House Republicans could be setting up another fight over the debt limit — this time, just months before the 2024 presidential election.
A sweeping, 320-page bill they unveiled this week would raise the debt ceiling, which caps how much money the Treasury can borrow to pay the country’s bills, through the end of next March or by $1.5 trillion, whichever happens first.
The move has already prompted fierce blowback from Democrats, with Senate Majority Leader Chuck Schumer (D-N.Y.) dismissing the proposal as a non-starter and accusing Republicans of punting the issue.
“Amazingly, one of the few specifics [Speaker] McCarthy has presented is his terrible idea to kick the can down the road for just one year and undergo the same crisis again,” Schumer said this week. “Why would anyone want to undergo this crisis again, again and again?”
Speaker Kevin McCarthy (R-Calif.) brushed off questions about the proposed timeline earlier this week, instead turning his focus to Democrats for refusing to come to the table to work out a deal that pairs raising the debt limit with fiscal reforms.
“I think the most important thing here is I would like to do this together and solve this problem, but they don’t want it, so we’re going to send a bill over to the Senate,” McCarthy told The Hill.
But other Republicans defended the timeline.
Rep. Andy Harris (R-Md.) told The Hill he prefers extending the debt limit “for a short period of time,” saying the move would allow House Republicans more leverage to shape fiscal policy in a divided Congress.
“You get another bite at the apple in a little while,” Harris told The Hill.
Rep. Kevin Hern (R-Okla.), chairman of the Republican Study Committee, the House’s largest GOP caucus, also said earlier this week shorter-term measures raising the debt limit could give the party more leeway for fiscal reforms. But he also said there’s other math at play behind the push.
“It really goes back to what you can actually get passed right now with 218 votes to be able to have that limit build your tail spinning right now,” Hern told The Hill. “It really is nothing about a second bite of the apple that’s not part of the calculus.”
“Look at the amount of money you would need to offset,” Hern said, adding the “debt ceiling would need to be raised to roughly $3.5 trillion to get beyond the election next year — and trying to find consensus on $3.5 trillion in savings might be very difficult.”
At the same time, some Republicans see their fight to curb spending as a winning issue, as the national debt hovers around the roughly $31.4 trillion threshold set by Congress more than a year ago.
“I think that spending is going to have a major impact on the presidential election because this inflation is hurting every American,” Rep. Byron Donalds (R-Fla.) said ahead of the bill’s release earlier this week.
Rep. Dan Crenshaw (R-Texas) also said then that he thinks Americans “will look at a list of the things that we’re asking for and say that it makes total sense.”
“Everyone should know by now our debt [is] a problem,” he told The Hill, but he also said he “doesn’t think it affects the election too much one way or the other.”
“I talk to regular voters,” he said, “they’re not having talks about the debt limit increase at the kitchen table.”
Still, partisan battles over the limit can garner significant public interest when cuts to popular programs are on the table.
Recent examples include the monthslong campaign by Democrats accusing Republicans of wanting to make cuts to popular programs like Social Security and Medicare — which GOP leaders adamantly vow is off the table in debt limit talks and weren’t included in the proposal rolled out this week.
And of course, there is the threat of a partisan fight triggering a federal default — an outcome Republicans in both chambers say won’t happen, but one experts warn could be catastrophic for the economy.
“It’s a risk because it’s a very volatile conference that McCarthy has to wrangle,” GOP strategist Rob Stutzman said. But he added that there’s a “pretty good upside for them as well.”
“If there’s a default, there’ll be massive blame,” he said, but he added: “I think the Republicans have wind in their sails and that there’s public opinion for them to use this as a leverage point on spending.”
Republicans saw an edge last year in polling when it comes to who Americans prefer on issues like the economy compared to Democrats.
Other polling has also shown a majority of Americans agree that the government is spending too much, with 60 percent of respondents saying so in an AP-NORC survey published in March.
But when pressed on where the government is spending too much, respondents in the poll, conducted between March 16-20, were largely divided in most areas. The only area where most voters — 69 percent — agreed is too costly is funding for assistance for other countries.
Coming in second was assistance for big cities, which 41 percent of respondents agreed the government spent too much on. And less than 30 percent of respondents said the same for areas like the military (29 percent), the environment (25 percent), aid for the poor (18 percent), child care assistance (16 percent), and education (12 percent).
The number of respondents who said spending for entitlement programs like Medicare and Social Security was excessive was even smaller, with 10 percent and 7 percent, respectively, saying as much in the poll. Both programs account for a significant chunk of annual spending.
GOP leadership plans to vote on the debt ceiling bill next week. But its chances of passage are unclear as leaders still work to shore up necessary support.
Democrats and advocates have also come out against a slew of proposal attached to the newly unveiled debt ceiling bill. That includes portions targeting popular decisions by the Biden administration on student loans, beefed up work requirements for food stamps recipients and those on Medicaid, among a host of other partisan plans. Indiana Gov. Holcomb signs bill making machine gun ‘switch’ illegal Former WWE wrestler charged with theft of millions from Mississippi welfare
The bill is very unlikely to pass the Democratic-led Senate as it stands. And though there is also support among Republicans in the Senate, they also acknowledge the final bill will ultimately need the backing of both parties to secure passage.
“It’s what he can get done, and it’s what the president would accept,” Sen. Mike Rounds (R-S.D.) said, when discussing the proposed election-year timeline and the impact another debt limit fight slated for early 2024 would have on the presidential race.
“That’s the reason why I say let them fight it out first, because clearly the President is going to have an interest in the presidential cycle,” Rounds said. “And most certainly the Speaker has an interest in the presidential cycle.”
“A wave of new cafes, bars, music venues and outdoor dining” could come to the UK – as the government unveils plans to overhaul planning rules and “breathe new life into the high street”.
Under the proposals, ministers also want to reform licensing rules to make it easier for disused shops to be converted into hospitality venues.
In a statement, Chancellor Rachel Reeves said she planned to scrap “clunky, outdated rules… to protect pavement pints, al fresco dining and street parties”.
The reforms also aim to prevent existing pubs, clubs, and music venues from suffering noise complaints when new properties hit the market.
Developers who decide to build near those sites will be required to soundproof their buildings.
Image: Reuters file pic
As part of dedicated “hospitality zones”, permission for al fresco dining, street parties and extended opening hours will be fast-tracked.
The government says the reforms aim to modernise outdated planning and licensing rules as part of its Plan for Change, to help small businesses and improve local communities.
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The rough plans will be subject to a “call for evidence” which could further shape policy.
Business Secretary Jonathan Reynolds said the proposals will “put the buzz back into our town centres”.
“Red tape has stood in the way of people’s business ideas for too long. Today we’re slashing those barriers to giving small business owners the freedom to flourish,” he said.
The hospitality industry has broadly welcomed the changes but argued tax reform was also essential.
Kate Nicholls, chairwoman of UKHospitality, described the proposals as “positive and encouraging”.
However, she added: “They can’t on their own offset the immediate and mounting cost pressures facing hospitality businesses which threaten to tax out of existence the businesses and jobs that today’s announcement seeks to support.”
While supporting the reforms, Emma McClarkin, chief executive of the British Beer and Pub Association (BBPA), had a similar message.
“These changes must go hand in hand with meaningful business rates reform, mitigating staggering employment costs, and a cut in beer duty so that pubs can thrive at the heart of the community,” she said.
In July, BBPA estimated that 378 pubs will shut this year across England, Wales and Scotland, compared with 350 closures in 2024, which it said would amount to more than 5,600 direct job losses.
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Pubs closing at a rate of one a day
Bar chain Brewdog announced this week that it would close 10 sites, partly blaming “rising costs, increased regulation, and economic pressures”.
Andrew Griffith MP, shadow business secretary, said: “Though any cutting of red tape for hospitality businesses is welcome, this is pure hypocrisy and inconsistency from Labour.”
He said the government was “crippling the hospitality industry by doubling business rates, imposing a jobs tax and a full-on strangulation of employment red tape”.
A campaign group for a third runway at Heathrow that gets funding from the airport has been distributing “incredibly misleading” information to households in west London, according to opponents of the expansion.
The group, called Back Heathrow, sent leaflets to people living near the airport, claiming expansion could be the route to a “greener” airport and suggesting it would mean only the “cleanest and quietest aircraft” fly there.
It comes as the airport prepares to submit its planning application for a third runway ahead of the 31 July deadline, following the government’s statement of support for the expansion.
Image: A plane lands over houses near Heathrow Airport. Pic: PA
Back Heathrow calls itself a “local campaign group of over 100,000 residents” and does not mention the funding it receives from the airport in the newsletter.
Its website also does not mention the current financial support and says it “initially launched with funding from Heathrow Airport but we have since grown”.
Back Heathrow also told Sky News it had “always been open” about the support it receives from the airport.
At the bottom of every web page, the organisation says: “Back Heathrow is a group of residents, businesses and community groups who have come together to defend the jobs that rely on Heathrow and to campaign for its secure future.”
Heathrow Airport said it had always been clear about funding Back Heathrow, but would not disclose how much it provides.
Image: Parmjit Dhanda in 2009 at the hustings to be Speaker of the House of Commons. Pic: Reuters
Who’s behind Back Heathrow?
The group’s executive director is former Labour minister Parmjit Dhanda, who was MP for Gloucester from 2001 to 2010 and sits on the National Policy Forum – the body responsible for developing Labour policy.
Latest accounts for Back Heathrow show it had five employees, including its two directors, in the financial year ending 30 June 2024. The second director is John Braggins, a former campaign adviser to Tony Blair.
The business had £243,961 in cash, the accounts show.
What are the group saying?
In the newsletter, executive director Mr Dhanda said people ask if Heathrow is sustainable. In answering the question, he appeared to suggest the airport can dictate what types of planes use Heathrow.
“We can build a cleaner, greener and smarter airport – using more sustainable aviation fuel, ensuring only the cleanest and quietest aircraft fly here, reduce stacking in our skies and modernise our airspace to cut emissions in flight,” he wrote.
When asked by Sky News what Back Heathrow meant and what the source for the claim was, the organisation pointed to the airport’s traffic light system of noise and emission measurements for the 50 largest airlines serving Heathrow.
“The scheme helps to see what areas certain airlines are excelling in and where improvements can be made,” a spokesperson said.
But those “cleaner and greener” claims were dismissed as “myths” by one campaigner.
Image: Back Heathrow’s spring 2025 newsletter
Finlay Asher is an aerospace engineer and co-founder of Safe Landing, a group of aviation workers and enthusiasts seeking climate improvements in the industry.
He said the emissions savings from sustainable aviation fuel (SAF) were “highly debatable” – but added that even if they were taken at face value, use of these fuels is “relatively low” and so only provides small emissions reductions.
“Air traffic growth at Heathrow will wipe this out,” he said.
Mr Asher also disputed the claim that only the cleanest and quietest aircraft will fly at Heathrow. “There is no policy in place which prevents older generation aircraft from being operated out of any airport,” he said.
As for reducing “stacking” – where aircraft wait over an airport to land – Mr Asher said if that’s the goal, “adding more aircraft to the sky won’t make this easier”.
Opposition to Back Heathrow’s claims also came from Rob Barnstone, founder of the No Third Runway Coalition, which is funded by five local authorities surrounding Heathrow Airport.
He said that regardless of fuel efficiencies or new quieter engines, having the additional 260,000 flights Heathrow has said will be created with an extra runway – in addition to the airport’s current cap of 480,000 – would create “an awful lot of noise”.
“For all the best will in the world, Heathrow is a very, very, very noisy neighbour… When you’re adding a quarter of a million additional flights, that’s going to create an awful lot of emissions, even if they’re using planes that are ever so slightly less environmentally damaging than previous planes,” Mr Barnstone said.
Green claims
Under the heading of “UK sustainable fuel industry for Heathrow”, Back Heathrow said “advances in electric and hydrogen powered aircraft can ensure we meet our environmental targets”.
Elaborating on this, Back Heathrow told Sky News: “Zero-emission electric and hydrogen aircraft are very much the end goal for civil aviation and countries like Norway have set 2040 as the year that all of their short-haul flights will be by electric planes.”
The statement was called “incredibly misleading” by Dr Alex Chapman, senior economist at the left-leaning think tank New Economics Foundation (NEF).
“There’s just absolutely no confidence that those aircraft are going to have any meaningful impact on emissions and commercial aviation in any reasonable time frame. And, yeah, we can all speculate as to what may not happen in 50 years’ time. But I think the people living around the airport should be given the information about what’s actually realistic.”
Even if the technology were available, the runway may not be ready for it, Dr Chapman said.
“Perhaps more importantly, there’s been no indication so far that the proposed new runway is being built to cater for those types of aircraft, because a runway that caters to electrical, hydrogen powered aircraft would be very different to one that was for conventional fuel, particularly in terms of the fuelling infrastructure around it that would be required: pipes to pipe hydrogen, massive charging power facilities.”
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Heathrow CEO on expansion plans
While work is under way to develop electric aircraft, there are currently no commercial electric flights taking place. The best-case scenario is battery-powered flights that may be suitable for short journeys.
But as a major international airport, more than 40% of Heathrow’s flights are long-haul and medium-haul.
And while airlines such as easyJet have called for government funding to develop hydrogen flying suitable for short-haul flights, there are obstacles to making regular commercial flights a reality.
Providing enough hydrogen for the plane journeys from renewable sources will be challenging, as will transporting the fuel, and reworking airport infrastructure for hydrogen refuelling.
Plans for hydrogen aircraft are at least a decade away, with Airbus saying it wants to get a 100-seat hydrogen plane in the air by 2035 – although Back Heathrow’s estimates for a third runway have flights taking off in 2034.
For now, rising emissions from flying are risking the UK’s climate targets, according to the independent government advisers of the Climate Change Committee, who found flights contribute more greenhouse gas than the entire electricity supply sector.
Image: Back Heathrow’s spring 2025 newsletter
Expanding at ‘full capacity’
On the first page of the newsletter, Back Heathrow says “Heathrow is at full capacity”, but the company told Sky News the airport has been “operating at 98% capacity since 2005”.
Despite its 98% capacity, Heathrow Airport has broken passenger number records every year for the past 14 years – excluding the pandemic years of 2020 to 2023.
Dr Chapman said Heathrow is at capacity regarding the government-imposed flight cap, not at the capacity of the current runway infrastructure.
“So if the government were, for example, to lift that cap on the number of aircraft movements, it’s pretty likely that they could actually fly 10% to 20% more flights out of the existing infrastructure,” he said.
As aeroplanes have expanded to carry more passengers, the airport has welcomed more people, he added.
The airport earlier this month announced plans to increase its capacity by 10 million passengers a year, before a third runway is built, and to raise the charge paid by passengers to fund the investment.
A Heathrow spokesperson said: “Back Heathrow represents tens of thousands of local people who want to make their views known on the importance of Heathrow to their communities and livelihoods today and into the future.
“We have always been clear that, alongside individual residents, local business groups and trade unions, we provide funding for Back Heathrow to provide a voice for local people who historically have not been heard in the debate about expanding Heathrow.”
Speaking for the campaign group, Mr Dhanda said: “At Back Heathrow we are proud of our link to Heathrow Airport (the clue is in the name).
“We have always been open about the fact that we receive support from the airport and that they helped set the organisation up to balance the debate about expansion at a time when the voices of ordinary working people from the diverse communities around Heathrow were not being heard.”
“Back Heathrow also receives support from trade unions, local businesses and residents from amongst the 100,000 registered supporters it now has,” he added.
“We want an end to the dither and delay. Back Heathrow supporters want to see economic growth and the thousands of new jobs and apprenticeships a new runway will create.”
SARATOGA SPRINGS, N.Y. — Kentucky Derby and Belmont Stakes champion Sovereignty rallied after losing position heading into the final turn to win the $500,000 Jim Dandy by a length at Saratoga on Saturday.
Ridden by Junior Alvarado, Sovereignty ran nine furlongs in 1:49.52 and paid $3 to win as the 1-2 favorite against four rivals, the smallest field of his career.
Hall of Fame trainer Bill Mott said Sovereignty would be pointed toward the $1.25 million Travers on Aug. 23 at the upstate New York track.
Approaching the turn, there were a few tense moments as it appeared Sovereignty was retreating when losing position to the advancing Baeza and deep closers Sandman and Hill Road, leaving Sovereignty in last for a few strides.
Alvarado said he never had a doubt that Sovereignty would come up with his expected run.
“It was everybody else moving and at that time I was just like, ‘Alright let me now kind of start picking it up,'” Alvarado said. “I had 100% confidence. I knew what I had underneath me.”
Baeza, third to Sovereignty in both the Derby and Belmont, finished second. Hill Road was another 9¼ lengths back in third. Mo Plex was fourth and Sandman fifth.