Scott Bessent on deficit reduction
From LIVE: Treasury Secretary Scott Bessent Testifies on Trump's 2027 Budget Before Congress | APT · · APT
“I came out from behind my very comfortable desk and here today because I was concerned about that trajectory and I do believe it is possible to get back to the historical level of 3% deficit to GDP and while that is not a balanced budget if you have nominal growth above that level you are paying down debt.”
On , Scott Bessent, Treasury Secretary at US Treasury, spoke about deficit reduction during LIVE: Treasury Secretary Scott Bessent Testifies on Trump's 2027 Budget Before Congress | APT on APT.
About Scott Bessent
Treasury Secretary Scott Bessent testified before the House Ways and Means Committee and the Senate Finance Committee in May and June 2026, defending the Trump administration’s economic and tax policies. He stated that the economy is “strong” and that the U.S. is experiencing a “short-term elevation in prices” due to the Iran conflict, which he said would come down. Bessent touted provisions of the working families tax cuts, including no tax on overtime, tips, and Social Security, saying that “if you want to work harder, you get to keep more of your take-home pay.” He also said that 62 million Americans claimed at least one of the new tax relief priorities and that the majority of beneficiaries earn under $100,000. On the federal deficit, Bessent said he believes it is possible to return to a 3% deficit-to-GDP ratio, noting that the U.S. had a “fiscal contraction” last year. During the hearings, Bessent faced criticism from Democratic lawmakers over a settlement between President Trump and the IRS that included a provision barring audits of the president’s tax returns. Bessent declined to answer questions about the settlement, citing ongoing litigation and deferring to the Department of Justice. He said the Treasury Department is “following the direction of the Department of Justice” and that Acting Attorney General Todd Blanche testified the government would not move forward with the fund. Bessent also responded to questions about a reported effort to create a $250 bill with President Trump’s image, stating that the effort was “in coordination with pending legislation” to change the requirement that a person must be deceased to appear on currency. On tariffs, Bessent argued that the administration’s policies have reduced the trade deficit with China and that the U.S. is “becoming less dependent on China.”