Time running out for North talks

The North's power-sharing government was edging towards meltdown tonight after the Taoiseach and British prime minister left crisis talks without agreement.

Gordon Brown and Brian Cowen gave the main parties 48 hours to secure a deal before they publish their own plans for stabilising the floundering institutions.

While conceding that the marathon three-day summit at Hillsborough Castle, Co Down, had not secured a final settlement on the devolving of policing powers, Mr Brown insisted a "pathway" to an agreement had been laid.

"The importance of these decisions for the future of Northern Ireland cannot be under-estimated," he said. "With leadership and courage they can be achieved."

The Democratic Unionist/Sinn Féin-led coalition has been thrown into chaos over the failure to devolve law and order responsibilities from London to Stormont.

While there are growing fears republicans will collapse the Assembly if there is not a swift transfer, the DUP has said it will not agree until other outstanding issues - such as the management of controversial parades - are resolved.

Standing alongside Cowen after the second night of late-night talks, Brown stressed his belief that the-round-the-clock negotiations had produced a blueprint for progress.

"We believe we have proposals that make for a reasonable deal on devolution of policing and justice, we believe we have proposals that make for a reasonable settlement on all the outstanding issues," he said.

But in regard to the 48-hour deadline, he added: "If we judge that insubstantial progress has been made we will publish our own proposals."

The two men said they believed devolution could happen in May, with a vote on the move brought before the Assembly as early as March, if the outstanding matters were dealt with.

The governments have formulated proposals that also seek to find common ground on the parades issue and other hurdles such as legislative protections for the Irish language.

Cowen said the problems were not insurmountable.

"There is far more in common than what divides us," he said.

But while the two governments attempted to strike a positive tone, the deteriorating relations between Stormont's main parties was clearly in evidence as they reacted to the latest breakdown.

Sinn Féin said it was "deeply disappointed" with the outcome and blamed DUP demands for changes to the process of managing controversial loyalist parades for blocking an agreement.

But the main unionist party accused their partners in government of refusing to give ground or compromise.

Sinn Féin Deputy First Minister Martin McGuinness, flanked by party colleagues including president Gerry Adams, said: "I believe we have displayed extraordinary patience and commitment over the past 18 months as we sought to persuade the Democratic Unionist Party to be partners of progress.

"Over recent days the two Governments have joined that effort.

"The decision by the DUP, at the behest of the Orange Order, to make the abolition of the Parades Commission (current body that rules on parades) a pre-condition for the transfer of powers on policing and justice flies in the face of all that."

He had made his feelings known in a private meeting with party leaders and in subsequent meetings with the prime ministers.

Sinn Féin would nevertheless study the proposals tabled by the two Governments, he said.

"But one thing is certain - and it is absolutely certain as far as we are concerned - that citizens' rights and entitlements will not be made subject to a unionist veto or an Orange Order pre-condition."

DUP leader Peter Robinson insisted his party was committed to the devolution of policing powers, but said it would not let that happen until the conditions were right.

He expressed confidence that the parties could reach a settlement but insisted Sinn Féin had to show some flexibility in their approach.

Mr Robinson made clear that his party would not bend under the threat of a Sinn Féin walkout.

He said: "The Democratic Unionist Party is committed to ensure that devolution works in the best interests of the people of Northern Ireland and will not accept any second rate deal simply to get across the line to suit someone else's deadline."

He added: "If others choose to walk away then I believe that the wrath of the community will be upon them for doing that."

Though the minor parties in the Assembly were also involved in the Hillsborough talks, they criticised the process, claiming their role was limited.

SDLP leader Mark Durkan said that, while there was a lot of frustration, there was still the opportunity to make progress.

"We need to just wind our necks in, calm down, sit down and face all of the issues with all of the parties."

Reg Empey, leader of the Ulster Unionists, said the prize was too great to fail now.

"Having come the distance we have come, I think it would be a tragedy that we would falter at this last stage," he said.

He warned that his party would not be forced to sign up to a deal just because Sinn Féin was demanding immediate progress.

"I want to make it clear Sinn Féin are not going to bully us. We have our issues, we have our mandate and we intend to have our agenda discussed with the other parties."

Leader of the cross-community Alliance Party David Ford, who is tipped to take on the justice ministry if powers are devolved, said the process had reached an extremely serious juncture.

But he added: "I do not believe that it is impossible to resolve this situation at the present time if there is a willingness to engage, and instead of engaging in the blame game and the whinge game, the parties get down to engaging seriously and sensibly together."