Talks between Fine Gael and Fianna Fáil have reached a stalemate on the issue of water charges.

The discussions ended after three hours this evening in what Fine Gael negotiator Simon Coveney has described as a "frank exchange".

He says they put forward an offer to suspend charges for a limited period while a Commission looks at a charging structure, and that is the Fine Gael position now: 

Fianna Fáil says they are making progress and are conscious that the country needs a stable Government.

The party's negotiator Barry Cowen says the chances of another election remain "50-50".

Deputy's Cowen is suggesting they have to stick to their election promise to suspend water charges for five years: