The Cabinet meeting today has ended without a deal on water charges. However sources on both sides of the government say progress has been made on some of the outstanding issues.

A special Cabinet meeting could be convened in the coming days, if advisors from Fine Gael and Labour are able to reach a final deal.

Earlier, Fianna Fáil leader Micheal Martin was critical of the government rush to make the final decisions before the local elections.

A Cabinet Minister earlier downplayed tensions between the coalition partners over the water charges issue.

Fine Gael and Labour have had "substantive differences" over the final cost of the charge, as well as the standing charge and the pace of meter installation.

Representatives of both parties met last night to try to resolve some of those matters. But neither the Taoiseach nor the Tanaiste wants to set a strict timetable for agreement.

Speaking before the meeting, Agriculture Minister Simon Coveney said he did not expect it to be derailed by tensions.

Advisors from Fine Gael and Labour met yesterday evening in an attempt to bridge the gap between the two government parties. However ministers have been keen to stress that a deal could still be some time away.

Labour still has a series of issues it is concerned about and insists are addressed, including the treatment of houses which won't have a meter installed before charges kick in. Eamon Gilmore says Labour has substantive differences with Fine Gael.

His party had sought to ensure that the elderly or those with medical conditions would have some allowances - and the Taoiseach yesterday said the Government will focus on making it as fair and affordable as possible in those cases.

But the biggest question surrounds the treatment of families who cannot afford an average bill of €20 a month.

Labour wants special treatment for these households - and so far seems unhappy with Fine Gael's response.

Sources in both parties say they feel the relationship coalition could be damaged if the water charges deadlock is not brought to a swift conclusion.

It comes as protests continue and tensions mount over water meter installations.