Councillors are in line for pay increases and town council structures are set to be reinstated under reforms being considered by outgoing Environment Minister Alan Kelly.

Fianna Fáil may not be far enough ahead on first preference votes to see off a transfer-based challenge from other parties in the Carlow-Kilkenny by-election.

Taoiseach Enda Kenny has predicted that the Carlow- Kilkenny byelection will be decided on transfers.