Last week, the US House of Representatives narrowly passed a major tax and spending package championed by President Donald Trump. Dubbed the “big, beautiful bill” by Trump himself, the legislation combines multi-trillion-dollar tax breaks with a significant boost to defence spending and funding for mass deportations.But one of Trump’s most prominent backers, Elon Musk, is now publicly opposing it — raising questions about a growing rift within the Republican leadership.Here’s what you need to know.
What is the ‘big, beautiful bill’?
The bill is one of Trump’s top legislative priorities. Key provisions include:
- Extension of 2017 tax cuts: These were originally passed during Trump’s first term and are set to expire unless renewed.
- Increased defence spending: Billions have been allocated to expand the US military budget.
- Funding for immigration enforcement: A major chunk is earmarked for Trump’s proposed
mass deportation efforts.
The bill passed the House in a tight vote and is now awaiting consideration in the Senate.
Why is Elon Musk unhappy?
In an interview with CBS’s Sunday Morning, Musk expressed “disappointment” with the bill, saying it “undermines the work that the DOGE team is doing.” DOGE refers to the Department of Government Efficiency, an informal cost-cutting advisory group Musk had been leading.His primary concern is fiscal responsibility. “It increases the budget deficit, not decreases it,” Musk said — pointing to projections that the bill could widen the federal deficit by roughly $600 billion in the next fiscal year.Musk added: “I think a bill can be big or beautiful. I don’t know if it can be both.”
What is Musk’s role in government policy?
Although not a formal government official, Musk was recruited by Trump to lead cost-cutting efforts across the federal bureaucracy. Under the DOGE initiative, Musk:
- Advocated ending foreign aid programmes
- Oversaw significant layoffs in federal departments
- Pushed for slashing discretionary spending
These actions were highly controversial. While Trump allies praised Musk for trimming “waste and fraud,” critics said the measures harmed diplomatic programmes and public sector jobs.Is this a sign of a break between Musk and Trump?Possibly. Musk played a key role in Trump’s 2024 comeback, donating over $250 million to Republican-aligned groups. But recent weeks have seen a shift.
- Musk has announced he’ll be stepping back from political spending.
- He’s reaffirmed his commitment to Tesla, where he plans to remain CEO for at least five more years.
- He has also begun distancing himself from DOGE, signalling a retreat from direct political involvement.
- His criticism of the spending bill is the clearest indication yet of a potential falling out between Musk and Trump.
How has the public reacted?
The backlash against Musk has already been evident. Tesla faced boycotts, protests, and a drop in sales over Musk’s association with the Trump administration and the cost-cutting programme.While Musk defended his actions — “I did what needed to be done” — public opinion remains divided, especially among younger and progressive Tesla customers.
What happens next?
The bill now moves to the US Senate, where it is likely to face further scrutiny — not just from Democrats, but also from fiscally conservative Republicans who share Musk’s concerns.If Musk’s criticism galvanises more GOP opposition, the bill’s future may become uncertain.Either way, his remarks mark a significant moment in the evolving relationship between tech billionaires and American political power — and could redefine Musk’s influence in Washington going forward.