The two organisations representing consultants, the IHCA and the IMO, have both said the HSE's latest improved offer represented a retrograde step and was less money for longer hours.

The offer, presented to consultants last week, provides for a top salary of 216,000 for a 'public hospital only' consultant . . . an increase on the previous offer of 205,000.

Consultants with limited rights to private practice in public hospitals and colocated private hospitals were offered a top salary of 190,000 . . . up 5,000 from the previous offer of 185,000.

An offer of a performance bonus of up to 20% of salary has been dropped after the consultants rejected the idea of a performance payment. Consultants will also have to extend their weekly working hours from 33 to 39 hours and work an extended day from 7am to 10pm.

The HSE also wants consultants working in emergency medicine and obstetrics to be available 24/7. Currently, consultants broadly work 9am to 5pm, Monday to Friday. Though this has been presented as the HSE's 'best offer' to the consultants, it is understood there may be some further room for manoeuvre.

Another roadblock to agreement which emerged last week was the HSE's insistence that consultants in A&E and diagnostics will no longer be allowed to charge fees to private patients. This is part of the HSE's efforts to ensure patients are treated based on medical need and not the ability to pay. But the consultants are unhappy with what they see as further efforts by the HSE to curtail their private practice.

Barrister Mark Connaughton, who has chaired the lengthy talks, is due to report to health minister Mary Harney tomorrow on whether the offer provides a basis for agreement.

Though agreement is unlikely in the short term, both sides could reach agreement on conditions while leaving the issue of pay to be dealt with by the Review Body on Higher Remuneration in the Public Sector towards the end of the year.

But the IMO and IHCA are likely to resist this and want the HSE to do a deal now.

Meanwhile, the prospects of industrial action across the wider health service receded last week when the government's troubleshooting body, the NIB, criticised the HSE for imposing staff cutbacks without consulting with the unions.

The Irish Nurses' Organisation and Siptu welcomed the NIB's statement and urged the Labour Relations Commission to get involved in the dispute. The HSE said it was studying the NIB's statement.