House Speaker Kevin McCarthy (R-CA) told lawmakers on Tuesday that Republican leaders are “nowhere near” a deal with the White House on the debt ceiling, a revelation that comes less than two weeks before the nation is expected to default on obligations.
The debt ceiling, a statute established by Congress that prevents the government from spending beyond a predetermined national debt limit of $31.4 trillion, exceeded the threshold earlier this year. Treasury Secretary Janet Yellen affirmed in a letter that her agency expects to default as early as the first day of June unless the debt limit is soon amended. Republicans desire to link a temporary increase in the debt ceiling with spending caps, while Democrats say they prefer separate processes for debt limit negotiations and budget reforms.
McCarthy asked fellow Republicans in a closed door meeting to “hang with me on the debt limit” since he and President Joe Biden are “nowhere near a deal yet” with respect to spending reforms, according to comments obtained by Punchbowl News founder Jake Sherman.
