Efforts intensify to break impasse

David Trimble and Gerry Adams are continuing to meet

Talks between the Ulster Unionists and Sinn Fein on a deal intended to restore devolution in Northern Ireland are now understood to be in their final stages.

Ulster Unionist leader David Trimble and Sinn Fein president Gerry Adams held talks at lunchtime on Monday. Their meeting lasted 40 minutes.

Northern Ireland's devolved administration was suspended a year ago amid allegations of IRA intelligence-gathering in the Stormont government.

Assembly elections were postponed in May but there is speculation over an autumn poll.

After Monday's meeting, a unionist source said the current talks had "gone as far as they can go, until others take responsibility and circumstances create a new momentum which should be evident in the next 24 to 48 hours".

Focus on Downing Street

Whatever happens, the source said: "the light now shines on Downing Street".

Negotiators from both parties held talks lasting more than 12 hours at Hillsborough Castle on Sunday as efforts continued to reach a political agreement before an assembly election.

The unionists want a significant move by republicans to indicate that all IRA activity is at an end.

Mr Trimble confirmed on Monday that his party's contacts with republicans were continuing.

The Ulster Unionist leader said an inclusive administration could not operate unless republicans made it clear they were going to operate by exclusively peaceful and democratic means and did what was necessary to build confidence.

"If they cannot do that, then the prime minster has a very stark choice: no inclusive Assembly, no inclusive executive - what then? - if he's going to have elections, he's going to have to answer that question," he said.

"Sensitive stage"

Sinn Fein's Conor Murphy claimed that the negotiations had reached "make-your-mind-up time".

"These have been very detailed and very sensitive negotiations," he said.

"They are obviously at a very sensitive stage. I think we are at the make-your-mind-up stage."

Former assemblyman Mr Murphy said republicans wanted an election to take place in a positive climate.

On Sunday, Irish Prime Minister Bertie Ahern said a deal to break the political deadlock was not guaranteed over the coming days.

It is unclear what effect British Prime Minister Tony Blair's health scare will have on his involvement in efforts to reach a political agreement.

Republican sources said David Trimble's speech was helpful

Mr Blair was admitted to hospital on Sunday with a heart problem but discharged after a series of tests.

He was expected to come to Northern Ireland this week if a deal could be struck between the parties.

Republican sources have told the BBC that Mr Trimble's speech at his party's conference on Saturday was "a helpful attempt to create room for manoeuvre".

He told party delegates in Armagh that republicans had to demonstrate a commitment to ending paramilitarism for good.

However, he conceded that political progress in Northern Ireland could proceed without IRA decommissioning being completed immediately.

Decommissioning of weapons, an end to paramilitary violence and the winding up of paramilitary organisations had to take place, he insisted.

Speaking on the BBC's Politics Show, Sinn Fein's Mitchel McLaughlin said he hoped an election would be announced this week.

On Saturday, PUP leader David Ervine said he believed Mr Trimble and Sinn Fein President Gerry Adams were close to a deal.

The pro-Agreement parties and Mr Blair have said that they want the election to be held in a positive atmosphere.