Adam Scott Actor

The majority of House Leader Eric Cantor (R., Va..) Acknowledged Tuesday that there are "huge consequences" if lawmakers file to come to an agreement with the Obama administration to raise the U.S. debt ceiling in the coming days.

Speaking at a U.S. Chamber of Commerce lunch, Cantor said "it's a pretty good bet" that increase is dramatically Could borrowing rates if the U.S. fails to raise its debt ceiling by May. 2, after the Treasury Department Utara has said it will begin to default on its Obligations.

"That Could Quickly wipe out any of the savings, over a matter of a couple days, that we're talking about" in the debt limit, talks, Cantor said. He said for every 100 additional basis points in borrowing costs, the U.S. must pay an additional $ 1 trillion in interest over 10 years.

"We all know the serious illness of the situation," he added.

Talks between the White House and Republican Congressional leaders broke down Friday over the White House proposals to include modest tax increases in a large deficit-reduction package. Republicans oppose any tax increases as part of a deal.

Cantor's comments come the day after President Barack Obama, appearing at a press conference at the White House, Called on both Republicans and Democrats to make larger concessions on issues important to ZIP parties. Seeking to place himself outside the Capitol Hill fray, Obama said policy makers need to think big: "If not now, When?"