Democrats put healthcare first as Trump veto threat looms over new Congress

• Democrats plan early House votes on Medicaid funding and Affordable Care Act subsidies when the new Congress convenes on 3 January.

• Proposals to halt the Iran war and reverse some Trump tariffs also feature in their opening agenda.

• A possible presidential veto and Senate voting rules threaten progress, while progressives demand broader action against corporate power.

House Democratic leaders are preparing an opening legislative push centred on healthcare when the new Congress takes office on 3 January, seeking to turn their sweeping midterm gains into measures aimed at easing household costs.

Early votes are expected on proposals to strengthen Medicaid and restore enhanced tax subsidies that reduce premiums for millions of people enrolled in Affordable Care Act insurance plans.

Democrats also intend to advance legislation to stop the war with Iran and roll back some of President Donald Trump’s trade tariffs.

“We’re going to get out of the gate fast,” said Hakeem Jeffries, the House Democratic leader who is expected to become speaker.

With Democrats set to hold more than 250 seats in the 435-member chamber, securing House passage should be relatively straightforward. Turning those bills into law presents a greater challenge.

Most legislation faces a 60-vote threshold to overcome obstruction in the Senate, while Trump could veto measures that reach his desk. On election night, the president posted an image of a red hat bearing the word “VETO”.

The confrontation will test Democrats’ ability to deliver on promises to reduce living costs while governing alongside a Republican president.

Jeffries said five working groups were developing further proposals addressing expenses including housing, energy, groceries and caregiving.

California Representative Ted Lieu said artificial intelligence and data centres would also come under scrutiny through public hearings and legislation.

Lieu, who is helping prepare recommendations for Jeffries, criticised House Republicans’ approach to the industry and said Democrats would seek “reasonable guardrails”, including rules specifically addressing data centres.

Healthcare, however, is likely to dominate the opening battles.

Democrats want to reverse Medicaid changes projected to reduce spending on the programme by more than $900 billion over a decade. Those provisions helped finance Trump’s tax and spending legislation, signed into law in July 2025.

The changes introduced additional administrative conditions and eligibility restrictions, including work requirements. Some major provisions have yet to take effect.

According to health policy organisation KFF, Medicaid enrolment has nevertheless fallen by approximately 5 million people, or about 7 per cent, since the legislation became law.

Reversing the changes would require Republicans and Trump to retreat from a central element of their tax and spending agenda, making agreement difficult.

Restoring enhanced subsidies for ACA plans could offer greater scope for negotiations. An extension passed the current House with some Republican backing but stalled in the Senate.

Democrats’ proposed action on Iran would likewise revisit an issue repeatedly debated in Congress. Lawmakers have already held 14 Senate votes and six House votes on war powers relating to the conflict.

Republican Senate leader John Thune warned before the election that a Democratic majority would produce “two years of paralysis”.

Democratic Senate leader Chuck Schumer has argued that the party should press ahead even if Trump resists, saying vetoes would expose differences between the parties on issues affecting voters.

Schumer said he had received preliminary indications that some Republicans might cooperate on selected measures, including enhanced ACA subsidies, although he acknowledged that agreement would not extend across the agenda.

Even unsuccessful votes could help define the political choices ahead of the 2028 presidential election. But progressive organisations say Democrats must demonstrate results rather than rely on confrontation alone.

Adam Green, co-founder of the Progressive Change Campaign Committee, welcomed the initial priorities while calling for Democrats to abolish the Senate filibuster.

Green argued that the rules create an imbalance: Republican priorities such as certain tax measures and Supreme Court confirmations can pass with simple majorities, while much of the Democratic legislative programme requires 60 votes to advance.

He warned that the party’s electoral gains could erode if voters saw little action. Schumer has declined to say whether he would seek to eliminate the filibuster, telling The Associated Press that the priority must be “getting things done”.

Progressive lawmakers also want the agenda to extend beyond reversing Trump’s policies.

In a memo to Congressional Progressive Caucus colleagues, Texas Representative Greg Casar urged Democrats to confront corporate practices, including the use of personal data to tailor prices and the risks he associates with AI companies.

Casar argued that challenging large corporations and billionaires would allow Democrats to demonstrate a commitment to workers and consumers alongside their opposition to the administration.

With PTI inputs