Fianna Fáil leader Micheál Martin is to push for greater opposition input into how a budget is formed while not guaranteeing support for the measures in a Dáil vote.
As Fianna Fáil's position against entering a grand coalition with Fine Gael hardened in recent days, figures in both parties now accept that a minority government headed by either is the only way of avoiding a second election within months.
Senior Fine Gael figures have expressed concern that a minority government – led by the party but supported from the opposition benches on a case-by-case basis by Fianna Fáil – could collapse over a budget.
A number of Ministers said Fine Gael would seek binding assurances from Fianna Fáil if the two parties were to agree on a minority government.
This could include a guarantee that such an administration would last for a certain period of time and the suggestion of Fine Gael support for a Fianna Fáil minority government was dismissed.
In a message to Fine Gael members last night, acting Taoiseach Enda Kenny said he would make “every effort possible to provide a government for the people, one that will last and that will allow the progress the country has made over the past five years to continue”.
Fianna Fáil leader Micheál Martin will also seek the support of Independents and smaller parties for a minority government led by his party.
However, a Fine Gael source said of Fianna Fáil: “They cannot form a government, we can form a minority government.”
Fianna Fáil won 44 seats in the election but has effectively lost one, with party TD Seán Ó Feargháil becoming Ceann Comhairle. Fine Gael has 50 seats.
Fianna Fáil sources have said the party could support a minority Fine Gael government on a case-by-case basis.
Mr Martin wants to implement Dáil reforms that would mean a government could only fall on confidence or budget votes.
Mandate
The reforms would also see the opposition have a greater input into how a budget is formed through strengthened Dáil committees, but this would not guarantee support when it came before the Dáil.
“Micheál Martin has said to all who bring up [budget] agreement at committee that a government needs its mandate at the end of the day,” a Fianna Fáil source said.
Fine Gael is also working on proposals on how to draft a budget in a scenario where the party is reliant on Fianna Fáil support from the opposition benches.
Both Fianna Fáil and Fine Gael want to enhance the role of the Irish Fiscal Advisory Council to include an independent budgetary office to cost various proposals.
The council was set up in 2011 to independently assess and comment on whether the government was meeting its own stated budgetary targets and objectives.
Opposition parties accused the last government of largely ignoring the council's advice, a charge Mr Kenny has rejected.
Meanwhile, Independent Tipperary TD Michael Lowry has said he will support Mr Kenny when the Dáil again votes on candidates for Taoiseach, saying it was "embarrassing to hear nobody making a decision as to who they will support".
