The government shutdown happened because Congress failed to pass funding legislation needed to keep the federal government operating past the fiscal year deadline. Specifically, Republicans and Democrats in Congress could not reach an agreement on a spending bill. Republicans wanted a short-term funding extension, while Democrats insisted that any funding measure include provisions to continue health care subsidies under the Affordable Care Act and avoid cuts to Medicaid and public health budgets. This deadlock over budget priorities led to the shutdown starting at midnight on September 30, 2025, marking the first government shutdown in nearly seven years.
Government shutdowns in the U.S. occur when funding gaps happen because the necessary appropriation bills are not passed in time. During shutdowns, non- essential federal operations cease, many federal workers are furloughed, and only essential services continue. This mechanism has been in place since a 1980 legal opinion and has occurred multiple times since 1990 when funding gaps last more than a few hours.
This particular shutdown of 2025 was triggered by the failure to pass a continuing resolution that would have extended government funding, with disputes focusing mainly on healthcare subsidies and budget cuts, leading to the stalemate.
