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Detroit files for bankruptcy

The city of Detroit in the United States has become the largest American city to file for bankruptcy. It has debts of more than £11 billion.

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President Obama 'closely monitoring' Detroit

The White House says President Barack Obama is "closely monitoring" the situation in Detroit.

'Opportunity Made In Detroit' banner seen on the side of a building Credit: Reuters

A White House statement tonight said:

"While leaders on the ground and the city's creditors understand that they must find a solution to Detroit's serious financial challenge, we remain committed to continuing our strong partnership with Detroit as it works to recover and maintain its status as one of America's great cities."

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    Detroit, once a booming American metropolis, has become the largest US city to file for bankruptcy, with debts of at least $18bn.