There was growing resignation last night that the Stormont talks will adjourn for Christmas without the sought-after cross-party agreement on how to inject momentum into the process.
The special working group established to try to identify the key issues has so far failed to agree a new streamlined agenda. There was growing consensus at Stormont last night that a breakthrough will not be possible at its final meeting this morning.
The British and Irish governments and the political parties played down any suggestions that the absence of agreement placed the overall process in jeopardy. The participants argued that rather than formulate an unsatisfactory agenda, it was wiser to "exercise caution and return to the fray in January".
While the SDLP and Ulster Unionist Party (UUP) had agreed on the key issues, it is understood that Sinn Fein dissatisfaction with what it perceived as an over-emphasis on a new Northern assembly was the main cause of the deadlock.
"Sinn Fein believed that there was insufficient focus on issues such as North-South executive bodies, demilitarisation, prisoners and other issues," explained one source.
It is also understood that unionists were wary of any wording that could have implied they might accept North-South executive arrangements. There was general concern that if the parties adopted a defective agenda, opponents of the process such as the DUP, the UK Unionist Party and republican dissidents "would nitpick their way through the wording over Christmas to try and destabilise the talks," said one high-level source.
The talks chairman, Mr George Mitchell, could put forward his own agenda when the final preChristmas plenary session is held at Stormont today. However, comments from the main parties indicated that a more likely development is a simple adjournment to mid-January.
Nonetheless, before adjourning today or tomorrow Mr Mitchell - as a guide for the parties - may detail the areas of agreement and the contentious issues that still need to be negotiated.
The UUP leader, Mr David Trimble, blamed Sinn Fein and by implication the Irish Government for the impasse. Unionists have been critical of the Government for not pressurising Sinn Fein into accepting the draft agenda agreed by the SDLP and UUP.
But despite the stalemate, all the participants appeared relatively sanguine and hopeful of progress in January. Mr Trimble said that in the absence of agreement it was pointless to force the pace before Christmas. Politicians should use the Christmas recess to reflect on how the talks could move forward in January, he said.
The SDLP leader, Mr John Hume, placed store on the commitment from the Taoiseach and Mr Tony Blair that over a 10week period after Christmas the two governments will breathe new life into the process.
Meetings will also take place in London and Dublin over this period. "Perhaps a change of locale might prove inspirational," said one source.
The Progressive Unionist Party leader, Mr David Ervine, said that even without a new agenda people broadly understood each other's positions.
Mr Trimble has stated that "over the foreseeable future" he has no intention of engaging in private dialogue with the Sinn Fein president, Mr Gerry Adams.
But Mr Adams insisted that such an encounter was inevitable.All the parties yesterday attended a candlelit Christmas lunch at Castle Buildings - but with each party allocated separate tables.
"It was just like a typical family Christmas - no one was talking to anyone," said one unionist.
