Democrats have pledged to make affordability a central focus of their legislative agenda following recent election successes, but they face significant hurdles, including the potential for presidential vetoes and the expiration of Republican tax cuts.
"We ran on affordability, we won on affordability, and now it's our job to govern on affordability," said House Democratic leader Hakeem Jeffries. Business owners across the country expressed a desire for economic stability and relief from rising costs.
Kim Hanks, owner of a hotel, restaurant, and spa business near Austin, Texas, cited rising grocery and fuel expenses as drivers for wage increases for her 300 employees. In Indiana, Danny Reynolds, who operates a clothing and bridalwear store, called for greater cooperation in Washington to achieve consistency.
While Democrats now control Congress, President Donald Trump retains the power to block their initiatives. Trump indicated a willingness to cooperate with Democrats on various issues, including healthcare. One potential scenario discussed involves Democrats agreeing to extend Republican tax cuts in exchange for restoring health insurance subsidies, though this deal is not expected until late 2027.
Democrats also plan to scrutinize companies that have passed tariff costs onto consumers. Henrietta Treyz of Veda Partners noted that Democrats will question businesses about their use of tariff rebates and what they received in return. Senator Ron Wyden, who is expected to chair the Finance Committee, emphasized a strategy of "affordability for us, accountability for them," aiming to use congressional authority to hold insurers, drugmakers, and banks accountable.
Significant changes related to affordability could also occur at the state and local levels. Governors and regulators influence electricity prices, while local authorities determine housing development. Democrats have secured governorships in states like Texas, Ohio, and Georgia, where rising electricity costs for data centers are already a concern.