A federal appeals court in the United States has delivered a significant ruling, permitting the enforcement of a Trump-era law that strips vital Medicaid funding from Planned Parenthood health centres across 22 states and Washington DC.
The Legal Battle Over Funding
On Tuesday, a three-judge panel from the Boston-based First US Circuit Court of Appeals put on hold an injunction that had blocked the controversial measure. The injunction was originally issued by US District Judge Indira Talwani, who was appointed by former President Barack Obama.
The provision in question was passed by Republicans in Congress as part of their One Big Beautiful Bill Act. It specifically bars Medicaid reimbursements for tax-exempt organisations that provide family planning services if they also perform abortions and received more than $800,000 in Medicaid funds during the 2023 fiscal year.
Impact on Healthcare Access
Planned Parenthood, which asserts the law was crafted to target it, reports the policy has already contributed to the closure of at least 20 of its health centres since it was signed into law by former President Donald Trump in July. The organisation warns that up to 200 centres could ultimately close.
This poses a severe threat to healthcare access for low-income individuals. In 2024 alone, Planned Parenthood centres treated Medicaid patients in over 1.5 million visits, primarily for services like STI tests, cancer screenings, and contraception. It is already broadly illegal to use federal dollars for abortions.
Experts caution that if patients can no longer visit Planned Parenthood, they may have nowhere else to turn for these essential services. Because many of the affected centres are in states that still permit abortion, their closure could dramatically curtail access to the procedure, leading advocates to label the measure a "back-door abortion ban".
Ongoing Judicial Scrutiny
The legal fight is far from over. Judge Talwani had reinstated her block on the law on 2 December, arguing that the states were likely to succeed in proving the law imposed an unconstitutional retroactive condition on their Medicaid programmes. She stated the law failed to give states clear notice and imposed an unanticipated restriction.
However, the First Circuit panel—notably composed entirely of judges appointed by Democratic presidents—disagreed. They found the Trump administration was likely to prevail on appeal, stating Congress had the power to make such changes and the law was not ambiguous.
In response to the ruling, a spokesperson for California's Democratic Attorney General, Rob Bonta, who co-led the case, called it disappointing but reaffirmed a commitment to ensuring vulnerable residents can access needed healthcare.
