As 2025 winds down, New Hampshire residents are feeling the effects of rising costs, major federal policy changes, and a constrained State Budget. In this special year-in-review episode, host Gene Martin sits down with NHFPI Research Director Phil Sletten and Policy Analyst Jessica Williams to break down the year’s biggest policy developments. 

Federal Policy Shifts With Big Local Impacts 

One of the most consequential developments of 2025 wasn’t in Concord – it was in Washington. The “One Big Beautiful Bill Act,” signed just days after the State Budget, includes major changes that could have major long-term impacts in New Hampshire. 

New limits on the New Hampshire’s Medicaid Enhancement Tax may cost the State “hundreds of millions of dollars a year” currently being used to support health services for people with few resources, Phil notes.  

Jessica outlines additional changes, including new Medicaid and SNAP work requirements. Approximately one in eight residents are enrolled in Medicaid, and an estimated 20,000 people could lose coverage under the new work requirement rules. For SNAP, about 76,000 people currently rely on the program, but expanded work requirements, higher administrative cost-sharing with states, and penalties tied to error rates could all impact families in the coming years. 

Health Care Premiums Set to Rise in 2026 

Among the most pressing concerns heading into the new year: the expiration of enhanced Affordable Care Act premium tax credits, which is causing a price spike to health insurance premiums. 

“The average nationwide increase in premiums is 114 percent… the average premium increase in New Hampshire will be about 60 percent,” explains Phil. He notes that for a 40-year-old making $31,000 per year, that could mean $153 more per month for health insurance premiums. For older adults with higher incomes, it could be much more.  

A recent survey found that one in four people nationally would likely go without insurance if premiums doubled, which could have major ripple effects across New Hampshire’s health system and economy. 

Housing: Still Expensive, Still In Short Supply 

Housing affordability continued to worsen in 2025, explained Jessica. The typical monthly mortgage payment for a median-priced home reached about $4,000, meaning a family earning the median income “would be paying about half of their income in mortgage payments alone.”  

Renters face their own challenges, with lower median incomes and higher rates of cost burden. 

Jessica notes that this year’s budget provided far fewer housing dollars than the prior cycle: “Overall, we did not see that significant investment that we saw in the last State Budget cycle.” 

Child Care: A Workforce Crisis With a High Price Tag 

Child care was another defining issue of 2025. Phil recaps NHFPI’s analysis that found New Hampshire is short roughly 9,100 child care slots. 

He explains that those shortages ripple across the economy: “The lower cost scenario was about $158 million lost… the higher cost scenario was $247 million lost.” 

While the last budget allocated the State’s General Fund dollars to support providers, the new budget attempts to use federal Temporary Assistance to Needy Families block grant dollars, a change that still requires federal approval. 

What Surprised Researchers in the Affordability Report? 

NHFPI’s Affordability Eroded report sparked widespread attention this year.  

While working on the report, Jessica was struck by how essentials like housing and medical care rose far faster than luxuries. Phil highlighted the sheer level of health care costs, noting that average health insurance family premiums now rival the cost of “purchasing an entry-level new car every year.” 

Looking Ahead 

The past year brought significant policy changes affecting nearly every household in New Hampshire from the cost of food and housing to the stability of health coverage and child care. 

To keep up with NHFPI’s work in 2026, subscribe at nhfpi.org and follow along as we continue translating data into policy impact.