US debt ceiling clears key hurdle in the House
The bipartisan agreement to raise the $31.4trn US debt ceiling forged by President Joe Biden and House Speaker Kevin McCarthy passed a final vote in the House of Representatives on Wednesday.
The bill, which will also implement new federal spending cuts, cleared the chamber with 314 votes in favour of the legislation. It now heads to the Senate.
The narrowness of its passage from committee, which saw two Republicans break ranks to oppose it, underscored the need for Democrats to help it pass the House, where Republicans hold a slim majority of 222 to 213.
After 29 Republicans voted against the rules bill, Democrat lawmakers stepped in and added their votes to ensure that hurdle too was overcome.
Full congressional approval is required before Monday 5 June, when the Treasury Department could run out of funds to pay its debts for the first time in American history.
Party leaders have expressed confidence they will get enough votes to prevail but, should they fail, the Treasury might not be able to cover its payments, or be forced to prioritise, triggering economic chaos.
