Trump administration bans federal Medicaid funding for gender-affirming care for minors, citing safety concerns

The US federal government will prevent Medicaid and CHIP funds from covering gender-affirming treatments for minors, citing safety and data gaps, amid ongoing legal and political debates over transgender healthcare.

The Trump administration said Tuesday it will bar federal Medicaid and Children’s Health Insurance Program money from being used to pay for gender-affirming care for minors, including puberty blockers, hormones and some surgeries, with the policy set to take effect on October 13. According to CNBC and The Associated Press, the rule would prevent states from claiming federal reimbursement for those services, though state funding would still be allowed.

Officials said the decision followed a review of national and international research by the Department of Health and Human Services and the Centers for Medicare and Medicaid Services. The administration said the evidence showed major safety concerns and gaps in the data, and that the available research was not strong enough to justify federal funding. AP reported that mental health care for transgender youth would still be covered, even as other treatments are phased out later.

The move comes as several major medical groups continue to support gender-affirming care for young people, saying it can be appropriate when delivered under clinical guidelines. The American Medical Association and other organizations have argued that such care can help some patients with gender dysphoria, while groups including the National Alliance on Mental Illness have said denying care can worsen mental health and raise suicide risk. AP noted that at least 27 states already restrict or ban gender-affirming care for minors.

The policy also fits into a broader campaign by the Trump administration to curb transition-related health care, with Axios reporting that a separate proposal to cut off Medicare funding to hospitals providing similar care has been dropped for now. Reporting from NPR also indicated that the administration had previously floated more sweeping restrictions, but the Medicaid rule is the one now moving forward. Legal challenges are widely expected.