Food, fuel and taxes – can the Democrats actually make life cheaper?

Breaking news from the markets: Food, fuel and taxes – can the Democrats actually make life cheaper? Figure caption, 'Hopefully things get done': Americans react to historic political shiftByMichelle Fleury New York business correspondentPublished5 November 2026Two business owners, half a country apart, want the same thing for different reasons. In Texas, Kim Hanks, who owns Tillies, a hotel, restaurant and spa business near Austin, says rising grocery and fuel costs are forcing her to raise wages for her 300 staff.

"It's been such a moving target for us on affordability," she told the World Service. In Indiana, Danny Reynolds, who runs Stephenson's of Elkhart, a clothing and bridalwear store, simply wants Washington to get its act together. "My hope is that we can just find some consistency, some working together," he said.

Economic Details

Democrats say they heard both messages. "We ran on affordability, we won on affordability, and now it's our job to govern on affordability," said House Democratic leader Hakeem Jeffries on MS Now's Morning Joe. But here comes the difficult part.

Democrats will hold Congress. Donald Trump still has the power to block their plans. Image source, EPA/ShutterstockImage caption, House Democrat leader Hakeem Jeffries said "now it's our job to govern on affordability"A message that cut throughThe scale of the win was bigger than most forecasters expected, with at least seven Republican-held Senate seats changing hands.

Behind the result was a striking mood: just 21% of Americans are satisfied with the direction of the country, even though the economy looks healthy on paper. Voters weren't looking at the statistics. They were looking at their grocery bills, electricity bills and the price at the petrol pump.

Analyst Views

In rural Texas, rising costs were even hurting Republicans in their own backyard. Sid Miller, the outgoing Republican agriculture commissioner, told me ranchers are getting $300 to $500 less for each head of cattle, while also facing record fertiliser costs. "They felt betrayed," he said.

This was more than a blue wave. It was a vote about the cost of living. So what can Democrats actually do about it?

Image source, via Getty ImagesImage caption, The outgoing Republican agriculture commissioner for Texas Sid Miller says ranchers 'feel betrayed'The affordability planUnder the banner "Fighting for an Affordable America," Democrats say healthcare is their first priority. They want to bring back the extra financial help that made health insurance cheaper under the Affordable Care Act and reverse the cuts to Medicaid signed by President Trump in 2025. Next come tariffs and energy.

Financial markets are tracking the development closely as investors assess the likely impact.