A major backlash from Labour party members could derail any possibility of the party entering a Fine Gael minority government.
Although talks between both parties were held in recent days, it is understood the Labour grassroots, who would have to vote on entering a minority government, are strongly against the idea.
It is understood that Labour are now contemplating three options — each of which have their own difficulties and downsides.
Party members believe entering straight opposition could expedite the possibility of another election.
However, if Labour decide to lend their support to a Fine Gael-led minority from the opposition benches they would essentially be propping them up without enjoying any of the perks.
The third option is to enter a minority government with Fine Gael and Independent TDs. It is likely that the Green Party would follow suit. This would provide the most stable of any possible minority government.
The Labour Party would stand to get some of their more pressing policies passed and would also receive a number of ministerial seats as well as Taoiseach’s nominations in the Seanad. However, senior sources believe party supporters who still feel “wounded and are extremely raw” from the decimation of the general election would never vote in favour of this.
After failing in his third attempt at the Taoiseach’s nomination, Mr Kenny and Michael Noonan met with Joan Burton, Brendan Howlin, and Alan Kelly to discuss the possibility of entering a minority government.
The best possibility now available to Labour is to support Fine Gael from opposition, and in exchange Mr Kenny’s party could agree through backroom negotiations to implement some of their main policies.
Mr Burton clearly laid out her wish list in the Dáil this week, raising the housing crisis, the Eight Amendment, eradicating child poverty, and supporting child care costs as key issues.
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