(AURN News) — The U.S. budget deficit totaled $1.8 trillion for fiscal year 2025, according to new estimates from the nonpartisan Congressional Budget Office. While that’s a slight 4% drop from last year’s shortfall, it still ranks among the largest peacetime deficits in U.S. history.
Revenues rose about 6% on higher income and customs tax collections, but federal spending climbed nearly as fast — up $301 billion — driven by major benefit programs and the rising cost of interest on the national debt.
The CBO says that if not for a timing quirk in certain payments last year, the deficit would have been $80 billion lower. The $1.8 trillion gap may be smaller on paper but larger in consequence, with debt payments now consuming more than the nation spends on education and veterans combined.
