House GOP Opposes Renewed ACA Subsidy Expansion Ahead of 2026 Premium Hike

House Speaker Mike Johnson affirmed Republican leaders' opposition to renewing the pandemic-era expansion of Obamacare subsidies, known as the Premium Tax Credit (PTC).

This subsidy, established under the Affordable Care Act (ACA) and temporarily increased during COVID-19, helps lower monthly premiums for ACA marketplace enrollees by directing funds to insurers, who retain 20% for costs and profit. The enhanced subsidy is set to expire soon, causing an expected rise in premiums in 2026. Republicans contend that the PTC expansion disproportionately benefits insurers over patients, contributes to fraud, and imposes significant costs, with a Congressional Budget Office estimate of $350 billion over ten years.

Despite ongoing health care discussions, Republicans have not yet introduced substantive health reform legislation, focusing instead on consensus-building and alternative proposals. Johnson dismissed a White House plan combining subsidy extensions with other policies as perpetuating what he termed a "broken system."

This stance maintains a clear divide between Congressional Republicans and Democrats amid ongoing debates about the future of ACA marketplace subsidies and health care reform initiatives.