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May 28, 2023 2 mins

The Speaker of the Republican controlled US House of Representatives believes that changes to a deal to lift the debt ceiling will be transformational.

Kevin McCarthy and US President Joe Biden have agreed in principle on a plan to raise debt in order to pay the country's bills.

US correspondent Richard Arnold says that in reality the changes are small.

He says there's a bit more Defense, less for the Tax Office, and reductions in regulation and age changes for food stamps.

The US Congress now has to approve the deal.

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