Trump Faces GOP Backlash Over Proposed $500-M Spirit Airlines Bailout

The Trump administration is facing growing opposition from within the Republican Party over a proposed bailout for Spirit Airlines, with conservatives raising concerns about government intervention in business, The Hill reported.

A lawyer for Spirit Airlines confirmed that the company is in talks with the government regarding financing options. (Photo: Tomás Del Coro, Wikimedia Commons) 

President Donald Trump first floated the idea earlier in the week after reports emerged that the administration was considering a $500 million bailout for the airline.

A lawyer for Spirit Airlines confirmed that the company is in talks with the government regarding financing options.

Sens. Ted Cruz (R-Texas) and Tom Cotton (R-Ark.), both prominent Trump allies, quickly voiced opposition. Cruz called the proposal “a terrible idea” in a post on X, while Cotton said it was “not the best use of taxpayer dollars.”

Sen. Mike Lee (R-Utah) echoed the criticism, arguing that “competition among airlines suffers when government bails them out.”

Sen. Ted Budd (R-N.C.) also opposed the plan, saying Americans “shouldn’t be on the hook for another failing business as its competition thrives.”

Meanwhile, Advancing American Freedom, a group linked to former Vice President Mike Pence, released a memo questioning why other businesses affected by tariffs are not receiving similar support.

Some conservatives have compared the potential bailout to the Troubled Asset Relief Program (TARP), enacted during the 2007–2008 financial crisis to stabilize the financial sector.