Government formation talks paused for Christmas break after ‘progress’

Government formation talks between Fianna Fail and Fine Gael have concluded for the Christmas break, with “progress” made on various issues.

Discussions between the two main coalition partners in the last government got under way in recent weeks.

In separate statements issued on Friday evening, the two parties said they will meet again in early January to resume talks on the Programme for Government.

They are expected to re-enter government together and replace the Greens with a group of independents as junior partners.

This gained momentum when Regional Group TD Verona Murphy was backed by Fine Gael and Fianna Fail to become the next Ceann Comhairle when the Dail returned on Wednesday.

Earlier this week, the Labour Party ruled out entering government as a junior partner, blaming “a policy gulf” and different visions for Ireland.

The parliamentary party held a meeting on Thursday afternoon during which the decision was put forward and agreed.

Labour leader Ivana Bacik said: “I was updating colleagues at that meeting on the engagements we’ve had with both Fine Gael and Fianna Fail in recent weeks, and I do want to acknowledge we’ve had engagements, it’s been very useful.

“However as I indicated to the parliamentary party today, following the engagements we’ve had, I’ve formed the assessment that it is not possible to for us to enter any negotiations on government formation.”

Talks will resume in early January with hopes of having a government in place by the end of the month.

Fianna Fail and Fine Gael said they will also continue engagement with the Social Democrats.

On Thursday, Taoiseach Simon Harris said there were “very substantial talks” under way between Fine Gael and Fianna Fail, and he hoped they would be concluded next month.

“There’s a lot of uncertainty in the world, there’s a need to get it right, absolutely, and it needs to take the time it needs to take,” Mr Harris said.

“We need to go through our own processes then, in terms of consulting and balloting members but also, I don’t think people want too much navel gazing either.”

On Wednesday, Ms Murphy became the first female speaker of the Dail as part of attempts to form a coalition government.

The independent TD for Wexford defeated two Fianna Fail candidates and one from Sinn Fein to win the 255,000-euro-a-year position of Ceann Comhairle.

Her election is the first action taken by the new Dail which met for the first time on Wednesday morning.