The Trump administration has claimed its aggressive immigration policy will benefit the economy, bringing down the cost of living and improving affordability. But a new report is calling that claim into question and even arguing that the policy is making life more expensive.
The report, released by advocacy group America’s Voice, argues the President’s mass deportations have caused the price of groceries, homes and healthcare to rise. It’s also caused local economies to contract.
The group is calling the added costs the “ICE Tax,” in reference to the U.S. Immigration and Customs Enforcement and says the loss of immigrant workers is impacting the economy.
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“Forcibly deporting hundreds of thousands of essential workers means extra dollars at the grocery checkout, the home that costs six figures more to build, the corner store that goes quiet after a raid, the job that disappears when a coworker never comes back to work,” Vanessa Cardenas, executive director of America’s Voice, said in a statement, according to CNBC.
The ‘ICE Tax’
America’s Voice analyzed 12 months of federal price data ending in June and found that costs are rising more quickly for foods whose production relies on immigrant labor. For example, lettuce was up 31 %, fresh citrus rose by 6% and apples by 7%.
Other industries outside of agriculture are also being impacted.
In the Northeastern U.S., new permits for single-family homes fell 23.5% from March 2025 to June 2026. The construction workforce in that region is composed of 23% immigrant laborers. New home prices in the same region rose 15.4% between the first quarter of 2025 and the first quarter of 2026.
Home healthcare, where 40% of workers are immigrants, has seen a 10.7% increase over the past year.
America’s Voice notes that other factors outside of Trump’s immigration policy are further exacerbating the crisis, such as weather and higher fuel costs.
“No single figure proves the case on its own. But category after category, the products and services that rely most on immigrant labor are the ones pulling away from the rest of the economy. That’s a cost with a cause, not a coincidence,” the report says.
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The Trump administration responds
The president has set an aggressive goal of deporting a million people annually. In July alone, ICE took more than 46,000 individuals into custody for alleged immigration violations — the highest of any month, according to CBS News. The agency is reportedly facing pressure from the White House to record 2,000 arrests each day.
Trump’s immigration policy has faced widespread criticism for its aggressive tactics, and critics have raised concerns about human rights violations. Additionally, ICE has come under fire for a series of high-profile killings.
But the latest report from America’s Voice is making an economic argument for policy changes.
In a statement to CNBC, White House spokesperson Lauren Bis called the report’s findings into question, blaming former President Joe Biden instead.
“Thanks to the Biden administration releasing millions of illegals into our country, rent increased, car insurance premiums skyrocketed, the quality of our health care and education declined and wages dropped for American workers,” Bis wrote in an email to CNBC. “President Trump is ending the affordability crisis caused in part by the Biden administration’s open border policies by putting American citizens first.”
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Rinna Diamantakos is a contributing editor at Moneywise.com. A versatile journalist, she has experience as a writer, editor and producer. Her work has focused on politics, business and financial news.
