After three weeks of negotiations to form a power-sharing executive in the province, the Irish Republican party Sinn Fein said yesterday that no deal had been reached.
Sinn Fein, representing Catholic Irish nationalists, and the Democratic Unionist Party (DUP) of the pro-British Protestants, have until Monday afternoon to reach an agreement or governance of the province could be transferred to London.
"Today we have come to the end of the road," said Michelle O'Neill, the party's leader in Northern Ireland.
DUP Leader Arlene Foster gave a similar assessment of the Belfast talks, which have been chaired by Britain's Northern Ireland Minister James Brokenshire.
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"Regrettable the reality is that sufficient progress was not achieved in the time available to form a new executive," said Foster, who served as first minister before the executive collapsed.
The political crisis began when O'Neill's predecessor, Martin McGuinness, stepped down in protest at the handling of a botched green energy programme by Foster.
Despite Sinn Fein's assertion that talks were over, the British government said it was still determined to see a "functioning executive" put in place.
"Even at this stage I urge political parties to agree to work to form an executive and provide people here with the strong and stable devolved government that they want," said Brokenshire.
The discussions have also been keenly followed by Dublin, with Irish Foreign Minister Charlie Flanagan calling for power-sharing to be re-established.
"I therefore urge the parties to avail of the remaining time available to re-engage on the few outstanding issues that divide them," he said yesterday.
The minister could also call fresh elections, although those held in March following McGuinness's resignation failed to resolve the differences between Sinn Fein and the DUP.