Talks over cash deal to bolster peace

Northern Ireland Secretary Paul Murphy will today meet Democratic Unionists and Sinn Féin over proposals that the British government will pump extra revenue into Northern Ireland to bolster any peace process deal.

Speculation has been mounting that the British government is considering asking Chancellor of the Exchequer Gordon Brown to approve a £1bn (€1.4bn) package to help Stormont ministers tackle infrastructural problems in the North if power-sharing is resumed.

Sinn Féin chairman Mitchel McLaughlin and Fermanagh and South Tyrone MP Michelle Gildernew were due to meet Mr Murphy in London about the proposal.

As they prepared for the discussion, Sinn Féin chief negotiator Martin McGuinness said he believed a peace dividend was a good idea.

“We have consistently in Sinn Féin raised the need for a peace dividend that would enable us all to tackle inequality,” the Mid Ulster MP said.

“We would have some considerable hope that that could be achieved if a deal is struck in the overall negotiations.

“How much would that be? It is too early to say.”

Republicans have argued that money saved from the scaling down of police and British army fortifications in Northern Ireland should be ploughed back into the budget of the Northern Ireland Executive to help ministers during devolution to tackle disadvantage.

There have been concerns that without a peace dividend, Stormont ministers could be forced to rely upon raising household rates bills and water charges to support expenditure.

They believe this would get any new power-sharing executive off on the wrong foot in terms of public satisfaction.

Sinn Féin Assembly members were today due to meet again at Stormont to consider proposals put by the British and Irish governments last week to their party and the DUP to resurrect power-sharing and complete IRA disarmament.

Both parties are the only Northern Ireland parties to have seen the full proposals.

However, they both have concerns about some aspects and are expected to ask for more clarification over the coming days.

DUP leader, the Reverend Ian Paisley, will meet Taoiseach Bertie Ahern and British Prime Minister Tony Blair separately in London tomorrow to discuss the proposals.

Mr Blair and Mr Ahern will also meet in Downing Street tomorrow.

Talk sources said they believed it could still be some days before a final verdict on the deal is reached.

One DUP source said: “If the deal is the right one, we would have no hesitation in going for it. What is going on right now is an attempt to get the right deal.”

Martin McGuinness, however, insisted last night that the British government needed to make it clear to the DUP that it had to reach a decision soon.

“I think we are in the defining, final moments of these discussions,” he observed.

“I certainly get a sense from the Taoiseach and the British Prime Minister that they are not content to leave this on the other side of the (Westminster) election.

“Mr Paisley has to hear firmly from both of them that it is 'make your mind up' time now.”

He also said the DUP should be told by the governments of the consequences of not striking a deal to restore power-sharing.