The continuing political deadlock in Northern Ireland on welfare reform has serious implications for the future of the power-sharing Executive, according to Minister for Foreign Affairs and Trade Charlie Flanagan. Mr Flanagan briefed his Cabinet colleagues yesterday on the implications of the impasse over welfare reform and budgetary matters.

He said later that the stability of the political institutions at Stormont and the continued implementation of the totality of the Stormont House Agreement could be in jeopardy as a result.

“The Government agreed every possible effort must be made to encourage and support the Northern Ireland Executive parties to reach an agreement on welfare reform that is both politically acceptable and financially viable. “To that end,” he added, “the Government will, in the coming days, remain in close touch with its counterparts in the British government and with the leaders of Northern Ireland Executive parties, as well as with Senator Gary Hart and the US administration who played such a helpful role in the achievement of the Stormont House Agreement.”

As well as providing a template for financial stability in Northern Ireland, the Stormont House Agreement, which was concluded at the beginning of the year, represented an agreed way forward for addressing the contentious legacy of the past. “These are gains worth fighting for and, working with our partners, the Government is determined that the potential represented by the agreement will be realised,” he said.

He also said the Cabinet expressed its regret at the illness of the Northern Ireland First Minister Peter Robinson and conveyed its best wishes for his full and prompt recovery.

After the Cabinet meeting Mr Flanagan left on a trade mission to South Africa but said the unfolding situation in the North was being closely monitored by the Government. The Minister is leading a delegation of 34 Irish companies in a drive to increase Irish exports to South Africa.

The four-day trade mission, organised by Enterprise Ireland, is focused on sectors where Irish companies have particularly strong capabilities, including technology, telecommunications, aviation, engineering, energy and financial services.

During the four days, more than 200 meetings will be held between Irish companies and potential business partners and customers, along with five major networking events.