00:00Let's start in the U.S. where the government has shut down for the first time in almost seven years
00:05after lawmakers failed to pass a last-ditch funding plan.
00:09This means that many non-essential government services will grind to a halt.
00:14Live pictures coming to us of course from Capitol Hill.
00:16It's just after 7 in the morning Eastern Time.
00:19But in the Senate on Tuesday, Democrats rejected a Republican plan to extend the federal government
00:25for at least another seven weeks.
00:27They demanded a reverse to health care cuts in return for their support.
00:32Shutdowns in the U.S. are not that unusual, but there is a big difference this time around.
00:37President Trump has threatened to use the shutdown to bring in a wave of mass and irreversible firings
00:43of thousands of federal workers.
00:46We can do things during the shutdown that are irreversible, that are bad for them and irreversible by them.
00:53Like cutting vast numbers of people out, cutting things that they like, cutting programs that they like.
00:59So they're taking a risk by having a shutdown.
01:01Because of the shutdown, we can do things medically and other ways, including benefits.
01:08We can cut large numbers of people out.
01:11We don't want to do that, but we don't want fraud, waste and abuse.
01:15Well, this is the first federal government shutdown for nearly seven years.
01:19So what does it mean for government workers and which services could be affected?
01:24BBC Verify's Nick Beak has been looking at the potential impact.
01:27What will we see now there's a U.S. government shutdown?
01:30The short answer is we don't know for sure, but we can build a picture based on previous federal shutdowns.
01:37What generally happens is that government workers who are deemed non-essential are put on temporary unpaid leave and normally paid later.
01:45This could affect services including federally funded preschools, the student loans department, programs to help low-income families get food.
01:55National parks and museums could shut, and approval of new benefit payments may stop.
02:01It's worth pointing out government services often get funding from different sources, and so closures may be staggered.
02:09In the past, some vital services have not come to a halt and are expected to continue.
02:15Medical care in hospitals, border protection, law enforcement and air traffic control are expected to carry on, with employees being paid later.
02:25Active duty military members generally keep on working.
02:28And social security and disability payments would still be sent out.
02:33ICE operations are likely to be deemed essential by the president, given his crackdown on illegal immigration, a big priority in his second term.
02:42The Trump administration, initially with Elon Musk at the forefront, has spent the last nine months drastically cutting parts of the national government.
02:51And the White House has suggested it could use this shutdown to cut many more jobs permanently.
02:57So how often do government shutdowns happen?
03:00There have been quite a few over the past 50 years.
03:03Most were only a matter of days.
03:05Although in 1995, under President Clinton, it went on for 21 days.
03:10In 2013, under President Obama, 16 days.
03:14And in December 2018, in Trump's first term, the longest shutdown so far began, lasting 35 days.
03:21So how long could this shutdown last?
03:24We simply don't know.
03:25The Republicans and Democrats seem miles apart.
03:29And the disagreements are increasingly bitter.
03:31All Americans are going to feel some impact because, whether they realize it or not, there are certain government services and government activities that are affecting your day-to-day lives.
03:41The last shutdown ended after long lines at airports, caused by air traffic controllers and security staff calling in sick, became a symbol of a country paralysed.
03:52A similar impact this time will increase pressure to do a deal.
03:57That was Nick Beek there.
03:59Let's take you to New York and join CBS correspondent Naomi Ruckham, who is covering this story for us.
04:04Naomi, can I ask you about the politics of all of this?
04:07Are we essentially now looking at a bit of a standoff here, a stare-off in a way?
04:14Lucy, good to be with you.
04:15It certainly seems so.
04:16Democrats are calling for a deal on health care provisions, which they say cannot wait.
04:22But top Republicans say they won't negotiate until the government reopens.
04:26So it's the usual blame game we often see in Washington this morning, while hundreds of thousands of jobs hang in the balance.
04:33All night long, lawmakers on both sides have been posting on social media, saying the other side is responsible.
04:40The White House, for example, was quick to point the finger at the Democrats, posting an image on X shortly after midnight, calling it a Democrat shutdown.
04:48Meantime, former vice president and Democratic presidential nominee Kamala Harris pinned the blame directly on the GOP, saying Republicans are in charge of the White House, the House and the Senate.
04:59This is their shutdown.
05:01Lucy?
05:02Well, as we've mentioned, this is not the first time the U.S. government implemented a shutdown.
05:06In 2018, President Trump partially shut the government down for 34 days, making it the longest in U.S. history.
05:13As we know, Naomi, it cost the U.S. government an estimated $18 billion.
05:18That's according to the Congressional Budget Office.
05:21The same body now estimate this current shutdown could cost the U.S. economy $400 million a day.
05:27Take us through what the broader concerns are from people about the impact on the economy, Naomi.
05:32Well, Lucy, the longer the shutdown goes on, the bigger the impact on the broader economy.
05:37Here's some good news.
05:39The 74 million Americans who collect Social Security will keep getting their monthly checks.
05:44So that's good for consumer spending.
05:46But some services could be disrupted.
05:49And that means Wall Street is watching closely.
05:51Dow futures already dropped 200 points this morning.
05:54The shutdown could force the U.S. Labor Department to stop releasing crucial economic data, like Friday's anticipated monthly jobs report.
06:02And without that kind of data, investors will have to rely on other, less reliable information.
06:08That means they might take more conservative positions because of the anticipated volatility.
06:13And that kind of delay for such an important report could also cause confusion and more questions about what the Federal Reserve might announce regarding interest rates.
06:24Worth noting, though, members of Congress and the President will continue to receive their paychecks during the shutdown.
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