New government likely to be in place in second half of January

An outgoing minister said talks with the regional group of independents were 'not going to be easy, but will get done'

Ireland's outgoing coalition leaders — Tánaiste and Fianna Fáil leader Micheál Martin and Taoiseach and Fine Gael leader Simon Harris — are likely to resume talks with the rural independents before Christmas. File picture: Clodagh Kilcoyne/Reuters/RollingNews

A government is likely to be formed in the second half of January, with "significant" changes to departments.

Senior sources in the outgoing coalition say that a government could be formed by January 22, but admit that this "may be tight".