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Friday 29 October 2021

Biden to announce revamped $1.75 trillion social spending plan

US President Joe Biden said on Thursday that his Democratic party was united as he prepares to unveil a revamped $1.75tn (£1.27tn) social spending plan.



“Everybody’s on board,” he said as he arrived at Capitol Hill to update Democrats on his new plans.

Democrats have struggled to reach consensus on a pair of bills aimed at infrastructure, climate and childcare.

Narrow margins in Congress require nearly unanimous support from Democrats for the bills to pass.

But the president’s party suggested this week that an agreement was on the horizon, ahead of Mr Biden’s trip to Europe later on Thursday. President Biden will travel to Rome, the Vatican and later to Glasgow, Scotland for the United Nations climate conference, COP26.

The full details on the exact provisions of the package have yet to be unveiled, but it is thought to be a stripped-down version of the roughly $3.5tn social spending plan favoured by progressives.

Mr Biden is expected to use his Thursday morning meeting with House Democrats to convince progressives in the party that this new version is close enough to the original bill, and to persuade progressives in the House of Representative to pass a separate, $1tn infrastructure bill that has already passed in the Senate.

So what’s in the proposed new spending plan?

$555bn aimed at fighting climate change, mainly through tax-incentives for renewable and low-emission sources of energy
$400bn for free and universal preschool for all 3- and 4-year-olds
$165bn to lower health care premiums for the nine million Americans covered through the Affordable Care Act – also known as Obamacare
$150bn to build one million affordable housing units
A 50-50 seat split in the Senate – and certain Republican resistance – Mr Biden must bring his entire party on board if he hopes to pass the spending bill.

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