Government shutdown begins as funding lapses

illuminem summarises for you the essential news of the day. Read the full piece on The Wall Street Journal or enjoy below:

🗞️ Driving the news: The U.S. federal government officially shut down at midnight after Congress and the White House failed to reach a spending agreement
• The lapse in funding is halting numerous federal services and could furlough hundreds of thousands of workers
• Unlike past shutdowns, the Trump administration has signaled plans to use the crisis to shrink the federal workforce, raising the stakes for agencies and employees.

🔭 The context: This is the first U.S. government shutdown in seven years, following weeks of partisan gridlock over budget priorities
• Past shutdowns were largely temporary standoffs resolved with short-term funding deals, but this one comes as the administration openly pursues a broader restructuring of government
• Federal agencies had already begun preparing by identifying essential services that would remain operational under shutdown conditions

🌍 Why it matters for the planet: The shutdown could disrupt critical environmental and climate-related programs, from EPA enforcement actions to Department of Energy research and renewable energy funding
• Extended interruptions risk slowing U.S. progress on emissions reduction and weakening oversight of polluting industries
• Cuts to the federal workforce could also erode institutional capacity needed to deliver long-term sustainability and climate resilience initiatives

⏭️ What's next: Legal challenges are already underway against the administration’s effort to use the shutdown to permanently reduce government staffing
• Congress may attempt renewed negotiations in the coming days, but deep political divisions suggest a prolonged standoff is possible
• Key questions include how long essential services can operate with reduced staff and whether public and market pressure will accelerate a resolution

💬 One quote: “The shutdown could be more consequential than those that have happened in the past,” The Wall Street Journal reported, citing the administration’s plan to use the closure to cut jobs across agencies

📈 One stat: The shutdown places hundreds of thousands of federal workers on furlough, with ripple effects expected across public services and local economies

Explore carbon credit purchases, total emissions, and climate targets of thousands of companies on Data Hub™ — the first platform designed to help sustainability providers generate sales leads!

Click for more news covering the latest on public governance