Trump signs executive order targeting spending on grants

News | August 7, 2025
U.S. President Donald Trump hosts a Purple Heart Day event at the White House

By Kanishka Singh and Jasper Ward

WASHINGTON (Reuters) -U.S. President Donald Trump signed an executive order on Thursday to tighten federal grant approvals, with grant award decisions to now undergo evaluation by Trump’s political appointees, the White House said.

WHY IT’S IMPORTANT

The Trump administration has threatened to cut federal funds for various agencies and educational institutions over a range of issues. These include pro-Palestinian protests against U.S. ally Israel’s war in Gaza, climate initiatives, transgender policies and diversity, equity and inclusion (DEI) programs.

KEY QUOTES

The order signed on Thursday and released by the White House said “discretionary awards must, where applicable, demonstrably advance the President’s policy priorities.” It said subject matter experts would also be involved in decisions on awarding grants.

The order criticized DEI programs, assistance for immigrants who are in the U.S. illegally, and transgender initiatives.

It said federal grants shall not be used to fund “any other initiatives that compromise public safety or promote anti-American values.”

CONTEXT

Rights advocates have raised concerns about Trump’s federal funding threats, saying they harm free speech and academic freedom and amount to political interference that can undo decades of progress.

Trump and his allies defend his steps by saying his administration is combating ideologies they consider “far left” and “anti-merit.”

(Reporting by Kanishka Singh and Jasper Ward; Editing by Tom Hogue)