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Tesla proposed $1 trillion pay package for Musk faces investor push back | Automotive Industry News

The electric carmaker had unveiled chief Elon Musk’s proposed $1 trillion compensation plan in September.

Tesla’s proposed $1 trillion pay package for CEO Elon Musk has come under renewed scrutiny after proxy adviser Institutional Shareholder Services (ISS) urged investors to vote against what could be the largest compensation plan ever awarded to a company chief.

ISS’s comments on Friday marks the second consecutive year that it has urged shareholders to reject a compensation plan for Musk.

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Proxy advisers often sway major institutional investors, including the passive funds that hold large stakes in Tesla.

The ISS recommendation adds pressure on Tesla’s board before a closely watched November 6 shareholder meeting and renews scrutiny of Musk’s compensation after a Delaware court earlier voided his $56bn pay package.

Musk’s record Tesla pay plan could still hand him tens of billions of dollars even if he falls short of most of its ambitious targets, however, thanks to a structure that rewards partial achievement and soaring share prices.

Last month, Tesla’s board proposed a $1 trillion compensation plan for Musk in what it described as the largest corporate pay package in history, setting ambitious performance targets and aiming to address his push for greater control over the company.

ISS said that while the board’s goal was to retain Musk because of his “track record and vision”, the 2025 pay package “locks in extraordinarily high pay opportunities over the next ten years” and “reduces the board’s ability to meaningfully adjust future pay levels.”

Tesla’s shares rose after the compensation plan was unveiled last month, as investors believe the pay package would incentivise Musk to focus on the company’s strategy.

“Many people come to Tesla to specifically work with Elon, so we recognise that retaining and incentivising him will, in the long run, help us retain and recruit better talent,” Director Kathleen Wilson-Thompson said in a video posted to Tesla’s X handle on Friday.

Unlike the 2018 pay deal, Musk will be allowed to vote using his shares this time, giving him about 13.5 percent of Tesla’s voting power, according to a securities filing last month. That stake alone could be enough to secure approval.

The proxy adviser cited the “astronomical” size of the proposed grant, design features that could deliver very high payouts for partial goal achievement and potential dilution for existing investors.

Tesla did not immediately respond to a request for comment from the Reuters news agency.

ISS valued the stock-based award at $104bn, higher than Tesla’s own estimate of $87.8bn.

The grant would vest only if Tesla reaches market capitalisation milestones up to $8.5 trillion and operational targets, including delivery of 20 million vehicles, one million robotaxis and $400bn in adjusted core earnings.

The proxy adviser’s guidance on Musk’s pay was part of a wider set of voting recommendations issued on Friday.

As of 3:45pm in New York (19:45 GMT), Tesla’s stock was up 2.4 percent.

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Newsom signs California climate package aimed at lowering gas and utility costs

Gov. Gavin Newsom on Friday signed a sweeping package of climate and environment bills aimed at reducing the cost of electricity, stabilizing gasoline prices and propping up California’s struggling oil industry.

At a bill signing ceremony at the California Academy of Sciences in San Francisco, Newsom told state lawmakers and representatives from labor, business, climate and energy groups that the package was a compromise, designed to push California toward a clean-energy future while still ensuring the state has enough affordable gasoline to meet drivers’ needs.

“Everybody recognized this moment and worked together across their differences, which were not insignificant,” Newsom said.

The bills signed into law include an extension of the state’s nation-leading cap-and-trade program through 2045. The program, rebranded as cap-and-invest, limits greenhouse gas emissions and raises billions for the state’s climate priorities by allowing large polluters to buy and sell their unused emission allowances at quarterly auctions.

The cap-and-invest program should funnel up to $60 billion through 2045 into lowering utility bill costs for California households and small businesses during months when prices spike, officials said. Another $20 billion will go toward the state’s trudging high-speed rail project, and $12 billion to public transit.

California’s greenhouse gas emissions have fallen 20% since 2000, while the state’s gross domestic product increased 78% over the same time period, Newsom’s office said.

The most controversial bill in the package was SB 237, which will allow oil and gas companies to drill up to 2,000 new wells per year through 2036 in Kern County, the heart of California oil country. The bill effectively circumvents a decade of legal challenges by environmental groups seeking to stymie drilling in the county that produces about three-fourths of the state’s crude oil.

Some environmentalists fumed over that trade-off, as well as over a provision that will allow the governor to suspend the state’s summer-blend gasoline fuel standards — which reduce emissions but drive up costs at the pump — if prices spike for more than 30 days or if it seems likely that they will.

That bill was introduced as part of an effort to stabilize volatile gas prices as Valero and Phillips 66 prepare to close refineries in the San Francisco Bay Area and Los Angeles County’s South Bay that represented an estimated 20% of the state’s refining capac ity.

Environmental groups said the bills still represent progress, particularly as the Trump administration and the Republican-led Congress step away from clean energy policy.

“D.C. has not led,” said Katelyn Roedner Sutter, the California state director for the Environmental Defense Fund. “California will.”

Through AB 825, California is also laying the groundwork for an electricity market among Western states. The bill is designed to make it easier to share solar and wind power across state lines, meaning California can export excess solar energy while importing wind energy from gustier places like New Mexico and Wyoming.

“Today is a big win for the Golden State,” said state Senate President Pro Tem Mike McGuire (D-Healdsburg). “If you pay utility bills and you want them lower, you win. If you drive a car and hate gas price spikes, you win. If you want clean drinking water, you win. If you want to breathe clean air, you win today. It’s a pretty big winner’s circle.”

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Tesla to offer Elon Musk pay package worth nearly $1 trillion

Sept. 5 (UPI) — Tesla is preparing to offer Elon Musk a new pay and incentives plan that would give him more control, more shares and up to nearly $1 trillion in compensation.

Musk is already the world’s wealthiest person, and this new plan is worth about $975 billion.

In order to cash in on the full amount, Musk would have to multiply Tesla’s stock value by eight times over the next decade. All of his compensation would be in Tesla shares. Stockholders will vote on the package at a Nov. 6 annual shareholders’ meeting. Tesla also said in the filing Friday that it will ask shareholders to vote on whether to invest in Musk’s new xAI.

“Retaining and incentivizing Elon is fundamental to Tesla achieving these goals and becoming the most valuable company in history,” Robyn Denholm, chair of the Tesla board, and Kathleen Wilson-Thompson, a director on the board, said in a letter to shareholders.

Musk’s net worth is more than $400 billion, according to Forbes. This compensation plan would add around $900 billion. If he raises Tesla’s stock value from $1.1 trillion to $8.5 trillion, it would be the highest compensation in history.

He would also have to stay at Tesla for 7.5 years to cash in his shares, and 10 years to get the full amount. He would also have to deploy 1 million autonomous taxis and humanoid robots, plus see a more than 24-fold increase in profits.

“If he performs, if he hits the super ambitious milestones that are in the plan then he gets equity — it’s 1% for each half a trillion dollars of market cap, plus operational milestones he has to hit in order to do that,” Denholm said on CNBC’s Squawk Box.

As companies around the world work to create electric cars, self-driving cars and robots, these milestones will be an enormous challenge.

Many shareholders are disillusioned with Musk over his recent performance. Tesla has seen profits slow in the past year as his behavior and his foray into politics hurt the company’s stock prices.

In January, a Delaware Chancery Court judge ruled against Musk’s 2018 compensation package and ordered him to return what he’d already earned from it.

Each of the 96 million shares received in the deal trades at just over $300. Musk would have to pay $23.34 for each of those shares, equal to the amount he was expected to pay when he was first awarded his 2018 compensation package. Tesla is appealing the ruling.

In early August, ​​Tesla’s board gave Musk a $29 billion pay package.

The new package was a “good faith” award designed to keep Musk at the helm of the company.

It would give him 96 million shares of the company that he could take after two years of service in a “senior leadership role” at Tesla. Musk hinted last month that he wanted more ownership at Tesla beyond his 13% stake to prevent his ouster by “activist” shareholders.

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Mexico to suspend package shipments to US as tariff exemption set to expire | Trade War News

US tariff exemption on packages worth $800 or less due to end this week.

Mexico says it will suspend package shipments to the United States before the end of a tariff exemption for small-value packages.

The announcement on Wednesday follows similar moves by postal services from several European countries, including Germany, Denmark, Sweden, Italy, and the United Kingdom, as they await  further details from the US government.

The “de minimis” exemption has allowed packages worth less than $800 to enter the US tariff-free since 2016, but the loophole is set to expire on Friday.

The change is expected to dent the business of Chinese e-commerce platforms like Shein and Temu – which have evaded US tariffs by mailing directly to customers – but it has also created confusion for other US trade partners. Mexico said it will suspend shipments pending more details from Washington about new duties.

“Mexico continues its dialogue with US authorities and international postal organisations to define mechanisms that will allow for the orderly resumption of services, providing certainty to users and avoiding setbacks in the delivery of goods,” the government said.

Shipping giant DHL said “key questions remain unresolved, particularly regarding how and by whom customs duties will be collected in the future, what additional data will be required, and how the data transmission to the US Customs and Border Protection will be carried out.”

The White House announced plans to suspend the de minimis exemption for all countries on July 30, as part of US President Donald Trump’s wider trade war.

The exemption was previously suspended for China, Hong Kong, Mexico, and Canada due to concerns about the flow of fentanyl and other drugs over the US border.

A White House Fact Sheet released on July 30 said two schemes may be used to calculate tariffs for small packages.

The first is calculated based on the value of the package, while the second scheme sets a tariff of $80 to $200 per item.

Both rates are based on the blanket tariff set by the Trump administration for most US trade partners in August, ranging from 10 to 40 percent.

The White House has also imposed tariffs on individual sectors, such as semiconductors, steel and aluminium, vehicles and auto parts.

Mexico is still negotiating its tariff rate with the US, and has pledged to raise tariffs on Chinese goods and take tougher measures against drug cartels to secure a deal with Trump. Some goods, however, will still be covered by the 2020 free trade US-Mexico-Canada Agreement.

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I saved over £1000 on a package holiday going DIY – break was so cheap I booked family Disney trip with cash I’d saved

SOME people enjoy netball or cross-stitch, but my hobby is booking holidays – and I’m really good at it.

I know a lot of people hate searching for a family holiday, working out what resort is best and whether it’s good value for money, but I enjoy it and it can save you A LOT of money.

Helen Wright and her family on a beach.

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Helen says family holidays are her favourite hobby.

I treat it like a sport, and as a family of four, with two children aged 8 and 5, we have been on some brilliant budget breaks.

There is no better feeling than getting a really great deal for a week in the sun, and I’ve got some great tips to help you do the same.

I go through the flights, hotels and dates with a fine-tooth comb, working out little ways to save. 

It’s even easier to do this at the end of the school holidays or in the shoulder season, such as the October half term, because there are some great deals around.

I have been doing this since my early 20s, after picking up the habit from my dad – back then, the best bargains were on last-minute deals.

We used to pack our suitcases, and my dad would be on the phone to Teletext Holidays, nabbing a same-day bargain. 

His greatest achievement was booking a flight that had already started boarding. Although we’d never be able to do that now. 

However, it’s still a thrill when you lock in a trip for a bargain price. It makes the holiday instantly better. 

Sometimes it’s a small saving, like finding a cheaper airport transfer and saving £20, but sometimes my research pays off, saving hundreds, and nowadays it all adds up. 

Getting a package deal

Last year, I got my biggest saving yet on a family holiday to Greece. 

The Peloponnese penninsula – an underrated Greek holiday destination

By booking everything individually, instead of going for a package deal, I saved over £1000 – which was a third of the price. 

I couldn’t believe it!

Having just moved house, we hadn’t booked anything for the summer, hoping to utilise the garden. 

But the end of term was approaching, and after months of grey skies and drizzle, I decided we needed a proper holiday. 

Two children riding an inflatable crocodile in a pool, with a man watching.

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Dad, Simon, on pool duty with the kidsCredit: Helen Wright
Oceanfront resort pool with lounge chairs and umbrellas.

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The best deals were in Greece.Credit: Louis Apostolata Island Resort

Heading first to a popular holiday provider, I browsed the best deals across all six weeks of the kids’ school break. 

I didn’t have a set departure airport or destination in mind, and I kept the dates and length of time we’d be away flexible, which meant I had a wide range to choose from. 

At the time, Greece was coming up as the cheapest, and I narrowed it down to the Louis Apostolata Island Resort in Kefalonia.

The deal was pretty good. Flights from London, a week’s half-board in a four-star resort, a suitcase each and transfers to and from the airport in Greece for £3400.

But, since we hadn’t planned on a summer holiday, it was still over budget. 

That’s when I started looking into each aspect separately. I discovered that instead of flying with the designated airline, we could fly with Ryanair for half the cost. 

Flights were £140 return on the budget airline.

Since we didn’t need four suitcases, we just booked one between us for the week, immediately saving another £150 on the Ryanair flights. 

Going onto the hotel’s own website, I noticed that I could book directly with them, and the price was coming up a lot less.

They also had an offer on a room upgrade if you signed up for the mailing list. We actually ended up with a nicer room while paying less. 

Resort pool and buildings reflected in the water.

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Louis Apostolata had a great dealCredit: Louis Apostolata Island Resort
Family in front of Sleeping Beauty Castle at Disneyland Paris.

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Helen’s family ended up getting two trips for almost the same amountCredit: Helen Wright

The only thing that wasn’t covered was transfers. On the package deal, a coach transfer was included, but it also stopped at a number of other hotels. 

When I looked it up, a taxi to the resort was only £80 return. 

However, even with this on top, we still saved a whopping £1001 on the whole trip, which in total cost £2300.  

We used the money we saved to book a weekend in Disneyland Paris in October.

Again, I booked everything separately, using the Eurotunnel to drive to France and booking a hotel close to the theme park with 2-day tickets for just £440 for all of us. 

Our trip only cost £1300. 

After saving money on our Greece trip, I told people that Disneyland only cost us £300! 

Book carefully

My advice would be to always book with reputable suppliers, because you could end up forking out more if they are not legitimate. 

If the price seems too good to be true, it probably is. 

I do like DIY holidays, but I am not against booking a package deal, and sometimes they are so good, I can’t beat them.

Our favourite places to shop for a package holiday are Jet2holidays and TUI.

Booking a package means you get extra protection for your holiday through regulators like ABTA, ATOL and ABTOT. 

This means you’ll get your money back on all aspects of the package in the event of any holiday disasters, like flight cancellations or issues at the hotel – which I wouldn’t have had with my DIY version.  

For peace of mind, some people prefer to pay extra and not have to think about that, but massive holiday disasters are rare so I am happy to take the risk. 

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European postal services suspend shipment of packages to U.S. over import tariffs

The end of an exemption on tariff duties for low-value packages coming into the United States is causing multiple international postal services to pause shipping to the U.S. as they await more clarity on the rule.

The exemption, known as the “de minimis” exemption, allows packages worth less than $800 to come into the U.S. duty-free. A total of 1.36 billion packages were sent in 2024 under this exemption, for goods worth $64.6 billion, according to data from the U.S. Customs and Border Patrol Agency.

It is set to expire Friday. On Saturday, postal services around Europe announced that they are suspending the shipment of many packages to the United States amid confusion over new import duties.

Postal services in Germany, Denmark, Sweden and Italy said they will stop shipping most merchandise to the U.S. effective immediately. France and Austria will follow Monday.

The U.K.’s Royal Mail said it would halt shipments to the U.S. on Tuesday to allow time for those packages to arrive before duties kick in. Items originating in the U.K. worth over $100 — including gifts to friends and family — will incur a 10% duty, it said.

“Key questions remain unresolved, particularly regarding how and by whom customs duties will be collected in the future, what additional data will be required, and how the data transmission to the U.S. Customs and Border Protection will be carried out,” DHL, the largest shipping provider in Europe, said in a statement.

The company said that starting Saturday it “will no longer be able to accept and transport parcels and postal items containing goods from business customers destined for the U.S.”

A trade framework agreed on by the U.S. and the European Union last month set a 15% tariff on the vast majority of products shipped from the EU. Packages under $800 will now also be subject to the tariff.

The U.S. duty-free exemption for goods originating from China ended in May as part of the Trump administration’s efforts to curb American shoppers from ordering low-value Chinese goods. The exemption is being extended to shipments from around the world.

Many European postal services say they are pausing deliveries now because they cannot guarantee the goods will enter the U.S. before Aug. 29. They cite ambiguity about what kind of goods are covered by the new rules, and the lack of time to process their implications.

Postnord, the Nordic logistics company, and Italy’s postal service announced similar suspensions effective Saturday.

“In the absence of different instructions from US authorities … Poste Italiane will be forced, like other European postal operators, to temporarily suspend acceptance of all shipments containing goods destined for the United States, starting August 23. Mail shipments not containing merchandise will continue to be accepted,” Poste Italiane said in a statement Friday.

Shipping by services such as DHL Express remains possible, it added.

Bjorn Bergman, head of PostNord’s Group Brand and Communication, said the pause was “unfortunate but necessary to ensure full compliance of the newly implemented rules.”

In the Netherlands, PostNL spokesperson Wout Witteveen said the Trump administration is pressing ahead with the new duties despite U.S. authorities lacking a system to collect them. He said that PostNL is working closely with its U.S. counterparts to find a solution.

“If you have something to send to America, you should do it today,” Witteveen told the Associated Press.

Austrian Post, Austria’s leading logistics and postal service provider, stated that the last acceptance of commercial shipments to the U.S., including Puerto Rico, will take place Tuesday.

France’s national postal service, La Poste, said the U.S. did not provide full details or allow enough time for the French postal service to prepare for new customs procedures.

″Despite discussions with U.S. customs services, no time was provided to postal operators to re-organize and assure the necessary computer updates to conform to the new rules,″ it said in a statement.

PostEurop, an association of 51 European public postal operators, said that if no solution can be found by Aug. 29, all its members will probably follow suit.

Nellas and Anderson write for the Associated Press and reported from Athens and New York, respectively. AP writers Angela Charlton in Paris; Costas Kantouris in Thessaloniki, Greece; Stephanie Lichtenstein in Vienna; Brian Melley in London and Molly Quell in Amsterdam contributed to this report.

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US State Department approves $4.7bn surface-to-air missile package to Egypt | Weapons News

The package includes radar systems, hundreds of missiles and logistical and engineering support from US personnel.

The US State Department has approved the potential sale of a surface-to-air missile package worth $4.67bn to the government of Egypt, the Pentagon has announced.

In a statement on Thursday, the Defense Security Cooperation Agency said it had agreed to a “possible Foreign Military Sale” of a National Advanced Surface-to-Air Missile System (NASAMS) package, including four AN/MPQ-64 Sentinel radar systems, hundreds of missiles, and dozens of guidance units.

NASAMS is a US- and Norwegian-developed air defence system designed to engage hostile aircraft, aerial drones, and cruise missiles.

US government employees and contractors will also provide engineering, technical and logistics support services to the Egyptian military as part of the potential deal.

“This proposed sale will support the foreign policy goals and national security objectives of the United States by improving the security of a major non-NATO ally that is a force for political stability and economic progress in the Middle East,” the Defense Security Cooperation Agency statement said, referring to Egypt.

The prime contractor will be a US multinational aerospace and defence conglomerate, RTX Corporation, located in the state of Massachusetts.

The defence agency said that it had already “delivered the required certification notifying Congress of this possible sale”.

If approved, about 26 US government employees and 34 contractors will travel to Egypt for an “extended period” in order to provide training and technical and logistics support.

Cairo, a longstanding US ally in the Middle East, has received generous defence funding from Washington since it signed a peace treaty with Israel in 1979.

But there have been indications of warming ties between Egypt and China in recent years, including the countries’ first-ever joint military drills, hosted in April and May this year.

Called the “Eagles of Civilization 2025”, the countries’ air forces conducted two weeks of training, which the Egyptian military described as part of “broader efforts to deepen defence ties with China and strengthen joint military capabilities”.

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These are Europe’s cheapest places for family holidays this summer – package breaks in stunning locations from £282

NEED a holiday this summer but outrageous prices putting you off? We’ve crunched the numbers to find the cheapest locations for family holidays across Europe.

All-inclusive family package holidays from the UK have jumped in price for some of the most popular destinations among Brits, including Spain, Cyprus and Greece.

Sozopol, Bulgaria: Ancient walls of Apollonia overlooking the Black Sea.

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We’ve gone to the UK’s top tour operators to find Europe’s cheapest sports for a family holiday this summer, from Kos in Greece to Sozopul in Bulgaria (pictured)Credit: Getty

However, some holiday hotspots in these countries still have some great deals, if you know where to look.

TUI, Jet2, Travel Supermarket and Love Holidays all gave us the inside knowledge on their most affordable destinations still on sale for summer 2025.

Because where you go in Europe can make a big difference to how much you spend.

These are the cheapest destinations in Europe for a holiday this summer 2025 (All package prices are for two adults and two children and include return flights from the UK).

Sozopol, Bulgaria

Sozopol is a top pick for budget-conscious Brits who want a break in the sun without a big price tag. 

As well as a beautiful old town dotted with cute and cheap cafes and shops, Sozopol has one of the most beautiful beaches in Bulgaria

Our Bulgaria expert, Pavlena Todorova, recommends Central Beach in Sozopol over the more famous Sunny Beach in Bulgaria.

This sweeping bay is rich in golden sand and has beautiful, calm blue water that is perfect for swimming. 

Central Beach, as well as Sozopol itself, is also less busy than the capital Sofia and its popular beaches.

Plus, the beach bars and cafes along the sand are slightly cheaper and you’ll find it easier to get a table overlooking the sea. 

Beach Bar, Sparrow, has a shady terrace on the sand and you can get a beer for £2.50 and chicken and chips for £6.

Book with: travelsupermarket.com for seven nights bed and breakfast, staying at the 3-star Flagman Hotel, with flights on Jet2 from Birmingham, £399 per person.

Kos, Greece

Ruins of St. Stefanos church on Kos island, Greece.

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Historic St.Stefanos ancient church ruins on Kos islandCredit: Getty

Kos has always had a quiet reputation for being one of the lesser crowded, more affordable of the Greek islands. 

You are spoiled for choice here with brilliant blue waters, sandy beaches and quiet coves, where if you go at the right time of day, you could be the only person on the beach.

Rent a small speedboat for £50 a day and explore the harder to reach beaches, or just take it a mile off the shore and spend the day sunbathing or and jumping off the boat into the crystal clear sea to get cool.

For dinner, one of the many local restaurants in Kos Town will have you filling your boots with gyros wraps, hummus and chips for only £5.

A cold glass of wine to wash it all down is around £4 at most places. 

Sunsets are free and stunning, especially when viewed from a table on the beach.

Book with: jet2holidays.com for seven nights at Anastasia Apartments self catering, with return flights from East Midlands Airport, including 22kg checked luggage per passenger, for £438pp.

Paphos, Cyprus

Coastal vista of the Baths of Aphrodite Beach in Cyprus.

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The coastlne in Paphos, Cyprus is stunning and affordable for families on a budgetCredit: Getty

Paphos is a top budget destination if you want a mix of sunbathing and sightseeing. 

The coastline is packed with stunning Blue Flag beaches, and spacious sandy stretches all along the coast.

There is a range of hotels in every price range, from 2* self-catering apartments where you can get terrific deals, to luxury villas and 5* star hotels. 

If you want to spend time exploring, many of Paphos’ main attractions are within walking distance of the harbour.

Ask if your hotel has a shuttle to get you there, the rest can be explored on foot.

This includes the UNESCO World Heritage Site, Kato Paphos Archaeological Park, which has some of the Mediterranean’s best-preserved mosaics and Paphos Old Town, which mixes ancient buildings and streets with modern additions better than most classic cities. 

You have to go to Pinguino on the harbour for breakfast. A full English or a huge pile of pancakes is only £5 and we guarantee you won’t need lunch that day.

Book with: travelsupermarket.com seven nights at the Hilltop Gardens Hotel Apartments self catering, with return flights from London Stansted on Jet2, including 22kg checked baggage per passenger, for £282pp. This deal lands back in the UK on the 4th September, so if you have a few extra inset days at the end of the school holidays, take full advantage!

For a similar, mid-holiday package, departing on 25th July and staying at the Marion Apartments, in Paphos, it’s £339 with loveholidays.com.

Heraklion, Greece

Person standing near the ruins of the Minoan Palace of Knossos.

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Heraklion has a lot of historic sites but beautiful beaches and excellent value resorts are a short drive away.Credit: Getty

Crete is the largest of the Greek Islands. In the Heraklion area, you have a choice of different resorts, including Malia, Rethymnon and upmarket Elounda. 

Heraklion is the largest city in Crete and has an interesting history, including the 16th century Koules fortress on the old Venetian port and the striking fortification walls. 

The best deals for beach holidays in this area are just outside the city on the north coast.

There are a lot of resorts along the coastline, most look out onto the brilliant blue Aegean Sea.

The beaches close to Analipsi are the longest and sandiest. The rocky coastline here also makes this a great area for snorkelling. 

You will find there are lots of boat trips and guides offering tours at affordable prices.

Book with: loveholidays.com for seven nights self catering at the 3-star Kasapakis Hotel & Apartments and return flights from London Stansted, £339 per person.

Lanzarote, Canary Islands

Panoramic view of Playa Blanca beach in Lanzarote, Spain.

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Playa Blanca in Lanzarote is just one of the island’s beautiful budget beachesCredit: Getty

Lanzarote is one the best islands in the Canaries for families.

You are spoiled for choice with more than 100 beaches, many of which are Blue Flag standard with crystal clear water. 

Everything is on offer here, from paddleboarding to boat hire, paragliding and of course, paddling and swimming in the calm waters, which are ideal for younger children.

Plus, the weather here is almost guaranteed to be sunny and hot almost all year, so those who can travel outside of term time can get an even better deal.  

The beaches are framed by green hillsides that have hotels and residential homes nestled in cliffs. 

Deals on hotels from all the major holiday companies are very competitive with packages for as little as £200 per person for a week if you can travel outside of the school holidays. 

 And there are so many beachfront bars and restaurants, if you don’t get food with your hotel package, there is no end of offers to get you in.

Bottles of beer are £4 on the seafront but only £2 if you pick up a pack in the supermarket.

Book with: travelsupermarket.com for seven nights in the 4-star Sands Beach Resort and flights on Thomas Cook from Bournemouth, for £339pp.

Tips for booking bargain breaks in summer 2025

Budget-conscious ways to save money booking a holiday this summer

Go somewhere different.

You may have set your sights on the Costa del Sol but you may find much better deals for lesser-known beach places like Bulgaria and Poland. These destinations have beautiful beaches and low lifestyle costs, with beer as low as £2 a pint. 

Money talks.

To be really clever, choose destinations where the value of the pound is strong. This means more bang for your buck whether you are buying a beer and a sandwich or indulging in a serious shopping spree. This year, the weakest currencies against the GBP include Turkey, Bulgaria and Portugal. 

Staycation in the UK 

Staying on British soil means you don’t have to navigate the airport or pay extra for baggage, transfers or currency exchange. There are still some excellent deals going on UK holiday parks that have water slides, kids clubs and beaches on the doorstep. These can often work out less than overseas flights alone. See our round up of what holiday parks to book this summer here. 

Is all-inclusive always best?

If you are not a big drinker or eater or have fussy kids in the family, booking an all-inclusive might not be the best option for your group. So many resorts have self-catering packages too. You will get all the perks of the resort facilities, like kids clubs, evening entertainment and pools, but with a small kitchenette to make your own lunch and dinner and save big. 

Book very early… 

Some packages, such as with Jet2hoidays and TUI can be booked a year in advance and those willing to commit early can sometimes get some unbelievable discounts.

If you know when you want to travel, keep an eye out for prices on the destinations and resorts you want to book. They may go up and down in price throughout the year, depending on whether airlines and companies have a sale on. 

…or, last minute.

Alternatively, booking last minute can mean some fantastic final dash prices. See our list below for the cheapest places to holiday in Europe this summer. 

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EU approves 18th Russia sanctions package after Slovakia ends protest

July 18 (UPI) — The European Union on Friday reached an agreement to impose its 18th round of sanctions against Russia over its war in Ukraine after Slovakia ended its protest.

The package targets Russia’s so-called shadow fleet of ships as well as the energy and banking sectors. It also lowers the oil cap from $60 to $45 a barrel and prohibiting the EU from accessing Russian Nord Stream pipelines.

The EU is also, for the first time, sanctioning a flag registry and Russian oil company Rosneft’s largest refinery in India.

“We are standing firm,” the EU’s top diplomat, High Representative for Foreign Affairs and Security Policy Kaja Kallas, said in a statement.

“We will keep raising the costs, so stopping the aggression becomes the only path forward for Moscow.”

European Commission President Ursula von der Leyen celebrated its adoption online, saying with the new package, “We are striking at the heart of Russia’s war machine.”

“The pressure is on,” she said. “It will stay on until Putin ends this war.”

The EU has been hitting Russia with sanctions since it illegally annexed Crimea in 2014, but they have significantly ramped up since its invasion of Ukraine in February 2022. It has since blacklisted more than 2,400 people and entities with its 17 adopted packages, along with other punitive measures.

The 18th package was blocked for days by Slovakia, which was protesting a separate EU proposal to phase out all Russian fuel supplies by 2028. Slovakian President Robert Fico had requested an exemption to allow it to fulfill its contract with Russia’s Gazprom until it expires in 2034.

But he relinquished his request late Thursday in a video published to Facebook.

All 27 members of the bloc need to vote unanimously for the sanctions to be adopted.

“We welcome the European Union’s latest sanctions package and are grateful to all who have made it possible,” Yulia Svyrydenko, Ukraine’s new prime minister, said in a statement.

“By targeting the ships, the banks and the networks that sustain Russia’s war, this package strengthens the pressures where it counts. There is more to be done. But each measure taken with clarity and resolve helps bring Russia’ war closer to its end.”

Nearly 22,000 entities and individuals have been hit with sanctions over Russia’s war in Ukraine, according to sanctions analysis platform Castellum, making it by far the most sanctioned country in the world.

The EU has imposed the fourth-most sanctions against Russia, following the United States, Canada and Switzerland.

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Trump’s tax and spending cuts bill clears key test vote in Senate

Senate Republicans voting in a dramatic late Saturday session narrowly cleared a key procedural step as they race to advance President Trump’s package of tax breaks, spending cuts and bolstered deportation funds by his Fourth of July deadline.

The 51-49 vote came after a tumultuous session with Vice President JD Vance on hand if needed to break a tie. Tense scenes played out in the chamber as voting came to a standstill, dragging on for hours as holdout senators huddled for negotiations. In the end, two Republicans opposed the motion to proceed to debate, joining all Democrats and independents.

It’s still a long weekend of work to come.

Republicans are using their majorities in Congress to push aside Democratic opposition, but they have run into a series of political and policy setbacks. Not all GOP lawmakers are on board with proposals to reduce spending on Medicaid, food stamps and other programs as a way to help cover the cost of extending some $3.8 trillion in Trump tax breaks.

Ahead of the expected roll call, the White House released a statement of administrative policy saying it “strongly supports passage” of the bill that “implements critical aspects” of the president’s agenda. Trump was at his golf course in Virginia on Saturday with GOP senators posting about it on social media.

“It’s time to get this legislation across the finish line,” said Senate Majority Leader John Thune (R-S.D.).

But as the day wore on, billionaire Elon Musk, a key Trump advisor for the first months of the administration, lashed out against the package — as he has in the past — calling it “utterly insane and destructive.”

“The latest Senate draft bill will destroy millions of jobs in America and cause immense strategic harm to our country!” he said in a post on X.

The 940-page bill was released shortly before midnight Friday, and senators are expected to grind through the hours of all-night debate and amendments in the days ahead. If the Senate is able to pass it, the bill would go back to the House for a final round of votes before it could reach the White House.

With narrow Republican majorities in the House and Senate, leaders need almost every lawmaker on board in the face of essentially unified opposition from Democrats. GOP Sens. Thom Tillis of North Carolina and Rand Paul of Kentucky voted against.

Senate Democratic leader Chuck Schumer of New York said Republicans unveiled the bill “in the dead of night” and are rushing to finish the vote before the public fully knows what’s in it. He was expected to call for a full reading of the text in the Senate overnight, which would take hours.

The weekend session could be a make-or-break moment for Trump’s party, which has invested much of its political capital on his signature domestic policy plan. The president is pushing Congress to wrap it up and has admonished the “grandstanders” among GOP holdouts to fall in line.

The legislation is an ambitious but complicated series of GOP priorities. At its core, it would make permanent many of the tax breaks from Trump’s first term that would otherwise expire by year’s end if Congress fails to act, resulting in a potential tax increase on Americans. The bill would add new breaks, including no taxes on tips, and commit $350 billion to national security, including for Trump’s mass deportation agenda.

But the cutbacks to Medicaid, food stamps and green energy investments, which a top Democrat, Sen. Ron Wyden of Oregon, said would be a “death sentence” for America’s wind and solar industries, are also causing dissent within GOP ranks.

The Republicans are relying on the reductions to offset the lost tax revenues, but some lawmakers say the cuts go too far, particularly for people receiving healthcare through Medicaid. Meanwhile, conservatives, worried about the nation’s debt, are pushing for steeper cuts.

Tillis, who said he spoke with Trump late Friday explaining his concerns, announced Saturday he cannot support the package as is, largely because he said the healthcare changes would force his state to “make painful decisions like eliminating Medicaid coverage for hundreds of thousands.”

The release of that draft had been delayed as the Senate parliamentarian reviewed the bill to ensure it complied with the chamber’s strict “Byrd rule,” named for the late Sen. Robert C. Byrd (D-W.Va.). It largely bars policy matters from inclusion in budget bills unless a provision can get 60 votes to overcome objections. That would be a tall order in a Senate with a 53-47 Republican edge and Democrats unified against Trump’s bill.

Republicans suffered a series of setbacks after several proposals, including shifting food stamp costs from the federal government to the states or gutting the funding structure of the Consumer Financial Protection Bureau, were deemed out of compliance with the rules.

But over the past few days, Republicans have quickly revised those proposals and reinstated them.

The final text includes a proposal for cuts to the Medicaid provider tax that had run into parliamentary hurdles and objections from several senators worried about the fate of rural hospitals. The new version extends the start date for those cuts and establishes a $25-billion fund to aid rural hospitals and providers. Sen. Josh Hawley (R-Mo.), who had opposed the cuts, vowed “to do everything I can” to make sure the reductions never go into effect.

The nonpartisan Congressional Budget Office has said that under the House-passed version of the bill, some 10.9 million people would lose their healthcare coverage and at least 3 million fewer would qualify for food aid. The CBO has not yet publicly assessed the Senate draft, which proposes steeper reductions.

Top income earners would see about a $12,000 tax cut under the House bill, while the package would cost the poorest Americans an additional $1,600, the CBO said.

The Senate included a compromise over the so-called SALT provision, a deduction for state and local taxes that has been a top priority of lawmakers from California, New York and other high-tax states, but the issue remains unsettled.

The current SALT cap is $10,000 a year, and a few Republicans wanted to boost it to $40,000 a year. The final draft includes a $40,000 cap but limits it to five years.

Many Republican senators say that is still too generous. At least one House GOP holdout, Rep. Nick LaLota of New York, has said that would be insufficient.

House Speaker Mike Johnson (R-La.) sent his colleagues home for the weekend with plans to be on call to return to Washington. But as the Senate draft was revealed, House GOP support was uncertain. One Republican, Rep. David Valadao of Hanford, said he was opposed.

Mascaro, Freking and Cappelletti write for the Associated Press. AP writers Ali Swenson and Matthew Daly contributed to this report.

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Charter restores Disney-owned cable channels for Spectrum customers

Charter Communications is returning the Walt Disney Co.-owned cable channels that were dropped from its Spectrum TV service in 2023 after the two sides negotiated new terms for carrying ESPN and ABC.

The companies announced Thursday an “expanded distribution agreement” that will give Spectrum TV Select customers the ad-supported version of streaming platform Hulu and eight linear TV channels: Disney Jr., Disney XD, Freeform, FXX, FXM, Nat Geo Wild, Nat Geo Mundo and BabyTV. They will be added at no additional cost for subscribers.

The cable channels were dropped in 2023 when the companies were unable to agree on terms for carrying ESPN and ABC, which led to a 10-day blackout for Spectrum customers.. The standoff kept tennis fans in Spectrum homes from seeing ESPN’s U.S. Open coverage and threatened access to the season premiere of “Monday Night Football.”

At the time, Charter resolved the dispute by agreeing to pay higher fees to keep the rights to carry the main engines of Disney’s TV lineup — including ESPN and ABC — but had to sacrifice some of the company’s smaller channels. Charter had sought to get free access to Disney’s streaming channels for its customers as well.

The terms of the expanded deal to return the dropped channels and add Hulu were not disclosed beyond saying it was “financially net positive for both companies.” It’s likely Disney needed to maintain the distribution of the channels to Charter’s nearly 15 million cable homes to keep them viable for advertisers.

“These channels expand Spectrum’s entertainment offering and create meaningful value for both companies by boosting advertising reach and strengthening audience engagement across platforms,” Charter said in its announcement of the deal.

The Disney-Charter pact is a sign of how both programmers and cable and satellite services are being more flexible as they contend with the steady decline of pay TV customers. Pricing is a key reason consumers have abandoned traditional TV for streaming.

Separately, satellite TV provider DirecTV announced Thursday it will offer a new slimmed-down package of channels called MyKids, designed for younger viewers. The package offered for $19.99 a month will provide access to kid- and teen-oriented channels from Disney, Paramount Global, Warner Bros. Discovery and Weigel Broadcasting.

MyKids, which includes Nickelodeon, Disney Channel, Cartoon Network and MeTV Toons, is one of the newest lower priced genre-based packages DirecTV is offering to customers. In addition to MyKids, DirecTV customers can select packages with news, entertainment, sports and Spanish-language channels, all priced well under the monthly cost of subscribing to the entire channel lineup.

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Forget the stereotypes, Benidorm is the complete package | Spain holidays

Last year, Benidorm welcomed close to 3 million visitors. Despite its reputation as a British holiday mecca – nearly 900,000 UK travellers visited the city in 2024 – it was actually Spanish nationals who made up the largest share, with more than one million domestic visitors flocking to the Costa Blanca resort, according to Benidorm city council. I have a feeling that these visitors did not come for the stereotype of full English breakfasts and pub crawls, but for something often overlooked by international tourists: the authentic, everyday rhythm of Spanish coastal life.

Map for Benidorm

In a country where tourism makes up about 15% of GDP but has also spurred a housing shortage and countermovements, Benidorm offers a contrast to cities like Barcelona and Madrid, where tourism pressures are acute. The city’s mid-20th-century reinvention as a purpose-built resort might once have been controversial, but today it looks surprisingly sustainable in the context of a national housing emergency.

Benidorm was designed and built to handle industrial numbers of visitors – including me. My first visit was in the early 1990s, aged eight, on a classic package holiday with my family. I vividly remember staying up late to play billiards with a rotating cast of kids, and language barriers didn’t matter. Their mothers – and what felt like every other señora in our 20-storey hotel – took turns pinching my cheeks.

The coastal city has long accommodated large numbers of domestic and international travellers without displacing residents at the same rate as elsewhere. Unlike the “live like a local” model that has backfired in Spain’s big cities – such that more and more apartments once meant for residents are now exclusively for tourist use, especially in Madrid, where I’ve lived for 12 years – Benidorm has absorbed demand with ease while still offering an authentic Spanish experience. I’m here to explore exactly that.

Before the sun has fully risen, I walk to Poniente beach, the quieter, more local stretch just west of the old town. It is already full of life. A dozen elderly señores are taking a refreshing, pre-breakfast dip and a group of señoras are easing into the day with a free session of group yoga. As the weather heats up, the Spanish crowd moves away from the main beach to the nearby Cala Almadraba or, further along, to Cala del Tío Ximo. In these two secluded coves beyond the headland, pine trees frame crystal-clear shallows. Even in peak season, these smaller spots remain largely undiscovered by foreign visitors.

Cala Almadraba. Photograph: Alamy

By the time the sun is at its highest, many Spaniards are already retreating to long lunches of local cuisine. At La Fava, I find a serene space where chef Fran Burgos serves elegant dishes rooted in Alicante’s coastal traditions – such as grilled aubergine with honeycomb, parmesan soup and seasonal fish – in a tranquil, whitewashed interior. For a classic Iberian diner, Casa Toni boasts Andalusian tiles and legs of jamón hanging above the bar. For paella, a must in the Valencia region, refined seafood restaurant Ducado has an array of rice dishes.

There’s room too for cross-cultural comforts. Ray’s 1, a longstanding British chippy run by a mother and daughter team (both called Teresa), earned a new Spanish fanbase when I wrote about it for Spain’s leading national newspaper, El País. Since then, Teresa senior tells me, they’ve had a regular flow of Spanish customers. Nearby, on my way to the ajuntament (town hall), I spot a queue outside Bar El Puente, a chicken rotisserie run by the same family since 1968 and attracting a mostly Spanish clientele.

Local social documentary photographer María Moldes captures the city’s idiosyncrasies through saturated, surreal portraits of Spanish sunbathers. Photograph: María Moldes

Anyone who has visited Benidorm will be familiar with Calle Santo Domingo, a pedestrianised alley in the old town. Here, a global clientele are drawn to the bustling Basque pintxo bars, especially in the evening. But farther inland lies a no-frills and more authentically Spanish tapas destination, just off Avenida Ruzafa. I squeeze into Taperia La Mina, where a bottle of house wine and six tapas costs €11. Restaurant Aitona and El Rincón de La Croqueta offer an equally simple experience. For a slightly quieter but still lively meal, La Mejillonera is known for its large plates of juicy orange mussels, and is worth the wait for a table.

But beyond sun, sea and food, Benidorm is a real Spanish city with real stories. For example, Marina Sanchis opened Casa Cremà, a pottery workshop for locals and visitors alike, having returned to her home town after being forced out of Madrid by soaring rents, and has turned her creative retreat into a thriving community space. She tells me Benidorm has given her something she’d lost in the capital: space, time, and a connection to community.

Many more Spanish artists have been inspired by the coastal metropolis, and their work has featured in the free and often overlooked Museo Boca del Calvari in the old town. María Moldes, who exhibited there a few years ago, is a local social documentary photographer whose photos of Benidorm echo the works of the late Carlos Pérez Siquier. Both photographers capture Spain’s idiosyncrasies through saturated, surreal portraits of Spanish sunbathers. Despite being taken decades apart, their images are almost indistinguishable.

La Fava restaurant

Even online, Benidorm has become something of a Spanish cult favourite. Erik Harley, a satirical influencer from Barcelona, tells me that Benidorm is his favourite place in the universe and he will soon be launching new tours of the city’s most iconic skyscrapers. And then there’s Mulero Ok, as he’s known here, a smartly dressed pensioner whose niche is playing Spanish pop music on his speaker and filming passersby dancing alongside his decorated, slow-gliding mobility scooter.

Among Spanish youth, the city’s cultural relevance is also on the rise. Benidorm Fest is Spain’s official competition to choose its Eurovision entry. Unlike the UK’s often half-hearted approach to the contest, Spain makes a big deal of the selection process and I regularly hear Melody’s Esa Diva, which was chosen as Spain’s entry this year, playing on the radio and in bars. Still only in its third year, the festival has become a defining highlight of the city’s cultural calendar, earning Benidorm a new identity as the country’s unofficial capital of pop.

Beyond the bustle of Benidorm, the nearby area is home to several charming villages that make for a perfect day trip, such as the colourful coastal town of La Vila Joiosa, a short tram ride away. Inland, the ancient hilltop village of El Castell de Guadalest is home to no fewer than eight eclectic museums and boasts stunning views of the Guadalest reservoir – one of Benidorm’s main sources of fresh water.

Benidorm wears its tourist-resort reputation with pride, but it offers far more than the stereotypes suggest. As a Brit abroad occasionally longing for home, I’m not going to deny that the British stereotype of Benidorm has its appeal for me. But I’m also here for what has become even more familiar to me: Spanish culture, local gastronomy and a deeper sense of place – the side of Benidorm that is enjoyed by more than 1 million domestic visitors each year.

In a country grappling with overtourism, Benidorm’s purpose-built design shouldn’t be dismissed as inauthentic. It’s a uniquely Spanish solution to a modern global challenge – and a city with space for everyone.



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Hollywood is in bad shape. You wouldn’t know it from CEO pay

Warner Bros. Discovery is in poor shape — so much so that Chief Executive David Zaslav has decided to unwind the 2022 merger he orchestrated by splitting the company in two.

But Zaslav himself is doing just fine, to the chagrin of shareholders.

In a rare searing rebuke, investors recently cast a symbolic vote disapproving of Zaslav’s 2024 compensation package, which rose 4% to $51.9 million compared with the year before.

The package, approved by the company’s board of directors, ensured that Zaslav remained one of the nation’s highest-paid corporate leaders. Proxy advisory firm Institutional Shareholder Services, known as ISS, described the company’s executive compensation packages as “an unmitigated pay-for-performance misalignment.”

The situation renewed scrutiny of the compensation levels for leaders of the top entertainment companies, which remain high compared with peers in other industries.

Although 2024 was a bad year for Hollywood, it was a very good year for some of the industry’s top executives, according to a survey of data by Equilar, which studies executive pay, for The Times.

The median compensation for those executives for 2024 was $33.9 million, up 7% from 2023, Equilar said. That’s about double the median compensation of CEOs at S&P 500 companies, which was $17.1 million last year.

The compensation data include stock options, base salaries, bonuses and other perks for CEOs from Netflix, Fox Corp., Roku, Lions Gate Entertainment Corp., AMC Networks, Comcast, Warner Bros. Discovery and the Walt Disney Co.

Paramount was excluded from the median data because of a change from one CEO to three in April 2024.

“The compensation packages remain somewhat out of whack based on the good old days where the margins were substantially higher,” said Evan Shapiro, a former NBCUniversal executive who now runs his own company. “The Hollywood era got used to very specific — some would argue irrational — pay packages and never readjusted itself when the business went haywire.”

Pay packages increased for Netflix co-CEOs Ted Sarandos and Greg Peters, reflecting the streaming giant’s strong performance. The value of Sarandos’ pay package went up 24% to $61.9 million, while Peters’ went up 50% to $60.3 million.

Other executives whose compensation increased included Bob Bakish, who was ousted as CEO of Paramount in April 2024. He had a package worth $86.96 million in 2024 (which included his roughly $69 million severance), up 178% from $31.3 million a year earlier.

Disney chief Bob Iger, who spent 2024 mounting a turnaround for the Burbank-based company, earned $41.1 million, up 30% from the previous year. During the year, Disney had renewed strength at the box office and achieved streaming profitability after years of losses.

Fox Corp.’s CEO Lachlan Murdoch’s total pay rose 9% to $23.8 million, while Roku CEO Anthony Wood got a bump of 37% to $27.7 million.

Chart ranks Hollywood executives in terms of total compensation over the last six years. David Zaslav of Warner Bros. Discovery, Inc. has been awarded compensation packages valued at $471 million since 2019, followed by Brian Roberts of Comcast with $204.5 million and Disney's Bob Iger with $202.1 million.

Others got a pay cut. Comcast CEO Brian Roberts’ 2024 compensation declined 5% to $33.9 million, primarily due to a lower cash bonus. AMC Networks CEO Kristin Dolan had a 40% drop to $8.7 million last year related to a $6.8-million equity award she received in 2023 tied to her promotion to CEO.

Lionsgate CEO Jon Feltheimer earned $18.2 million in the company’s fiscal 2024 year, down 15% compared with $21.5 million from fiscal 2023.

For 2024, the highest-paid chief executives among publicly traded media and entertainment companies compiled by Equilar for The Times were Bakish, Zaslav, Sarandos, Peters and Iger.

Most of the companies declined to comment or referred The Times to proxy statements filed with the U.S. Securities and Exchange Commission. Fox Corp. did not return a request for comment.

The increase in pay reflects a broader trend at publicly traded companies. Compensation is increasing as companies try to align pay with performance by handing out large stock awards, said Amit Batish, senior director of content for Equilar. Certain awards such as stock options typically benefit executives only if the stock goes up.

Some executives are also adding security perks after the killing of UnitedHealthcare CEO Brian Thompson last year, he said.

Several Hollywood executives had pay packages last year that were worth substantially more than the median, Equilar said. With so much change and disruption happening in the entertainment business and plenty of competition for skilled leadership, companies believe they need to pay up to hold on to executive talent.

“Especially in the entertainment industry that’s constantly evolving, with streaming services taking over, there’s constant fluctuations in the market, so companies are looking to find ways to keep their executives on board and motivated,” Batish said.

Sky-high executive compensation has resurfaced debate about a subject that has been simmering since even before the 2023 strikes led by writers and actors — the widening pay gap between executives and workers.

Many entertainment workers have left Southern California due to the lack of work, as more productions are moving out of the area due to increased costs. Disney, Warner Bros. Discovery, NBCUniversal and Paramount have continued to lay off employees. Some entertainment workers struggling to find jobs have adopted the saying “Persist to ’26,” replacing last year’s “Survive ‘til ’25.”

“Any survey of executive pay, generally there’s a disconnect between what people see in their own checking accounts and when they see what executives, particularly for top Fortune 500 companies, earned,” said David Smith, a professor of economics at the Pepperdine Graziadio Business School. “There’s often discontent with the chasm between the rank and file and CEOs.”

Zaslav became a symbol of that ire in 2021 when his compensation package was valued at $246.6 million, which included stock options tied to the merger. The value of his 2024 compensation was much lower at $51.9 million, but still higher than other executives such as Disney’s Iger.

Following the nonbinding shareholder “say on pay” vote, Warner Bros. Discovery pledged to address shareholder concerns. Those changes are expected to lower Zaslav’s future payouts. Similarly, Disney and Netflix in recent years have been hit with negative shareholder votes on the pay, leading to adjustments.

Zaslav’s target annual cash bonus opportunity will shrink from $22 million to $6 million after splitting Warner Bros. Discovery in two, separating studios and streaming services from linear cable networks, the company said. Zaslav’s base salary would remain $3 million.

“We structured the new compensation packages to address shareholders’ feedback by fostering pay-for-performance alignment,” Warner Bros. Discovery board chair Samuel A. Di Piazza Jr. said in a statement.

While Warner Bros. Discovery worked on retiring $4.4 billion in debt through cost-cutting and launched its streaming service Max (which is being rebranded back to HBO Max) in 70 markets last year, the company also had some fumbles, including losing the NBA on its TV networks.

“It appears the board may have been out-negotiated,” said Lloyd Greif, chief executive of Los Angeles investment bank Greif & Co. “They created incentives that did not directly translate into a higher stock price, or higher revenue and EBITDA growth” — referring to earnings before interest, taxes, depreciation and amortization. “So,” he added, “you have to look at the results and say, the board blew the call.”

The company’s compensation committee said it took into account Zaslav’s performance across different goals including revenue, cash flow, enhancing the motion picture slate, cost controls, launching Max globally and securing talent.

Warner Bros. Discovery’s revenue in 2024 fell 5% to $39.3 billion, compared with 2023. Adjusted earnings excluding certain items fell 11% during that same time period. The stock price declined about 7% in 2024.

“It just sends a very bad message to your teams,” said Paul Verna, vice president of content at research firm Emarketer, adding that leaders should inspire their teams amid challenges facing the industry. “It’s very hard to do that when you’re firing thousands of people but not really absorbing any pain yourself in your own compensation.”

The committee saw the loss of the NBA U.S. TV rights as a positive, saying it resulted in a “more efficient long-term relationship with the league,” according to the company’s proxy filing.

When the compensation committee evaluated those figures, it took out costs related to a joint venture called Venu Sports that was meant to launch in 2024 but was scrapped, as well as new sports rights programming and packages.

That irked some groups, including ISS, though some executive compensation experts said it is not uncommon for companies to factor out some costs deemed to be out of the executive’s control.

The reverberations of the shareholder vote continue.

It could cause the board to put pressure on the compensation committee to improve its performance or activist shareholders to target the company for a proxy contest, Lawrence Cunningham, director of the University of Delaware’s Weinberg Center for Corporate Governance, wrote in an email to The Times.

“Shareholder votes on pay, even when non-binding, send a signal that can be important,” Cunningham wrote. “A 60% no vote is huge.”

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House approves Trump’s request to cut funding for NPR, PBS and foreign aid

The House narrowly voted Thursday to cut about $9.4 billion in spending already approved by Congress as President Trump’s administration looks to follow through on work done by the Department of Government Efficiency when it was overseen by Elon Musk.

The package targets foreign aid programs and the Corp. for Public Broadcasting, which provides money for National Public Radio and the Public Broadcasting Service as well as thousands of public radio and television stations around the country. The vote was 214-212.

Republicans are characterizing the spending as wasteful and unnecessary, but Democrats say the rescissions are hurting the United States’ standing in the world and will lead to needless deaths.

“Cruelty is the point,” Democratic leader Hakeem Jeffries of New York said of the proposed spending cuts.

The Trump administration is employing a tool rarely used in recent years that allows the president to transmit a request to Congress to cancel previously appropriated funds. That triggers a 45-day clock in which the funds are frozen pending congressional action. If Congress fails to act within that period, then the spending stands.

“This rescissions package sends $9.4 billion back to the U.S. Treasury,” said Rep. Lisa McClain, House Republican Conference chair. “That’s $9.4 billion of savings that taxpayers won’t see wasted. It’s their money.”

The benefit for the administration of a formal rescissions request is that passage requires only a simple majority in the 100-member Senate instead of the 60 votes usually required to get spending bills through that chamber. So if they stay united, Republicans will be able to pass the measure without any Democratic votes.

Senate Majority Leader John Thune (R-S.D.) said the Senate would likely not take the bill up until July and after it has dealt with Trump’s big tax and immigration bill. He also said it’s possible the Senate could tweak the bill.

The administration is likening the first rescissions package to a test case and says more could be on the way if Congress goes along.

Republicans, sensitive to concerns that Trump’s sweeping tax and immigration bill would increase future federal deficits, are anxious to demonstrate spending discipline, though the cuts in the package amount to just a sliver of the spending approved by Congress each year. They are betting the cuts prove popular with constituents who align with Trump’s “America first” ideology as well as those who view NPR and PBS as having a liberal bias.

In all, the package contains 21 proposed rescissions. Approval would claw back about $900 million from $10 billion that Congress has approved for global health programs. That includes canceling $500 million for activities related to infectious diseases and child and maternal health and another $400 million to address the global HIV epidemic.

The Trump administration is also looking to cancel $800 million, or a quarter of the amount Congress approved, for a program that provides emergency shelter, water and sanitation, and family reunification for those forced to flee their own country.

About 45% of the savings sought by the White House would come from two programs designed to boost the economies, democratic institutions and civil societies in developing countries.

Democratic leadership, in urging their caucus to vote no, said that package would eliminate access to clean water for more than 3.6 million people and lead to millions more not having access to a school.

“Those Democrats saying that these rescissions will harm people in other countries are missing the point,” McClain said. “It’s about people in our country being put first.”

The Republican president has also asked lawmakers to rescind nearly $1.1 billion from the Corp. for Public Broadcasting, which represents the full amount it’s slated to receive during the next two budget years. About two-thirds of the money gets distributed to more than 1,500 locally owned public radio and television stations. Nearly half of those stations serve rural areas of the country.

The association representing local public television stations warns that many of them would be forced to close if the Republican measure passes. Those stations provide emergency alerts, free educational programming and high school sports coverage, and highlight hometown heroes.

Advocacy groups that serve the world’s poorest people are also sounding the alarm and urging lawmakers to vote no.

“We are already seeing women, children and families left without food, clean water and critical services after earlier aid cuts, and aid organizations can barely keep up with rising needs,” said Abby Maxman, president and chief executive of Oxfam America, a poverty-fighting organization.

Rep. Jim McGovern (D-Mass.) said the foreign aid is a tool that prevents conflict and promotes stability, but the measure before the House takes that tool away.

“These cuts will lead to the deaths of hundreds of thousands, devastating the most vulnerable in the world,” McGovern said.

“This bill is good for Russia and China and undertakers,” added Rep. Steve Cohen (D-Tenn.).

Republicans disparaged the foreign aid spending and sought to link it to programs they said DOGE had uncovered.

Rep. Chip Roy (R-Texas) said taxpayer dollars had gone to such things as targeting climate change, promoting pottery classes and strengthening diversity, equity and inclusion programs. Other Republicans cited similar examples they said DOGE had revealed.

“Yet, my friends on the other side of the aisle would like you to believe, seriously, that if you don’t use your taxpayer dollars to fund this absurd list of projects and thousands of others I didn’t even list, that somehow people will die and our global standing in the world will crumble,” Roy said. “Well, let’s just reject this now.”

Freking writes for the Associated Press.

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Trump’s ‘beautiful’ bill spans more than 1,000 pages. Here’s what’s inside it

House Republicans are getting closer to passing President Trump’s tax breaks, spending cuts and beefed-up border security as Speaker Mike Johnson (R-La.) attempts to pass the package over unified Democratic opposition by Memorial Day.

House committees have labored for months on the legislation, which exceeds 1,000 pages and is titled the “One Big Beautiful Bill Act,” a nod to Trump himself.

GOP divisions have narrowed but continue as fiscal conservatives worry the bill doesn’t do enough to curb Medicaid spending, while Republicans from competitive swing districts have expressed concerns about the prospect of their constituents losing access to health coverage and food assistance.

Democrats say they will fight what House party leader Hakeem Jeffries (D-N.Y.) calls “this extreme and toxic bill.”

Here’s a look at what’s in and out of the legislative package so far.

Tax cuts for individuals and businesses

Republicans are looking to make permanent the individual income and estate tax cuts passed in Trump’s first term, in 2017, plus enact promises he made on the 2024 campaign trail to not tax tips, overtime and interest on some auto loans.

To partially offset the lost revenue, Republicans propose repealing or phasing out more quickly the clean energy tax credits passed during Joe Biden’s presidency, helping to bring down the overall cost of the tax portion to about $3.8 trillion.

The bill includes a temporary boost in the standard deduction — a $1,000 increase for individuals, bringing it to $16,000 for individual filers, and a $2,000 boost for joint filers, bringing it to $32,000. The deduction reduces the amount of income that is actually subject to income tax.

There is also a temporary $500 increase in the child tax credit, bringing it to $2,500 for 2025 through 2028. It then returns to $2,000 and will increase to account for inflation.

The estate tax exemption rises to $15 million and is adjusted for inflation going forward.

Several of the provisions Trump promised in the campaign would be temporary, lasting roughly through his term in office. The tax breaks for tips, overtime and car loan interest expire at the end of 2028. That’s also the case for a $4,000 increase in the standard deduction for seniors.

Among the various business tax provisions, small businesses, including partnerships and S corporations, will be able to subtract 23% of their qualified business income from their taxes. The deduction has been 20%.

Businesses will temporarily be allowed to fully expense domestic research and development costs in the year they occur and the cost of machinery, equipment and other qualifying assets. This encourages businesses to invest in ways that enhances their productivity.

Parents and older Americans face work requirements for food assistance

House Republicans would reduce spending on food aid, what is known as the Supplemental Nutrition and Assistance Program, by about $267 billion over 10 years.

States would shoulder 5% of benefit costs, beginning in fiscal 2028, and 75% of the administrative costs. Currently, states pay none of the benefit and half of the administration costs.

Republicans also are expanding the work requirements to receive food aid. Under current law, able-bodied adults without dependents must fulfill work requirements until they are 54, and that would change under the bill to age 64.

Also, some parents are currently exempt from work requirements until their children are 18; that would change so only those caring for a dependent child under the age of 7 are exempt.

At the same time, the legislation would invest $60 billion in new money for agriculture programs, sending aid to farmers.

New work requirements for Medicaid

A focal point of the package is nearly $700 billion in reduced spending in the Medicaid program, according to the nonpartisan Congressional Budget Office.

To be eligible for Medicaid, there would be new “community engagement requirements” of at least 80 hours per month of work, education or service for able-bodied adults without dependents. The new requirement would not kick in until Jan. 1, 2029, after Trump leaves office. People would also have to verify their eligibility for the program twice a year, rather than just once.

Republicans are looking to generate savings with new work requirements. But Democrats warn that millions of Americans will lose coverage.

An estimate from the Congressional Budget Office said the proposals would reduce the number of people with healthcare by at least 7.6 million from the Medicaid changes, and possibly more with other changes to the Affordable Care Act.

Applicants could not qualify for Medicaid if they have a home that is valued at more than $1 million.

No taxes on gun silencers, no money for Planned Parenthood and more

Republicans are also using the package to reward allies and disadvantage political foes.

The package would eliminate a $200 tax on gun silencers that has existed since Congress passed the National Firearms Act in 1934. The elimination of the tax is supported by theNational Rifle Assn.

The group Giffords, which works to reduce gun violence, said silencers make it more difficult to recognize the sound of gunfire and locate the source of gunshots, impairing the ability of law enforcement to respond to active shooters.

Republicans are also looking to prohibit Medicaid funds from going to Planned Parenthood, which provides abortion care and other services. Democrats say defunding the organization would make it harder for millions of patients to get cancer screenings, pap tests and birth control.

‘MAGA’ kids $1,000 savings accounts

“MAGA” is shorthand for Trump’s signature line, “Make America Great Again.” But in this case, it means “Money Accounts for Growth and Advancement.”

For parents or guardians who open new “MAGA” accounts for their children, the federal government will contribute $1,000 for babies born between Jan. 1, 2024 and Dec. 31, 2028.

Families could add $5,000 a year, with the account holders unable to take distributions before age 18. Then, they could access up to 50% of the money to pay for higher education, training and first-time home purchases. At age 30, account holders have access to the full balance of the account for any purpose.

Funding for Trump’s mass deportation operation

The legislation would provide $46.5 billion to revive construction of Trump’s wall along the U.S.-Mexico border, and more money for the deportation agenda.

There’s $4 billion to hire an additional 3,000 new Border Patrol agents as well as 5,000 new customs officers, and $2.1 billion for signing and retention bonuses. There’s also funds for 10,000 more Immigration and Customs Enforcement officers and investigators.

It includes major changes to immigration policy, imposing a $1,000 fee on migrants seeking asylum — something the nation has never done, putting it on par with a few others, including Australia and Iran.

Overall, the plan is to remove 1 million immigrants annually and house 100,000 people in detention centers.

More money for the Pentagon and Trump’s ‘Golden Dome’

There’s also nearly $150 billion in new money for the Defense Department and national security.

It would provide $25 billion for Trump’s “Golden Dome for America,” a long-envisioned missile defense shield, $21 billion to restock the nation’s ammunition arsenal, $34 billion to expand the naval fleet with more shipbuilding and some $5 billion for border security.

It also includes $9 billion for servicemember quality-of-life-related issues, including housing, healthcare and special pay.

Tax on university endowments and overhaul of student loans

A wholesale revamping of the student loan program is key to the legislation, providing $330 billion in budget cuts and savings.

The proposal would replace all existing student loan repayment plans with just two: a standard option with monthly payments spread out over 10 to 25 years and a “repayment assistance” plan that is generally less generous than those it would replace.

Among other changes, the bill would repeal Biden-era regulations that made it easier for borrowers to get loans canceled if their colleges defrauded them or closed suddenly.

There would be a tax increase, up to 21%, on some university endowments.

More drilling, mining on public lands

To generate revenue, one section would allow increased leasing of public lands for drilling, mining and logging while clearing the path for more development by speeding up government approvals.

Royalty rates paid by companies to extract oil, gas and coal would be cut, reversing Biden’s attempts to curb fossil fuels to help address climate change.

In a last-minute add, Republicans also included a provision authorizing sales of hundreds of thousands of acres of public lands in Nevada and Utah, prompting outrage from Democrats and environmentalists.

Freking and Mascaro write for the Associated Press. AP writers Collin Binkley and Mary Clare Jalonick in Washington and Matthew Brown in Billings, Mont., contributed to this report.

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House GOP grinds ahead with Trump’s tax-cut bill

House Republicans are pushing to vote on their multitrillion-dollar tax breaks package as soon as Wednesday, grinding out last-minute deal-making to shore up wavering GOP support and deliver on President Trump’s top legislative priority.

Trump himself had instructed the Republican majority to quit arguing and get it done, his own political influence on the line. But GOP leaders worked late into the night to convince skeptical Republicans who have problems on several fronts, including worries that it will pile onto the nation’s $36-trillion debt.

A fresh analysis from the Congressional Budget Office said the tax provisions would increase the federal deficit by $3.8 trillion over the decade, while the changes to Medicaid, food stamps and other services would tally $1 trillion in reduced spending. The lowest-income households in the U.S. would see their resources drop, while the highest ones would see a boost, the CBO said.

Republicans hunkered down at the Capitol through the night for one last committee hearing processing changes to the package. Democrats immediately motioned to adjourn, but the vote failed on party lines.

“President Trump’s ‘one, big, beautiful bill’ is going to require one, big, beautiful vote,” said Speaker Mike Johnson (R-La.). “We are going to get this done.”

It’s a make-or-break moment for the president and his party in Congress, who have invested much of their political capital during the crucial first few months of Trump’s return to the White House on this package. If the House Republicans fall in line with the president, overcoming unified Democratic objections, the package would next go to the Senate.

The package comes at a daunting time as the U.S. economy faces uncertainty. Democratic Leader Hakeem Jeffries said Republicans are trying to “quickly jam this unpopular legislation through the House because they know that the longer they wait, the more will come to light about this cruel and unconscionable bill.”

At its core, the sprawling 1,000-plus-page bill is centered on extending the tax breaks approved during Trump’s first term in 2017, while adding new ones he campaigned on during the 2024 presidential campaign.

To make up for some of the lost revenue, the Republicans are focused on spending cuts to federal safety net programs and a massive rollback of green energy tax breaks from the Biden-era Inflation Reduction Act.

Additionally, the package tacks on $350 billion in new spending — with about $150 billion going to the Pentagon, including for the president’s new “ Golden Dome” defense shield, and the rest for Trump’s mass deportation and border security agenda.

The package title carries Trump’s own words, the “One Big Beautiful Bill Act.”

As Trump promised voters on the tax front, the package proposes there would be no taxes on tips for certain workers, including those in some service industries; automobile loan interest; or some overtime pay.

There would also be an increase to the standard income tax deduction, to $32,000 for joint filers, and a boost to the child tax credit to $2,500. There would be an enhanced deduction, of $4,000, for seniors of certain income levels, to help defray taxes on Social Security income.

To cut spending, the package would impose new work requirements for many people who receive health care through Medicaid, with able-bodied adults without dependents needing to fulfill 80 hours a month on a job or in other community activities.

Similarly, those who receive food stamps through the Supplemental Nutritional Assistance Program, known as SNAP, would also face new work requirements.

Older Americans up to age 64, rather than 54, who are able-bodied and without dependents would need to work or engage in the community programs for 80 hours a month. Additionally, some parents of children older than 7 years old would need to fulfill the work requirements; under current law, the requirement comes after children are 18.

Republicans said they want to root out waste, fraud and abuse in the federal programs.

The Congressional Budget Office has estimated 8.6 million fewer people would have health insurance with the various changes to Medicaid and the Affordable Care Act. It also said 3 million fewer people each month would have SNAP benefits.

Republicans have been racing to finish up the package by Memorial Day, a deadline imposed by Johnson as he tries to overcome objections within his own ranks.

Conservatives are insisting on quicker, steeper cuts to federal programs to offset the costs of the trillions of dollars in lost tax revenue. GOP leaders have sped up the start date of the Medicaid work requirements from 2029 to 2027.

At the same time, more moderate and centrist lawmakers are wary of the changes to Medicaid that could result in lost health care for their constituents. Others are worried the phaseout of the renewable energy tax breaks will impede businesses using them to invest in green energy projects in many states.

Plus, a core group of lawmakers from New York, California and other high-tax states want a bigger state and local tax deduction, called SALT, for their voters back home.

As it stands, the bill would triple what’s currently a $10,000 cap on the state and local tax deduction, increasing it to $30,000 for joint filers with incomes up to $400,000 a year. They have proposed a deduction of $62,000 for single filers and $124,000 for joint filers.

Trump has been pushing hard for Republicans to unite behind the bill, which has been uniquely shaped in his image, and he said after meeting with House lawmakers privately Tuesday at the Capitol that anyone who doesn’t support the bill would be a “fool.”

But it’s not at all clear that Trump, who was brought in to seal the deal, changed minds.

One of the conservative Republicans, Rep. Thomas Massie of Kentucky, said afterward he’s still a no vote.

“We’re still a long ways away,” said Rep. Andy Harris (R-Md.), chair of the House Freedom Caucus.

The Committee for a Responsible Federal Budget, a nonpartisan fiscal watchdog group, estimates that the House bill is shaping up to add roughly $3.3 trillion to the debt over the next decade.

Mascaro, Freking, Askarinam and Cappelletti write for the Associated Press.

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Trump on Capitol Hill implores divided Republicans to unify behind his big tax-cut bill

President Trump implored House Republicans at the Capitol to drop their fights over his big tax-cut bill and get it done, using encouraging words but also the hardened language of politics over the multitrillion-dollar package that is at risk of collapsing before planned votes this week.

During the more than hourlong session Tuesday, Trump warned Republicans to not touch Medicaid with cuts, and he told New York lawmakers to end their fight for a bigger local tax deduction, reversing his own campaign promise. The president, heading into the meeting, called himself a “cheerleader” for the Republican Party and praised Speaker Mike Johnson (R-La.). But he also criticized at least one of the GOP holdouts as a “grandstander” and warned that anyone who doesn’t support the bill would be a “fool.”

“We have unbelievable unity,” Trump said as he exited. “I think we’re going to get everything we want.”

The president arrived at a pivotal moment. Negotiations are slogging along and it’s not at all clear the package, with its sweeping tax breaks and cuts to Medicaid, food stamps and green energy programs, has the support needed from the House’s slim Republican majority. Lawmakers are also being asked to add some $350 billion to Trump’s border security, deportation and defense agenda.

Inside, he spoke privately in what one lawmaker called the president’s “weaving” style, and took questions.

The president also made it clear he’s losing patience with the various holdout factions of the House Republicans, according to a senior White House official who spoke on condition of anonymity to discuss the private meeting.

But Trump disputed that notion as well as reports that he used an expletive in warning against cutting Medicaid. Instead, he said afterward, “That was a meeting of love.” He received several standing ovations, Republicans said.

Yet it was not at all clear that Trump, who was brought in to seal the deal, changed minds.

“We’re still a long ways away,” said Rep. Andy Harris (R-Md.), the chair of the House Freedom Caucus.

Conservatives are insisting on quicker, steeper cuts to federal programs to offset the costs of the trillions of dollars in lost tax revenue. At the same time, a core group of lawmakers from New York and other high-tax states wants bigger tax breaks for their voters back home. Worries about piling onto the nation’s $36-trillion debt are stark.

With House Democrats lined up against the package, calling it a giveaway to the wealthy at the expense of safety net programs, GOP leaders have almost no votes to spare. A key committee hearing is set for the middle of the night Tuesday in hopes of a House floor vote by Wednesday afternoon.

“They literally are trying to take healthcare away from millions of Americans at this very moment in the dead of night,” said House Democratic leader Hakeem Jeffries of New York.

Trump has been pushing hard for Republicans to unite behind the bill, the president’s signature domestic policy initiative in Congress.

Asked about one of the conservative Republicans, Rep. Thomas Massie of Kentucky, Trump lashed out.

“I think he is a grandstander, frankly,” the president continued. “I think he should be voted out of office.”

But Massie, a renegade who wears a clock lapel pin that tallies the nation’s debt load, said afterward he’s still a no vote.

Also unmoved was Rep. Mike Lawler, one of the New York Republicans leading the fight for a bigger state and local tax deduction, known as SALT: “As it stands right now, I do not support the bill. Period.”

The sprawling 1,116-page package carries Trump’s title, the “One Big Beautiful Bill Act,” as well as his campaign promises to extend the tax breaks approved during his first term while adding new ones, including no taxes on tips, automobile loan interest and Social Security.

Yet, the price tag is rising and lawmakers are wary of the votes ahead, particularly as the economy teeters with uncertainty.

The Committee for a Responsible Federal Budget, a nonpartisan fiscal watchdog group, estimates that the House bill is shaping up to add roughly $3.3 trillion to the debt over the next decade.

Republicans criticizing the measure argued that the bill’s new spending and tax cuts are front-loaded, while the measures to offset the cost are back-loaded.

In particular, the conservative Republicans are looking to speed up the new work requirements that Republicans want to enact for able-bodied participants in Medicaid. They had been proposed to start Jan. 1, 2029, but Majority Leader Steve Scalise (R-La.) said on CNBC that work requirements for some Medicaid beneficiaries would begin in early 2027.

At least 7.6 million fewer people are expected to have health insurance under the initial Medicaid changes, the nonpartisan Congressional Budget Office said last week.

Republican holdouts are also looking to more quickly halt green energy tax breaks, which had been approved as part of the Biden-era Inflation Reduction Act, and are now being used for renewable energy projects across the nation.

But for every change Johnson considers to appease the hard-right conservatives, he risks losing support from more traditional and centrist Republicans. Many have signed letters protesting deep cuts to Medicaid and food assistance programs and the rolling back of clean energy tax credits.

At its core, the sprawling legislative package permanently extends the existing income tax cuts and bolsters the standard deduction, increasing it to $32,000 for joint filers, and the child tax credit to $2,500.

The New Yorkers are fighting for a larger state and local tax deduction beyond the bill’s proposal. As it stands, the bill would triple what’s currently a $10,000 cap on the state and local tax deduction, increasing it to $30,000 for joint filers with incomes up to $400,000 a year. They have proposed a deduction of $62,000 for single filers and $124,000 for joint filers.

Trump, who had campaigned on fully reinstating the unlimited SALT deduction, now appears to be satisfied with the proposed compromise, arguing it only benefits “all the Democratic” states.

If the bill passes the House this week, it would move to the Senate, where Republicans are also eyeing changes.

Mascaro, Freking, Askarinam and Cappelletti write for the Associated Press. AP writers Darlene Superville and Seung Min Kim contributed to this report.

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Trump’s big bill advances in rare weekend vote as conservative holdouts secure changes

Republicans advanced their massive tax cut and border security package out of a key House committee during a rare Sunday night vote as conservatives who blocked the measure two days earlier reversed course after gaining commitments on the package’s spending cuts.

Speaker Mike Johnson (R-La.) met with Republican lawmakers shortly before the meeting, telling reporters that the changes agreed to were “just some minor modifications. Not a huge thing.”

Democrats on the panel pressed for more details about the changes that Republicans had agreed to in the private negotiations. But Rep. Jodey Arrington (R-Texas), the chairman of the House Budget Committee, said he could not do so.

“Deliberations continue at this very moment,” Arrington said. “They will continue on into the week, and I suspect right up until the time we put this big, beautiful bill on the floor of the House.”

The first time Republicans tried advancing the bill out of the Budget Committee, hard-right Republicans joined with Democrats in voting against sending the measure to the full House. Five Republicans voted no, one on procedural grounds, the other four voicing concerns about the bill’s effect on federal budget deficits.

On Sunday evening, the four voicing concerns about the deficit voted present, and the measure passed by a vote of 17 to 16.

Johnson is looking to put the bill on the House floor before the end of the week.

“This is the vehicle through which we will deliver on the mandate that the American people gave us in the last election,” he said on “Fox News Sunday” in advance of the vote.

The Republicans who criticized the measure noted that the bill’s new spending and tax cuts are front-loaded in the bill, while the measures to offset the cost are back-loaded. For example, they are looking to speed up the new work requirements that Republicans want to enact for Medicaid recipients. Those requirements would not kick in until 2029 under the current bill.

“We are writing checks we cannot cash, and our children are going to pay the price,” said Rep. Chip Roy (R-Texas), a member of the committee. “Something needs to change, or you’re not going to get my support.”

Johnson said the start date for the work requirements was designed to give states time to “retool their systems” and to “make sure that all the new laws and all the new safeguards that we’re placing can actually be enforced.”

Roy was joined in voting no by Reps. Ralph Norman of South Carolina, Josh Brecheen of Oklahoma and Rep. Andrew Clyde of Georgia. Rep. Lloyd Smucker of Pennsylvania switched his vote to no in a procedural step so it could be reconsidered later.

The vote against advancing the bill had come after President Trump urged Republicans in a social media post to unite behind it.

At its core, the sprawling package permanently extends the existing income tax cuts that were approved during Trump’s first term, in 2017, and adds temporary new ones that the president campaigned on in 2024, including no taxes on tips, overtime pay and auto loan interest payments. The measure also proposes big spending increases for border security and defense.

The Committee for a Responsible Federal Budget, a nonpartisan fiscal watchdog group, estimates that the House bill is shaping up to add roughly $3.3 trillion to the debt over the next decade.

Democrats are overwhelmingly opposed to the measure, which Republicans have labeled “The One, Big, Beautiful Bill Act.” Rep. Pramila Jayapal (D-Wash.) called it “one big, beautiful betrayal” in Friday’s hearing.

“This spending bill is terrible, and I think the American people know that,” Rep. Jim Clyburn (D-S.C.) said on CNN’s “State of the Union’’ on Sunday. “There is nothing wrong with us bringing the government in balance. But there is a problem when that balance comes on the back of working men and women. And that’s what is happening here.”

Johnson is not just having to address the concerns of those in his conference who raised concerns about the deficit. He’s also facing pressure from centrists who will be warily eyeing the proposed changes to Medicaid, food assistance programs and the rolling back of clean energy tax credits. Republican lawmakers from New York and elsewhere are also demanding a much large state and local tax deduction.

As it stands, the bill proposes tripling what’s currently a $10,000 cap on the state and local tax deduction, increasing it to $30,000 for joint filers with incomes up to $400,000 a year.

Rep. Nick LaLota, one of the New York GOP lawmakers leading the effort to lift the cap, said they have proposed a deduction of $62,000 for single filers and $124,000 for joint filers.

If the bill passes the House this week, it would move to the Senate, where Republicans are seeking additional changes that could make final passage in the House more difficult.

Johnson said: “The package that we send over there will be one that was very carefully negotiated and delicately balanced, and we hope that they don’t make many modifications to it because that will ensure its passage quickly.”

Freking and Mascaro write for the Associated Press.

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Trump’s $4.9-trillion tax plan targets Medicaid to offset costs

House Republicans proposed sweeping tax breaks Monday in President Trump’s big priority bill, tallying at least $4.9 trillion in costs so far, partly paid for with cuts to Medicaid, food stamps and green energy programs used by millions of Americans.

The House Ways and Means Committee named its package “THE ONE, BIG, BEAUTIFUL BILL” in all capital letters, a nod to Trump himself. It seeks to extend the tax breaks approved during Trump’s first term — and boost the standard deduction, child tax credit and estate tax exemption — while adding new tax breaks on tipped wages, overtime pay, Social Security benefits and auto loans that Trump promised during his campaign for the White House.

There’s also a tripling of the state and local tax deduction, called SALT, from $10,000 up to $30,000 for couples, which certain high-tax state GOP lawmakers from New York and California already rejected as too meager. Private universities would be hit with a hefty new tax on their endowments, as much as 21%, as the Trump administration goes after the Ivy League and other campuses. And one unusual provision would terminate the tax-exempt status of groups the State Department says support “terrorists,” which civil society advocates warn is a way to potentially punish those at odds with the Trump administration.

Overall, the package is touching off the biggest political debate over taxes, spending and the nation’s priorities in nearly a decade. Not since 2017 has Congress wrestled with legislation as this, when Republicans approved the Trump tax cuts but also failed to repeal and replace the Affordable Care Act, or Obamacare. The cost assessments are only preliminary, and expected to soar.

“Republicans need to UNIFY,” Trump posted on social media before departing for a trip to the Middle East.

Trump said when he returns to Washington, “we will work together on any and all outstanding issues, but there shouldn’t be many — The Bill is GREAT. We have no alternative, WE MUST WIN!”

But one key Republican, Sen. Josh Hawley of Missouri, implored his party not to impair Medicaid, arguing that cutting healthcare to pay for tax breaks is both “morally wrong and politically suicidal.”

“If Republicans want to be a working-class party — if we want to be a majority party — we must ignore calls to cut Medicaid and start delivering on America’s promise for America’s working people,” Hawley wrote in the New York Times.

Late Monday, the House Agriculture Committee released its proposals — cutting $290 billion from federal nutrition programs, in part by shifting costs to the states and requiring able-bodied adults without dependents to fulfill work requirements until they are 64 years old, rather than 54, to qualify for food aid.

Round-the-clock work ahead

As Republicans race toward House Speaker Mike Johnson’s Memorial Day deadline to pass Trump’s big bill, they are preparing to flood the zone with round-the-clock public hearings starting Tuesday and stitch the various sections together in what will become a massive package.

The politics ahead are uncertain. The bipartisan Joint Committee on Taxation said Monday that tax breaks would reduce revenue by $4.9 trillion over the decade — and that was before Trump’s new tax breaks were included.

Texas Rep. Chip Roy, a member of the conservative House Freedom Caucus, warned the price tag could climb to $20 trillion, piling onto the deficits and debt.

“I sure hope House & Senate leadership are coming up with a backup plan,” Roy posted on social media, “…. because I’m not here to rack up an additional $20 trillion in debt over 10 years.”

House Republicans have been huddling behind closed doors, working out final provisions in the 389-page tax portion of the package.

The legislation proposes to boost the standard deduction many Americans use by $2,000, to $32,000 per household, and increase the child tax credit from $2,000 to $2,500 for four years. It adds a new requirement focused on preventing undocumented immigrants from benefiting from the credit even if the children are U.S. citizens, which the Center on Budget and Policy Priorities, a liberal think tank, estimates would affect 4.5 million children who are U.S. citizens or lawful residents.

It would also increase the estate tax exemption, which is now $14 million, to $15 million and index future increases to inflation.

As for the president’s promises, the legislation includes Trump’s “no taxes on tips” pledge, providing a deduction for those workers in service industry and other jobs that have traditionally relied on tips. It directs the Treasury secretary to issue guidance to avoid businesses gaming the system.

The package also provides tax relief for automobile shoppers with a temporary deduction of up to $10,000 on car loan interest, applying the benefit only for those vehicles where the final assembly occurred in the United States. The tax break would expire at the end of Trump’s term.

For seniors, there would be a bolstered $4,000 deduction on Social Security wages for those with adjusted incomes no higher than $75,000 for individuals and $150,000 for couples.

But one hard-fought provision, the deduction for state and local taxes known as SALT, appears to be a work in progress. The legislation proposes lifting the cap to $15,000 for single filers and $30,000 for couples, but with a reduction at higher incomes — about $200,000 for singles and $400,000 for couples.

“Still a hell no,” wrote Rep. Nick LaLota (R-N.Y.) on social media.

Battle over Medicaid, food aid

Meanwhile, dozens of House Republicans have told Johnson and GOP leaders they will not support cuts to Medicaid, which provides some 70 million Americans with healthcare, nor to green energy tax breaks that businesses back home have been relying on to invest in new wind, solar and renewable projects.

All told, 11 committees in the House have been compiling their sections of the package as Republicans seek at least $1.5 trillion in savings to help cover the cost of preserving the 2017 tax breaks, which are expiring at the end of the year.

The final section from the Agriculture Committee proposed cutting the Supplemental Nutrition and Assistance Program, known as SNAP, by expanding work requirements, limiting future expansions of the program and forcing states to shoulder more of the cost.

Along with new work requirements for older Americans, it would also require some parents of children older than 7 to work to qualify, down from 18 years old. Only areas with unemployment rates over 10% would be eligible for waivers.

Some Republicans have already balked at the increased costs to the states, which would be required to contribute at least 5% of the cost of SNAP allotments beginning in 2028.

At the same time, the legislation would invest $60 billion in new money for agriculture programs, sending aid to farmers.

On Sunday, House Republicans on the Energy and Commerce Committee unveiled the cost-saving centerpiece of the package, with at least $880 billion in cuts largely to Medicaid to help cover the cost of the tax breaks.

While Republicans insist they are simply rooting out “waste, fraud and abuse” to generate savings with new work and eligibility requirements, Democrats warn that millions of Americans will lose coverage. In the 15 years since Obamacare became law, Medicaid has only expanded as most states have tapped into federal funds.

A preliminary estimate from the nonpartisan Congressional Budget Office said the proposals would reduce the number of people with healthcare by 8.6 million.

To be eligible for Medicaid, there would be new “community engagement requirements” of at least 80 hours per month of work, education or service for able-bodied adults without dependents. People would also have to verify their eligibility to be in the program twice a year, rather than just once.

There are substantial cuts proposed for green energy programs and tax breaks, rolling back climate-change strategies from the Biden-era Inflation Reduction Act.

Mascaro and Freking write for the Associated Press. AP writers Amanda Seitz, Leah Askarinam and Mary Clare Jalonick contributed to this report.

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