President Trump calls for abolishing US debt ceiling — TIME
In the United States, President Donald Trump has repeatedly called for the complete abolition of the statutory debt ceiling, while Democrat Brendan Boyle sees this position as an opportunity for bipartisan reform. As TIME reports, the next vote on the debt limit could take place amid the potential shift of one or both chambers of Congress to Democratic control.
In July 2025, Congress raised the national debt ceiling by $5 trillion. According to expectations from the US Treasury Department, this limit could be reached in 2027, although estimates of the timing vary. After that, the department will be able to use cash reserves and extraordinary measures for some time before the date when the government will be unable to meet all of its financial obligations on time.
Brendan Boyle’s proposal
Boyle, the leading Democrat on the House Budget Committee, said he will no longer vote solely for a temporary increase in the limit. According to him, his next vote on the national debt ceiling will be possible only if there is permanent reform that ends the dysfunction surrounding this mechanism.
The politician supports not the direct abolition of the ceiling but a model under which the US Treasury secretary could suspend it for up to two years. Congress would retain the right to block such a decision through a joint resolution that would have to be signed by the president. Boyle introduced the Debt Ceiling Reform Act in 2023 and maintains that his approach has support from representatives of both parties.
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How the debt ceiling works
The debt ceiling limits the US Treasury Department’s ability to borrow funds to meet obligations that Congress has already approved. At the same time, raising it does not authorize new spending and does not determine the volume of future borrowing. Previous disputes over the ceiling led to a downgrade of the US credit rating and significant stock market declines.
In June, Trump wrote on Truth Social that the debt ceiling should be “completely abolished” to prevent an economic catastrophe. Earlier, during Joe Biden’s presidency, he called on Republicans to retain this mechanism as a negotiating tool. The White House did not comment on whether the president is prepared to work with Democrats on abolishing or reforming the ceiling.
In 2011, House Republicans used the approaching debt ceiling to negotiate with President Barack Obama on spending limits. In 2023, an agreement between then-House Speaker Kevin McCarthy and Biden provided for two-year limits on discretionary spending and the suspension of the debt ceiling through the end of 2024.
