U.S. Budget Hole Set to Deepen by Trillions
February 11th, 2026Via: Wall Street Journal:
The U.S. budget deficit will remain roughly flat for the next two years and then widen over the next decade as interest costs consume an increasing share of spending, the Congressional Budget Office said Wednesday in a forecast that highlighted the country’s long-run fiscal challenges.
The U.S. is projected to run a deficit of $1.85 trillion, or 5.8% of gross domestic product, in the year that ends Sept. 30, and then stay about level at 5.7% of GDP in fiscal 2027. For every $1 the U.S. collects in taxes and tariffs, it will spend $1.33 this year. That continues a trend of high and persistent deficits that is historically rare outside of emergencies, wars and recessions.
