What happens now the US government has been shut down as concerns grow

The US government has officially shut down for the first time since 2018, after Republicans and Democrats failed to reach an agreement on a funding plan before today's deadline (October 1).

For those not familiar, an American government shutdown means that all non-essential functions of government are going to be frozen and workers will be furloughed, or even laid off.

This is because these federal agencies depend on their funding being approved by Congress to then allow for the president to sign budget legislation for the financial year ahead.

However, as both political parties are pushing for different things and neither is backing down, both proposals that would have funded the government past yesterday (30 September) failed in the Senate and neither was put into action.

Democrats were pushing to stop the Medicaid cuts and extend Affordable Care Act tax credits, while Republicans instead wanted a 'clean' funding bill without those additions.

And until they come to a decision, everything has come to a grinding halt - so, what happens now?

The US government has shut down - what happens next? (Kent Nishimura/Getty Images)

What happens next after the government shutdown?

Now the shutdown is actually underway, everyone has the same questions, with the first one being what actually happens now?

The White House Office of Management and Budget has begun its process to notify agencies about what's happened and instruct them to initiate shutdown activities.

As per AP News, the memo went out in advance yesterday evening (Tuesday 30 September).

So, federal workers will be notified on whether they have to continue working or not based on what their job role is, with no indication of when things will pick back up again.

Roughly 750,000 federal workers are expected to be furloughed, some potentially fired by the Trump administration.

Many offices will be shuttered, potentially permanently, as Trump has vowed to 'do things that are irreversible, that are bad' as retribution.

Non essential federal services have come to a halt following the government shut down (Kent Nishimura/Getty Images)

Who continues working during a shutdown?

Because funding has been halted, all federal workers except those deemed essential will be furloughed, while those who are needed for the country to run will continue to work.

However, they won't be paid until after the shutdown, meaning some may simply decide not to turn up for work or call in sick, as we saw with TSA staff during the last shutdown, affecting travel.

Those considered essential include the FBI, CIA, border protection, in-hospital medical care, law enforcement, air-traffic control, the armed forces, and the National Weather Service.

While, federally-funded things like food assistance programmes, pre-schools, the issuing of student loans, food inspections, and operations at national parks will stop.

AP News reported that social security payments still go out and seniors relying on Medicare coverage will still be able to see their doctors, with health care providers being later reimbursed.

And according to USA Today, the Health and Human Services Department said it will not be able to process public information requests, while the National Institutes of Health will not be admitting new patients in clinical research trials.

In 2019, Congress passed a bill that made it a legal requirement for furloughed employees to get retroactive pay once operations resume, however, as it's uncertain when this will be, many people are forced to get a second job.

Donald Trump made an eerie threat to Democrats ahead of the shutdown (Leon Neal/Getty Images)

What impact will the shutdown have?

According to the BBC, analysts think that this shutdown could be bigger than the one in 2018 with roughly 40% of federal workers expected to be put on temporary leave.

The ramifications are expected to spread beyond politics, upending the lives of Americans who rely on the government for benefit payments, work contracts and the various services being thrown into turmoil.

“What the government spends money on is a demonstration of our country’s priorities,” said Rachel Snyderman, a former White House budget official who is the managing director of economic policy at the Bipartisan Policy Centre, a think tank in Washington.

Shutdowns, she said, 'only inflict economic cost, fear and confusion across the country'.

Yesterday, Trump had a threatening message for Democrats from the Oval Office: "The last person that wants to shut down is us. Now, with that being said, we can do things during the shutdown that are irreversible - that are bad for them and irreversible by them. Like cutting vast numbers of people out. Cutting things that they like, cutting programs that they like."