Labour leader Eamon Gilmore has rejected rumours of disquiet in the coalition.

The Sunday Independent reports today on tensions between Labour and Fine Gael regarding the distribution of the property tax.

Labour had hoped that local councils in large urban areas would have a surplus intake from the property tax which would allow them to redistribute the funds.

However, Fine Gael wants to give local councils more responsibility, covering the cost of more.

The Tanaiste says the Government is working and delivering results.