Not Passing ‘Big, Beautiful Bill’ Would Be ‘Cataclysmic,’ Treasury Secretary Warns

Treasury Secretary Scott Bessent testified Wednesday to a congressional committee in favor of President Donald Trump’s “Big, Beautiful Bill,” saying it would be “cataclysmic” for lawmakers to let the package die.

Bessent’s remarks came in response to a question from House Ways and Means Subcommittee on Tax Chairman Mike Kelly (R-PA).

“Let’s go to what actually is going to happen if this bill doesn’t get passed,” Kelly asked Bessent. “How is it going to affect hardworking American taxpayers?”

“It would be cataclysmic,” Bessent responded. “It would be the largest tax hike in history. It would be a disaster for businesses, for working Americans, and for our status in the world.”

.@SecScottBessent: If the One Big Beautiful Bill doesn't pass, "it would be cataclysmic. It would be the largest tax hike in history. It would be a disaster for businesses, for working Americans, and for our status in the world." pic.twitter.com/Aaihs72JyP

— Rapid Response 47 (@RapidResponse47) June 11, 2025

Bessent’s warning comes as the Senate considers whether or not it will pass the bill, which passed the House by just one vote. Two House Republicans voted against it. Senate Republicans seem divided on the bill, with  Senator Rand Paul of Kentucky notably expressing his dissatisfaction with the bill’s debt ceiling.

Replying to Kelly, Bessent warned that if the bill does not pass, “We would see increases in taxes of thousands of dollars on working Americans. We would see business contract, and we would see a substantial increase in the unemployment rate.”

Proponents of the bill, which extends the 2017 Tax Cuts and Jobs Act, argue that killing it threatens the national economy, while opponents claim that the bill only adds trillions to the national debt while reducing healthcare and nutrition benefits.

Kelly also asked Bessent to comment about what more can be done to move the economy in the right direction.

“The combination of small business and manufacturing, along with the President’s tax agenda for no tax on tips, no tax on overtime, a tax cut for seniors, and the ability to buy a new, American-made car and deduct the interest will solve this horrendous affordability crisis,” Bessent replied.

“The way to think about it, Congressman — we are dealing with two things here: we are dealing with affordability and we are dealing with inflation,” Bessent said.

“We are working to pull [affordability] down. That can be pulled down two ways: through price levels or [increasing] real wages. I think we can do both but the real fill-up here would be [to] increase real wages for working Americans.”

Later in the hearing, Representative David Kustoff of Tennessee reiterated Kelly’s concerns about the danger of killing the bill.

Bessent agreed, saying that, “I think it could set off a financial crisis the likes of which we have not seen since ‘08, ‘09.”