'Frustrating' Debt Ceiling Talks Take Another Turn

Debt ceiling negotiations between Republicans and Democrats broke down twice in one day, with Speaker of the House Kevin McCarthy having expressed "frustration" with the process.

Republicans argued that White House representatives were being "unreasonable" when efforts to strike a deal to raise the debt ceiling initially stalled on Friday. The parties have been in a stalemate over disparate proposals that include cutting or funding government programs and potential tax increases for the wealthy.

When negotiations resumed on Friday night, they were quickly derailed again, lasting "roughly an hour," according to The New York Times. With a June 1 deadline to reach an agreement and a potential default looming, it is unclear when negotiations will reconvene.

Newsweek has reached out via email to the White House for comment.

During a Fox Business interview after the negotiations first broke down, McCarthy said that his office would quickly resume negotiations with President Joe Biden's team, despite his frustrations. Biden, who is currently in Japan for the G7 Summit, has been participating in the negotiations remotely.

"We took a pause because of the frustration," McCarthy said. "This White House will not acknowledge that they've been spending too much. I've been very clear about where this needs to go."

"We'll be back in the room tonight," he continued. "But it's very frustrating if they want to come into the room and think we're going to spend more money next year than we did this year. That's not right, and that's not going to happen."

If a deal is not reached, the government may default on its debt for the first time ever, with likely devastating consequences for the national and global economy. The fallout could also mean paused or delayed payments to millions of Americans—including federal employees, veterans and seniors who rely on Social Security.

Treasury Secretary Janet Yellen urged Congress to suspend or raise the debt limit "without conditions" in a statement issued last month, warning that "a default on our debt would produce an economic and financial catastrophe" that would have widespread and long-lasting impact.

As the deadline approaches, a number of Republicans and Democrats from both ends of the political spectrum have been arguing against making any significant compromises.

A number of progressive Democrats have been urging Biden to sidestep negotiations by invoking the 14th Amendment to raise the debt limit without congressional approval. The president has said he is "considering" the unprecedented move, although it would likely lead to a legal battle.

Some Republicans have been urging McCarthy to resist giving any concessions to Democrats. In a Truth Social post on Friday, former President Donald Trump warned Republicans to "not fold" in negotiations, asserting that they "should not make a deal on the debt ceiling unless they get everything they want."