to increase for the wealthy, the current bill renews tax cuts he pushed through with Republicans during his first term in 2017.
Back in April, Bannon said in a Gettr post that taxes would likely need to increase for the wealthy to fund Trump’s other priorities.
“No Tax on Tips , No Tax on Overtime, No Tax on Social Security—without Massive Spending Cuts or Dramatic Growth the Math DICTATES that you CANNOT Extend the Tax Cuts to the Upper Bracket without Driving an Even Bigger Deficit,” he wrote.
What’s in the ‘Big, Beautiful’ Bill?
The bill includes a targeted tax break for seniors receiving Social Security. Specifically, the bill provides a new $4,000 deduction for individuals aged 65 and older, designed to reduce the taxable portion of their benefits.
It raises the state and local taxes (SALT) deduction cap for middle-income households, including measures like a 3.5 percent tax on remittances and greater scrutiny of nonprofits.
Regarding health care and social programs, the bill introduces work requirements and cost-sharing measures for Medicaid recipients and tightens eligibility and funding rules for Supplemental Nutrition Assistance Program (SNAP). It also bans federal Medicaid funds from being used for gender-affirming care and further restricts abortion-related spending.
National defense and border security will also see significant boosts. The bill authorizes an additional $150 billion for military spending and $70 billion for border enforcement, including over $46 billion for new wall construction and high-tech surveillance.
The legislation also includes a $4 trillion debt ceiling increase. The bill, which overall includes about $4.9 trillion in tax breaks, was passed after weeks of negotiations and talks with Republicans, some of whom were concerned about constituents losing critical benefits and others who called for further budget cuts.
What People Are Saying
House Speaker Mike Johnson in a statement on Thursday: “Today, the House has passed generational, nation-shaping legislation that reduces spending, permanently lowers taxes for families and job creators, secures the border, unleashes American energy dominance, restores peace through strength, and makes government work more efficiently and effectively for all Americans.”
President Donald Trump in a Thursday Truth Social post: “‘THE ONE, BIG, BEAUTIFUL BILL’ has PASSED the House of Representatives! This is arguably the most significant piece of Legislation that will ever be signed in the History of our Country! The Bill includes MASSIVE Tax CUTS, No Tax on Tips, No Tax on Overtime, Tax Deductions when you purchase an American Made Vehicle, along with strong Border Security measures, Pay Raises for our ICE and Border Patrol Agents, Funding for the Golden Dome, ‘TRUMP Savings Accounts’ for newborn babies, and much more!”
Senator Bernie Sanders, a Vermont independent who caucuses with the Democratic Party, wrote on X, formerly Twitter, on Friday: “Under Trump’s ‘big, beautiful bill’, the top 0.1% will see their income increase by nearly $400,000 next year, while Americans making less than $51,000 will see their incomes GO DOWN. Oligarchs are waging a war on the working class, and they are intent on winning.”
House Minority Leader Hakeem Jeffries, a New York Democrat, wrote on X on Saturday: “Far Right extremists barely got the GOP Tax Scam out of the House. Keep the pressure on and we can stop them in the Senate.”
What Happens Next
The Republican budget package will now move to the Senate after narrowly passing in the House early Thursday morning.
Some Senate Republicans have already expressed skepticism about the bill’s provisions. Senator Ron Johnson of Wisconsin referred to the House budget plan as a “sad joke,” while Senator Rand Paul of Kentucky criticized the spending cuts as “wimpy” and “anemic.”
The post Steve Bannon’s Warning on Trump Budget Bill—’Don’t See How the Math Works’ appeared first on Newsweek.
