It’s that time of year again. While I’ve written about the top consumer and personal finance stories of the year for decades, there has never been a year like this one in the history of the United States.
As usual, I’m one of the few reporters writing about the top consumer and personal finance stories of the year, research that I enjoy.
Here’s my report on 2025:
Democracy. As President Trump and his supporters have jumped in to dismantle the federal government and cancel agency funding to meet a conservative agenda, havoc has been wrecked on many of the programs consumers have relied on for years. Thousands of government employees have been fired, funding has been frozen, cuts have been made to numerous state and local governments programs, and agencies – such as the Education Department – are being dismantled. In addition, foreign aid was halted and the federal government shutdown in October. President Trump also has taken unprecedented action in sending troops to cities and arresting and jailing migrants.
Consumer protection. Russell Vought, federal budget director and the acting director of the Consumer Financial Protection Bureau, wants to shut down the CFPB and lay off all of the its employees. The agency has largely been inoperable since President Trump has sworn into office. Its employees are mostly forbidden from doing any work, and most of the agency’s actions this year has been to unwind the work it did under President Biden and Trump’s first term. Vought has said his intention is to shut down the CFPB. The fate of the CFPB is before the courts.
The economy. In 2025, the U.S. economy experienced challenges including inflation, a slowdown in hiring, and unemployment. On tariffs, Americans, not foreign exporters or overseas governments, are bearing the majority of the cost of the tariffs with U.S. consumers absorbing 55 percent of tariff costs by the end of this year. While high-income consumers are doing well, middle- and lower-income consumers are struggling. This is leading economists to describe this year economy as “K-shaped,” the upward part of the K representing those doing well and the downward part those who aren’t.
Health care. Families across the country will see their insurance premiums rise sharply in 2026 because Congress hasn’t extended Affordable Care Act subsidies. The Centers for Disease Control and Prevention revised parts of its vaccine guidance in ways that appeared influenced by political pressure rather than scientific evidence.
AI. In 2025, AI expanded beyond screens and began impacting national policy, global trade relations, and the stock market. It also raised questions about whether AI should be trusted in the workplace, classrooms, and relationships. AI’s influence is expected to continue in 2026.
Climate change. From record temperatures on land and sea to mounting economic losses from extreme weather, the year reinforced how climate change is now shaping everyday realities across regions. The Los Angeles wildfires in January, spring storms, more than 1,000 tornadoes during tornado season, Texas flooding in July, and end-of-the-year flooding in the Pacific Northwest and severe winter storms in the Northeast, to name a few.
War. From conflicts in Europe and the Middle East to political unrest in South Asia and trade tensions driven by major economies, 2025 was marked by sustained instability and geopolitical disruption. Prolonged fighting deepened humanitarian crises, domestic unrest affected governance in several countries, and policy decisions by major powers reshaped global trade and diplomacy.
That’s it for this year. Unfortunately, 2026 will likely bring more of the same.
