Senator Joe Manchin suddenly backs Biden climate and tax bill

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Joe ManchinImage source, Getty Images

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It is not clear why Joe Manchin changed his mind

A US Democratic senator who has proved a political thorn in the White House's side has stunned Capitol Hill by announcing sudden support for President Joe Biden's top agenda item.

Joe Manchin said he now backs a bill to raise corporate taxes, fight climate change and lower medicine costs.

The West Virginian previously objected to the proposal, citing fears more spending could worsen inflation.

Passage of the bill would be a major legislative victory for Mr Biden.

Congressional elections are looming in November in which the Democrats are fighting to retain control of Congress.

"If enacted, this legislation will be historic," said the president.

In a joint statement on Wednesday evening with Senate Democratic leader Chuck Schumer, Mr Manchin provided few specifics.

But the newly agreed bill is said to be much more modest than the $3.5tn (£2.9tn) version Democrats originally put forward.

Mr Manchin and Mr Schumer said it would help the US lower its carbon emissions by about 40% by the year 2030.

They also maintained it would pay for itself by raising $739bn over the decade through hiking the corporate minimum tax on big companies to 15%, beefing up Internal Revenue Service tax enforcement, and allowing the government to negotiate prescription drug prices.

It is not clear what has prompted such a dramatic change of heart by Mr Manchin, who is something of a political anomaly as he represents a conservative state that voted overwhelmingly for former President Donald Trump.

Barely a fortnight ago, the senator exasperated the White House by saying he could only back the portions of the proposal relating to pharmaceutical prices and healthcare subsidies.

"I have worked diligently to get input from all sides," Mr Manchin said on Wednesday evening.

Mr Schumer hopes to pass the bill with 51 votes through a budgetary manoeuvre that would allow him to circumvent rules requiring support from 60 out of 100 senators. If every Democrat backs the measure in the evenly split chamber, it would go through.

However, Senator Kyrsten Sinema, a moderate Arizona Democrat who has in the past acted as a roadblock to President Biden's agenda, could still scupper the plan. She declined to comment on news of the agreement on Wednesday night.

Republicans, who have previously tried to woo Mr Manchin to join their party, slammed him.

"I can't believe that Senator Manchin is agreeing to a massive tax increase in the name of climate change when our economy is in a recession," Senator Lindsey Graham of South Carolina said.

Mr Schumer said the Senate would take the bill up next week. The House of Representatives could then take it up later in August.

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