Yellen warns Congress must pass debt limit hike by June 1 or risk default

Treasury Secretary Janet Yellen warned Congress on Monday that the U.S. could be unable to pay its bills as early as June 1 if lawmakers do not raise the federal debt limit.

Ms. Yellen informed House Speaker Kevin McCarthy and other congressional leaders in a letter that incoming tax revenue has been lower than expected, moving up the date by which lawmakers need to act or risk default.

“Our best estimate is that we will be unable to continue to satisfy all of the government’s obligations by early June, and potentially as early as June 1,” wrote Mrs. Yellen.