President Obama’s $825 billion (£575 billion) plan to revive America’s economy passed the House of Representatives last night — but in the face of unexpectedly fierce Republican opposition and partisan rancour.

The Bill is the centrepiece of Mr Obama’s domestic agenda; legislation that he insists is crucial to reviving the stricken economy and that his aides concede could determine the fate of his presidency.

Despite his popularity and a rare presidential visit to Capitol Hill on Tuesday to meet House and Senate Republicans, Mr Obama failed to drum up cross-party support. Not a single Republican Congressman voted for the Bill last night, and it was also opposed by at least ten Democrats.

“The plan now moves to the Senate, and I hope that we can continue to strengthen this plan before it gets to my desk,” Mr Obama said after the vote.

Republican resistance confounded Mr Obama’s hopes of winning broad approval for the package and for his campaign pledge to end Washington’s inter-party squabbling. “Old habits die hard,” Mr Obama said as he acknowledged that the new age of bipartisanship had yet to reach Capitol Hill.

The package — which could exceed $900 billion once it is reshaped in the Senate — had always been expected to pass the House because of the large Democratic majority there. It is also expected to pass the Senate next month but, again, only a minority of Republicans appear ready to back it.

“I know that some are sceptical about the size and scale of this recovery plan,” Mr Obama said after meeting business leaders in the White House. He said that he would open a new website — recovery.gov — where “every American will be able to see how and where we spend taxpayer dollars”.

Many Republicans concede that there are significant political risks if they are seen to be obstructing a measure aimed at creating jobs and ending the deep recession. Yet their opposition, and what they sense is a growing “bailout fatigue” among voters, signals trouble for Mr Obama down the road.

His American Recovery and Reinvestment Plan consists of about $550 billion in spending on building projects, aid to states, expanding unemployment benefit and the government-run health programme called Medicaid, and $275 billion in tax cuts.

Congressional Republicans appear to be finding their voices as they rally against the measure. It has given them a chance to decry what they claim is a Bill weighed down by pet Democratic projects that contains insufficient tax cuts and that will almost double the nation’s $1 trillion budget deficit.

Many have also expressed scepticism that the massive spending provisions will stimulate the economy. In their session with Mr Obama on Tuesday, House and Senate Republicans complained that Nancy Pelosi, the Democratic House Speaker, had shut them out of the drafting process.

They ridiculed provisions in the Bill, including money for low-income families to buy contraceptives, $200 million to regrass the National Mall and $325 million for the prevention of sexually transmitted diseases.

“This isn’t an economic stimulus plan but a rampant spending spree,” said Harold Rogers, a Republican congressman from Kentucky who, like most of his colleagues, wanted significantly more tax cuts. On that point, Mr Obama appeared ready to make one concession: more tax breaks for small businesses.

He also contacted Mrs Pelosi personally to get her to remove the contraception measure from the Bill, and she bowed to demands from conservative Democrats to excise the funds for the National Mall.

Republicans, who have praised Mr Obama for reaching out to them, are not yet ready to attack a popular President. Instead they are aiming at Mrs Pelosi and what they claim is a Democratic Party drunk with power and out of control.

Mr Obama’s unexpected struggle with this Bill signals worse trouble ahead in his efforts to revive the economy: the emergency in the banking sector is deepening every day, despite last year’s $700 billion measure, and at a speed few envisaged.

Many banks are sliding toward collapse. It is likely that Mr Obama will have to ask Congress soon for hundreds of billions of additional dollars to prop up the financial sector — a fight Republicans are already preparing for.

Obama's first week

Tuesday Inauguration

Wednesday Calls leaders in the Middle East. Orders suspension of military trials at Guantánamo Bay. Retakes oath of office.

Thursday Orders closure of Guantánamo Bay and the CIA's “ghost” prisons, and bans torture.

Friday Meets congressional leaders

Saturday Rescinds order banning funding to foreign groups that provide abortions

Sunday Day off

Monday Signs order to introduce cleaner, more fuel-efficient cars. Gives interview to the Arabic television channel al-Arabiya

Tuesday Meets Republicans

Wednesday Meets business leaders and gives speech on economic stimulus Bill

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