Trump threatens to cut another $1 billion in Harvard funding, WSJ reports - Headlines news and analysis from Global Banking & Finance Review
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Trump threatens to cut another $1 billion in Harvard funding, WSJ reports

Published by Global Banking & Finance Review

Posted on April 21, 2025

2 min read

· Last updated: April 21, 2025

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Trump Considers $1 Billion Harvard Funding Reduction

(Reuters) -U.S. President Donald Trump is threatening to cut another $1 billion in funding for Harvard University, this time targeting health research, the Wall Street Journal reported on Sunday, as the administration's row with elite schools escalated.

The Trump administration has withheld government funding from Harvard, Columbia and other universities in response to their tolerance of pro-Palestinian demonstrations in what the administration has labeled a failure to control antisemitism on campus.

Harvard pushed back last week, rejecting demands for control of its student body, faculty and curriculum, saying that would cede control of the university to government.

Within hours of Harvard taking its stand, the administration announced it was freezing $2.3 billion in federal funding to the school and the next day threatened to strip Harvard of its tax-exempt status.

The Journal, citing people familiar with the matter, reported the plans to pull an additional $1 billion in research funds arose after administration officials thought a long list of demands they sent Harvard on April 11 was a confidential starting point for negotiations, and officials were surprised when Harvard released the letter to the public.

Trump officials had been planning to treat Harvard more leniently than Columbia but now want to increase the pressure on Harvard, the Journal reported.

The White House and Harvard did not immediately respond to a Reuters request for comment on Sunday.

Since his January inauguration, Trump has cracked down on top U.S. universities, saying they mishandled last year's pro-Palestinian protests and allowed antisemitism to intensify on campus. Protesters, including some Jewish groups, say their criticism of Israel's actions in Gaza is wrongly conflated with antisemitism.

The administration had previously sent a list of demands on April 3 to Harvard for the Ivy League university to continue receiving federal funding. These included a mask ban, removal of diversity, equity and inclusion programs, and more cooperation with law enforcement.

The April 11 letter, signed by officials at the Education Department, the Health and Human Services Department, and the General Services Administration, expanded that list. It told Harvard to stop recognizing some pro-Palestinian groups and asked it to report to federal authorities foreign students violating university policies, among other demands.

(Reporting by Daniel Trotta; Editing by Himani Sarkar)

Key Takeaways

  • Trump threatens to cut $1 billion in Harvard funding.
  • The dispute centers on pro-Palestinian protests on campus.
  • Harvard rejects government control over its policies.
  • Federal funding of $2.3 billion already frozen.
  • The administration demands changes in university policies.

Frequently Asked Questions

What is the main topic?
The article discusses Trump's threat to cut $1 billion in Harvard funding due to pro-Palestinian protests and antisemitism concerns.
Why is Trump targeting Harvard?
Trump targets Harvard for its handling of pro-Palestinian protests and alleged failure to control antisemitism.
What are the implications of the funding cut?
The funding cut could impact Harvard's research capabilities and its financial stability.

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