Recent federal spending cuts under President Donald Trump could shrink Illinois’ economy by nearly $10 billion a year, according to a new report from the Illinois Economic Policy Institute.
Researchers say the cuts could cost the state more than 86,000 jobs by 2029 and reduce state revenues by over $500 million annually. Major impacts include changes to Medicaid, food assistance, clean energy projects, and frozen transit funding in the Chicago area.
The report warns that state and local governments will not be able to fully offset the losses without finding new revenue sources.
