Financial shutdown begins as US congress faces budget deadlock

Published January 31st, 2026 - 12:26 GMT
Financial shutdown begins as US congress faces budget deadlock
ALEX WROBLEWSKI / AFP Photo by ALEX WROBLEWSKI / AFP View of the US Capitol in Washington, DC, on January 30, 2026.

ALBAWABA - A partial federal government shutdown commenced early Saturday. This came about because lawmakers couldn't reach a funding agreement. However, officials anticipate the disruption will be short-lived. The House of Representatives is slated to vote on a temporary spending bill this coming Monday.

The shutdown stems from renewed political friction in Washington. Democrats are opposing funding for the Department of Homeland Security unless new restrictions are placed on Immigration and Customs Enforcement (ICE). The disagreement escalated after the deaths of two Americans in Minneapolis, which involved federal immigration officers.

To avoid a lengthy shutdown, the Senate approved a short-term funding measure late Friday. This is designed to limit the shutdown's extent and how long it lasts. The bill is expected to arrive in the House early next week. 

Limited Impact Expected 

U.S. officials anticipate that the shutdown's impact will be slight, potentially wrapping up by the end of the weekend. This diminishes the chances of widespread, unpaid leave for federal employees.

The White House Office of Management and Budget has advised federal agencies to ready contingency plans, though they remain hopeful that funding will be reinstated swiftly. 

Budget Deal in the Works 

The Senate-passed bill, which garnered bipartisan backing, represents a consensus between President Donald Trump and Democratic senators. The agreement secures funding for most federal departments, even as discussions persist regarding the Department of Homeland Security budget.

Democrats are pushing for reforms to ICE operations, voicing worries about aggressive enforcement practices.
Senate Minority Leader Chuck Schumer urged restrictions on roaming enforcement patrols and called for immigration officers to be barred from hiding their identities, insisting on accountability. 

What's Next in Congress 

The Senate's version of the bill, differing from the House's earlier approval, must go back to the House for a re-vote before it can be finalized and sent to President Trump.

Lawmakers from both parties expressed optimism about a swift agreement, hoping to sidestep the lengthy, disruptive shutdowns of the past that impacted significant portions of the U.S. economy.

Despite the prevailing political climate, congressional leaders stressed that negotiations are continuing and that a resolution to the shutdown is anticipated in the near future.