Micheal Martin has reportedly informed Enda Kenny that there will be no 'grand coalition' between Fianna Fáil and Fine Gael.
The Sunday Independent reports that the Fianna Fáil leader would be happy to take things to a second election, rather than take his party into government with Fine Gael.
They also report that the acting Taoiseach is seeking to break up the Independent Alliance by offering some members cabinet positions.
There's growing speculation as well that Michael Healy-Rae could be offered the job of Minister for Rural Affairs in exchange for his support of a minority government.
Independent Mattie McGrath, who's also being courted by Fianna Fáil and Fine Gael, says the two big parties should get down to the business of forming a grand coalition.