Economy

More states cut spending, raised taxes to address budget pressures

A NASBO report detailed the steps states took this fiscal year.

Sophie Quinton

05:20 PM, Nov 20, 2025

FILE – The Pennsylvania State Capitol is reflected on the ground June 30, 2025, in Harrisburg, Pa. (AP Photo/Aimee Dilger, File)

Far more states cut spending or raised taxes or fees to balance their budgets this fiscal year than in the previous one, according to a new survey of state budget directors.

Lawmakers in about half the states cut spending, up from 12 states, while 12 states raised taxes or fees, up from four states.

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