A bipartisan deal has been reached to suspend the U.S. debt limit and avert another devastating government shutdown until after the next presidential inauguration on July 31, 2021.

The deal will raise the debt ceiling past the 2020 elections and earmark $1.3 trillion for defense and domestic spending over the next two years. It will permanently eliminate the budget caps put into place in 2011 and suspend the debt ceiling until July 31, 2021.

Separate announcements Monday from president Donald Trump, House speaker Nancy Pelosi (D-NY) and Senate majority leader Mitch McConnell (R-KY) confirmed both Democrats and Republicans had reached a deal on a two-year budget and the debt ceiling.

"I am pleased to announce that a deal has been struck with Senate Majority Leader Mitch McConnell, Senate Minority Leader Chuck Schumer, Speaker of the House Nancy Pelosi, and House Minority Leader Kevin McCarthy -- on a two-year Budget and Debt Ceiling, with no poison pills," tweeted Trump.

The agreement also means the approval by both political parties of the $1.37 trillion budget deal for the next fiscal year. This amount includes $320 billion in additional spending over the course of two years.

The compromise reached means Democrats got less than the additional spending they hoped for while Republicans had to content themselves with offsets amounting to $77 billion, which was half of what the White House wanted.

The agreement will provide "the largest-ever increase in base funding above sequestration levels,” said House Appropriations Chairwoman Nita Lowey (D-NY).

"With the more reasonable budget caps in this agreement, we will be able to undertake an orderly appropriations process and invest For the People -- in priorities like education, health care, infrastructure, the environment, and tackling the climate crisis," said Lowey.

Pelosi and Senate minority leader Chuck Schumer (D-NY) confirmed the deal in a joint statement. They said Democrats "have achieved an agreement that permanently ends the threat of the sequester."

"We are pleased that the Administration has finally agreed to join Democrats in ending these devastating cuts, which have threatened our investments to keep America Number One in the global economy and to ensure our national security," said Pelosi and Schumer.

"With this agreement, we strive to avoid another government shutdown, which is so harmful to meeting the needs of the American people and honoring the work of our public employees."

Pelosi and Schumer said Democrats "secured robust funding" for domestic spending. They’re also pleased our increase in non-defense budget authority exceeds the defense number by $10 billion over the next two years.

"It also means Democrats secured an increase of more than $100 billion in funding for domestic priorities since President Trump took office," ssaid both Democrat leaders. "After a long negotiation, we have only agreed upon offsets that were part of an earlier bipartisan agreement.

Schumer and Pelosi said a vote could occur before the end of the week. Congress begins its six-week summer recess next week.

"The House will now move swiftly to bring the budget caps and debt ceiling agreement legislation to the Floor, so that it can be sent to the President’s desk as soon as possible," wrote Pelosi and Schumer. "With this agreement, we can avoid the damage of sequestration and continue to advance progress for the people."

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In this photo, the White House is pictured in Washington, D.C., Jan. 30, 2018. Getty Images/Zach Gibson