THE INLA army council will meet within the next 10 days to discuss restarting its campaign. The paramilitary organisation has engaged in a 20 month suspension of violence but has refused to call a permanent ceasefire.
It has been extremely critical of the peace process, which it claims offers working class nationalists nothing. There has been a further hardening of attitudes within the movement over recent weeks.
INLA prisoners in the H Blocks in the Maze Prison are particularly keen that the option of returning to violence is fully discussed. The paramilitary group's leader, Gino Gallagh, was shot dead last month but a new chief of staff has since been elected.
The INLA's political wing, the Irish Republican Socialist Party, has said it will no longer discourage a resumption of "military operations".
A source said: "No serious attempt has been made to engage the IRSP in dialogue during this peace process. It is difficult to argue that jaw jaw is better than war war.
"We have also been watching Sinn Fein and the whole peace process appears aimed at neutering republicanism." The source complained that British troops were back patrolling in nationalist areas and allegedly harassing young people.
He also expressed concern at "war like noises" from the loyalist paramilitaries. "This is a very grave situation," he said. An IRSP spokesman, Mr Kevin McQuillan, has called for the creation of a republican convention to discuss setting up an anti imperialist front.
A similar proposal has already been made by the former civil rights leader, Ms Bernadette McAliskey. Mr McQuillan described the start of proximity talks yesterday as a circus.
Meanwhile, Sinn Fein has responded cautiously to reports that a new loyalist paramilitary group has been set up by disgruntled UDA and UVF members.
The Ulster Democratic and the Progressive Unionist Parties, the political wings of the UDA and the UVF respectively, have insisted that the loyalist ceasefire is still intact.