President Donald Trump and billionaire Elon Musk‘s once-close working relationship appears to have come to an end—after the duo became embroiled in a very public falling out that began when the Tesla founder criticized Trump’s “big, beautiful bill,” branding it “a disgusting abomination.”
The former head of the Department of Government Efficiency (DOGE) made a sharp U-turn in his dedicated support of Trump’s administration with calls to “kill the bill,” referring to the president’s sweeping budget proposal aimed at cutting trillions of dollars.
Musk’s outspoken criticism of Trump’s bill sparked a war of words between the two, with the president later speaking out to say that he does not know if their “great relationship” will continue, adding that he was “very disappointed” in his former DOGE czar.
In the hours since Musk’s initial X post about the “big, beautiful bill,” he and Trump have continued their public mud-slinging—trading insults and threats that included the president toying with the idea of terminating Musk’s “Governmental Subsidies and Contracts,” saying it would be the “easiest way to save … billions and billions of dollars.”
Soon after, Musk added fuel to the fire, replying “Yes,” to a post on X saying Trump should be impeached. Despite the bold move, it’s unlikely that Trump would be impeached as Republicans hold majorities in both chambers of Congress.
However, Trump has yet to state whether he plans to reverse any of the work that Musk did with DOGE—which included the shelving of a $1 billion program aimed at affordable housing, which was instigated as part of broader funding freezes at the U.S. Department of Housing and Urban Development (HUD), according to the Associated Press.
Impact on low-income Americans
In March, Will Fischer, senior fellow and director of housing policy at the Center on Budget and Policy Priorities (CBPP), referred to the proposed HUD cuts as “harmful policy changes” that would have a significant detrimental impact on low-income Americans.
In 2023, millions of Americans struggled to make ends meet as housing costs consumed the majority of their income. Around 24 million low-income households had to sacrifice necessities just to cover rent, often teetering on the edge of losing their homes.
By early 2024, the crisis had deepened—a record 770,000 people were without stable housing, relying on shelters, vehicles, or makeshift encampments to survive.
The CBPP affirmed that the Housing Choice Voucher Program and similar rental assistance help combat housing instability and overcrowding. Similarly, research by the center has shown that rental assistance efforts paired with supportive services are the most effective method for reducing homelessness nationwide.
Under the direction of Musk’s DOGE, it was planned that at least half of the HUD staff overall would be let go or discharged.
As part of this move, 50% of HUD office staff, including administrators who issue vouchers, public housing, and Native American housing programs, would be axed, as per the CBPP. This staff works to help 7 million people afford housing, according to the CPBB.
Not only that, but 44% of office staff who oversee the project-based rental assistance program, which provides rental assistance to an additional two million people, would also be let go.
“Staff in these offices play a critical role in ensuring that tens of billions of dollars of badly needed federal funds are distributed promptly and used efficiently,” Fischer wrote. “Layoffs on the scale that DOGE is seeking will lead to delays and waste, resulting in people and communities around the country getting less help to address urgent needs.”
DOGE moves clash with housing agenda
With Trump and Musk’s fight in full swing, Republicans could have a difficult time maintaining control of Congress in next year’s midterm elections.
Recent actions by DOGE directly counter Trump’s initial promise to make housing more affordable and accessible for the average American. Before the presidential election, Trump talked about building more homes. Trump and Harris both spoke about opening more federal lands for housing during the presidential campaigns, as reported by NPR. Trump also wanted to cut down on regulations and bring down mortgage rates.
“Actions taken by the Department include taking inventory of every dollar spent with an eye toward increasing the efficiency; reducing regulatory barriers to affordable homeownership; putting American citizens first; revitalizing urban, tribal and rural communities and so much more,” Secretary Scott Turner wrote in a press briefing.
“HUD is back to work for the American people and as we look toward the years ahead, our accomplishments in the first 100 days will serve as a great foundation to build a lasting legacy for the posterity of our nation.”
From partnership to public spat
Although their fallout was swift, Trump and Musk are showing no signs of slowing their public feud, with the president telling reporters in the Oval Office this week: “Look, Elon and I had a great relationship. I don’t know if we will anymore.”
Musk responded to this statement on X, crediting much of Trump’s success to his own efforts. He spent nearly $300 million to help Trump secure the presidential win.
“Without me, Trump would have lost the election,” wrote Musk. “Such ingratitude.”
Since both leaders are known for calling out their critics on social media, many people guessed they would eventually turn on each other.
“I don’t mind Elon turning against me, but he should have done so months ago,” Trump posted on Truth Social on June 5.
“This is one of the Greatest Bills ever presented to Congress. It’s a Record Cut in Expenses, $1.6 Trillion Dollars, and the Biggest Tax Cut ever given. If this Bill doesn’t pass, there will be a 68% Tax Increase, and things far worse than that. I didn’t create this mess, I’m just here to FIX IT. This puts our Country on a Path of Greatness,” he added.
Following his role as the top Republican donor during the 2024 election cycle, Musk took on a high-profile position in Trump’s administration as the leader of the Department of Government Efficiency. In that role, he led a bold and controversial initiative to significantly reduce the size of the federal workforce and cut government spending.
Just six days before Thursday’s fallout, Trump and Musk appeared together in the Oval Office, where Trump commended Musk’s contributions—and the two pledged to maintain their partnership.
