Donald Trump says he’s giving US troops ‘warrior dividends’ for Christmas

US President Donald Trump has announced that more than one million American military personnel will receive $1,776 (£1,330) payments this Christmas. The initiative was revealed during an 18-minute televised address from the White House on Wednesday, 17 December.

Trump described the payments as a “warrior dividend,” linking the figure to the year 1776 to mark the founding of the United States. The programme is expected to cost around $2.57 billion (£1.9 billion).

According to Trump, the funding will come partly from tariff revenues and partly from the GOP-backed tax legislation he refers to as the “One Big Beautiful Bill.” He said the checks are already being distributed and should arrive by Christmas Day.

The president stated that military members deserve the payment more than anyone, making the announcement amid heightened international tensions. The address also included strong political messaging typical of Trump’s speeches.

CNN reported that Defence Secretary Pete Hegseth has instructed the Pentagon to distribute a one-time housing allowance supplement worth roughly $2.6 billion to eligible service members ranked O-6 and below.

The payments are expected to reach about 1.28 million active-duty personnel and roughly 174,000 reserve members. Officials said the move reflects a continued effort to improve military housing and overall quality of life.

Trump also used the speech to criticise the previous administration and claim economic progress under his leadership, despite recent polls showing declines in his approval ratings, particularly regarding his handling of the economy.