White House rescinds spending freeze on federal loans and grants

Summary

A U.S. judge granted a restraining order to stop a federal funding freeze despite the Trump administration rescinding it on Wednesday, following days of chaos and conflicting White House messaging.

The freeze had paused trillions in spending on social services and security programs, sparking legal challenges from Democratic attorneys general.

While the White House insists Trump’s executive orders on federal funding remain in effect, critics warn of continued efforts to restrict spending.