Democrats secured control of both the House and Senate in the 2026 midterm elections, driven by a campaign focused on lowering the cost of living for American households. The victories mark a shift in voter trust regarding economic management, with exit polls indicating a majority of voters now view the Democratic party as more reliable on economic issues than the Republican party. However, the new legislative majority faces significant structural challenges in translating campaign promises into law, primarily due to the presidential veto power held by Donald Trump.
The election results culminate months of campaigning where Democratic candidates across states such as Kansas, South Carolina, and Maine centered their platforms on inflation and everyday expenses. Conversely, Republican candidates attempted to redirect voter attention toward concerns about crime and political ideology. With the new Congress set to convene in January, the central question for policymakers is how to address affordability when legislative authority is divided between a Democratic Congress and a Republican president.
What the Right Is Saying
President Trump has characterized concerns about the cost of living as a "hoax," blaming Democrats for high prices while touting his own tax cuts and recent electoral victories. During campaign rallies, Trump highlighted profits made by oil companies, stating, "We’re making a freaking fortune," and asserted that "prices have come way down." This stance contrasts with his earlier campaign promises to deliver cheaper groceries and gas below $2 a gallon.
Republican strategists and candidates sought to frame the election around fears of socialism and crime, often incorporating religious and cultural critiques into their messaging. Trump repeatedly attacked Muslim candidates, such as El-Sayed, accusing him of being a jihadist. Despite the loss of congressional majorities, Trump indicated a willingness to work with the opposition, offering an olive branch similar to his approach after the 2018 midterms. However, critics note that previous offers of cooperation under Trump did not result in significant bipartisan legislation.
What the Left Is Saying
House Democratic Leader Hakeem Jeffries stated that the party is "laser-focused on addressing the affordability crisis that has been crushing everyday Americans," signaling an immediate legislative agenda upon taking control of the House. Jeffries, who is projected to become the first non-white Speaker of the House, has outlined priorities including restoring expired Affordable Care Act tax credits and reversing Medicaid cuts enacted in the 2025 tax bill.
Senate Democrats, including incoming Senator Abdul El-Sayed of Michigan, argue they have a "mandate to get stuff done" to put money back into voters' pockets. El-Sayed’s platform includes expanding Medicare to all Americans and reducing the influence of money in politics. Senator-elect James Talarico of Texas, who defeated incumbent Ken Paxton, has proposed eliminating tax cuts for the wealthiest households and expanding down payment assistance for first-time homebuyers. Talarico noted he is open to working with President Trump on specific issues such as suspending federal gas taxes and legalizing marijuana, stating, "I look forward to working with him for all 31 million Texans."
What the Numbers Show
According to the NBC News Exit Poll, more than 80% of midterm voters expressed worry about the price of necessities, including gas, groceries, and healthcare. The poll also revealed that 69% of voters believe the U.S. economic system favors the wealthy, while only 31% view it as generally fair. In a reversal from the 2024 election cycle, a majority of voters indicated they trust Democrats more than Republicans on economic issues.
Economic indicators show mixed results under the current administration. While unemployment remains low, job growth outside the healthcare sector has been limited. The Bureau of Labor Statistics reported that annual inflation rose to 3.7% in September, a figure released shortly before Trump stated there was "very little inflation." Additionally, diesel fuel costs have increased by more than 50% this year, attributed partly to disruptions in global oil markets following the U.S. and Israel’s conflict with Iran. The Tax Foundation analysis indicates that while tax cuts have funded corporate investments, some savings have been offset by higher consumer prices.
The Bottom Line
Democrats face a complex legislative landscape where their ability to pass affordability measures is constrained by the presidential veto. While they hold majorities in both chambers, they lack the two-thirds majority required to override vetoes. Potential legislative actions include limiting tariff authorities, restricting war powers regarding Iran, and reinstating healthcare funding cuts. The effectiveness of these efforts will depend on whether President Trump chooses to cooperate with the new Congress or continue to block Democratic initiatives. Observers will watch for early signals of bipartisan agreement on specific issues like gas tax suspensions, which both parties have expressed interest in, versus broader structural changes to healthcare and tax policy.