Trump Administration Freezes Federal Grants and Loans

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Trump Administration Freezes Federal Grants and Loans
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The White House has ordered a freeze on all federal grants and loans, prompting a sharp backlash from Democrats. The temporary pause, taking effect Tuesday, aims to review government spending and align programs with President Trump's policies. The order directs federal agencies to submit reports by February 10, 2025, on all affected programs, projects, and activities.

The White House is taking drastic measures to control trillions of federal dollars by ordering a freeze on all federal grants and loans so President Donald Trump 's administration can review government spending. The temporary pause is slated to go into effect Tuesday at 5 p.m. ET and blocks the disbursement of nearly all federal funding .

RELATED STORY | New details emerge about the Department of Government Efficiency's proposed cuts to federal workforcesNonetheless, reaction from Democrats on Capitol Hill has been swift and angry. Senate Minority Leader Chuck Schumer said the order simply expands the 'lawlessness and chaos' of the Trump administration.

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