Court rules Obamacare is unconstitutional

A federal judge in the US territory of Texas has ruled that a key part of the Affordable Care Act (ACA), known as Obamacare, is unconstitutional.

A coalition of 20 states contended the whole law had been invalidated by an adjustment in tax rules year which eliminated a penalty for not having health insurance.

President Donald Trump said the ruling was great news for America.

The case is now likely to go to the US Supreme Court.

 Donald Trump also promised to dismantle Barack Obama's landmark 2010 healthcare law, which was designed to make medical cover affordable for the many Americans who had been priced out of the market.

But, despite of his Republicans having dominant parts in both the House of Representatives and the Senate, the ACA is still operating.

However, in 2017 Congress did repeal the requirement - the so-called individual mandate - that people buy health insurance or pay a tax penalty.

The Texas court ruling came a day before the deadline for Obamacare enrolment for the coming year.

What does the ruling say?

Two Republicans - Texas Attorney General Ken Paxton and his Wisconsin counterpart Brad Schimel led the legal challenge.

Sitting in Fort Worth, US District Judge Reed O'Connor noted that a $1.5tn tax bill passed by Congress in 2017 eliminated the tax penalties which any individual who failed to obtain health insurance had to pay.

He ruled that the individual mandate was now unconstitutional.

Judge O'Connor said: As the individual mandate was an "essential" element of the ACA, the whole of Obamacare was therefore unconstitutional.

He also said his ruling was concerned with the intentions of the 2010 and 2017 Congresses.

"The former enacted the ACA. The latter sawed off the last leg it stood on."

What  next?

The decision is almost certain to be challenged in the US Supreme Court.

 Sarah Sanders th said that the law would remain in place for the time being, pending further legal developments.

Meanwhile, the White House called on Congress to replace Obamacare with an affordable healthcare system which protects people with pre-existing conditions.

But other states have argued that eliminating Obamacare would harm millions of Americans, and pending any appeal the landmark health care law remains in place.

US Senate Democratic leader Chuck Schumer said: "If this awful ruling is upheld in the higher courts, itwill be a disaster for tens of millions of American families."