Trump promises $5,000 'dividend' to Americans if Republicans win November midterms, adds a caveat

US President Donald Trump has promised a $5,000 “dividend” to every adult American if Republicans retain control of both chambers of Congress in the November midterm elections, saying the payment would be funded by revenue from tariffs.

“If the Republicans win the House of Representatives and the United States Senate, both of them ... I will issue a dividend to every adult citizen in the United States of America for five thousand dollars,” Trump said at 'Trumpapalooza' midterm convention in Dallas.

He compared the proposed payment to a cash distribution made by a successful company to its shareholders and said the money would have to be spent within the United States.

“The only caveat I have is that the dividend that we're making must be spent in the United States of America,” Trump said.

The proposal comes ahead of the November midterm elections, in which control of Congress will be at stake.

US midterm elections are held halfway through a president's four-year term.

All 435 seats in the House of Representatives and roughly one-third of the 100 seats in the Senate are contested.

The outcome will determine the balance of power in Congress for the remainder of Trump's term and could affect his ability to advance his legislative agenda.

Max Yoeli, senior research fellow with the US and North America Programme at Chatham House, wrote on September 9 that Democrats were projected to win the House, while the Senate race remained more closely contested.

He said Republicans were likely to lose their control of the House, Senate and presidency — the “governing trifecta” that has allowed Trump to advance his agenda with fewer congressional constraints.

A Democratic majority in either chamber could block Republican legislative initiatives.

A change in control of Congress could also trigger investigations into issues including Trump's family business dealings and the administration's handling of the Iran war.

Congressional powers such as subpoenas could, however, face enforcement challenges.

Trump's proposed $5,000 payment would represent a major expansion of the direct cash benefits he has previously promoted.

He also referred to his administration's “Trump Accounts” for children, under which the government puts $1,000 into accounts for eligible newborns.

Trump did not provide details on how the proposed $5,000 dividend would be administered, or when the payments would be made.

Trump framed the proposed payment as a direct benefit of a Republican victory, telling supporters: “If the Republicans win, you win with us and you get $5,000.”

He said the payment would be called the “Trump dividend.”