US Shutdown 2025 LIVE Updates: The US government shut down at midnight after Congress failed to agree on a funding deal, with Republicans and Democrats clashing over extra subsidies for Obamacare. Federal workers are the most affected, as layoffs are expected soon, though essential services will continue. Senators have left Washington until Friday, so the shutdown will last at least that long, and possibly even longer. President Donald Trump had earlier warned that he could use the funding lapse to carry out mass layoffs of federal workers.

Federal layoffs ‘imminent’

Office of Management and Budget Director Russell Vought informed House Republicans that the government would start laying off federal employees within “one to two” days. White House press secretary Karoline Leavitt also told reporters that the firings were “imminent,” blaming Democrats for the shutdown.

Democrats vs Republicans deadlock

The deadlock centers on healthcare spending, particularly continued funding for the Affordable Care Act (Obamacare). Republicans insist they are willing to address healthcare concerns but accuse Democrats of “holding the budget hostage.” Democrats, in turn, blame the administration for using public services and salaries as bargaining chips.

Republicans insist they are willing to address healthcare concerns but accuse Democrats of “holding the budget hostage.” Democrats, in turn, blame the administration for using public services and salaries as bargaining chips.

Follow us for full live coverage on US Government Shutdown here:

Live Updates

US Government Shutdown Live Updates: 

17:02 (IST) 1 Oct 2025

US Government Shutdown Live Updates: Shutdown clock on White House website

The White House, meanwhile, wasted no time in assigning blame, launching a shutdown countdown clock on its website. Before the clock, a statement reads, “Democrats have shut down the Government.” When clicked, the text redirects to another page which has the list of departments to be impacted due to the shutdown and says, “Americans don’t agree with Democrats’ actions.”

16:54 (IST) 1 Oct 2025

US Government Shutdown Live Updates: US wakes up to federal govt shutdown

Washington is bracing for a government shutdown after the Senate failed to pass a Democratic-backed funding proposal. The bill, aimed at keeping the government running, fell short in a 55–45 vote, triggering a midnight deadline crisis.

Senate Minority Leader Chuck Schumer said Democrats remain ready to negotiate a “truly bipartisan agreement” to avert the shutdown. Tensions between the two parties remain high.