The British government insists it still believes the PSNI will capture the Omagh bombers despite yesterday's decision by the Northern Secretary to help fund a civil case against men believed by victims' families to have been involved in the atrocity.
Mr Paul Murphy took the unprecedented step yesterday of providing £800,000 to make up the shortfall in the £1.5 million the families need to pursue their case against five men they allege were involved in the August 1998 "Real IRA" bombing.
A spokesman for Mr Murphy conceded that the funding was an unusual move, but rejected suggestions it was an implicit admission that the PSNI and by extension the Garda Síochána had abandoned hope of capturing the bombers.
The RUC came under heavy criticism from the Police Ombudsman, Mrs Nuala O'Loan, for its initial handling of the investigation into the bombing which claimed the lives of 29 people, including a woman heavily pregnant with twin girls.
The funding for the civil action was hailed as "fantastic, unbelievable news" by Mr Michael Gallagher, whose son, Aidan, was among the 29 people killed in the bombing. Mr Gallagher said it took "an enormous burden off our shoulders".
The money will enable relatives to pursue their claim for £10 million in damages against a group of suspects which includes the "Real IRA" leader, Michael McKevitt, who was jailed for 20 years on Thursday for directing the activities of an illegal organisation. Lawyers representing McKevitt lodged papers last August with the High Court in Belfast declaring his intention to defend himself against the allegations in the civil case taken by the relatives.
A Dundalk builder and publican, Colm Murphy, is the only person convicted in connection with the bombing. He was sentenced to 14 years' jail by the Special Criminal Court last year after being convicted of conspiring to cause the bombing. He appealed the conviction.
The Northern Secretary said the British Lord Chancellor, Lord Falconer, had found the legal mechanism by which the donation could be made to the families. "While I recognise the legal constraints and complexities, I have always believed that this is an exceptional case, and the vast majority of people in Northern Ireland and beyond want to see the families bring it to court.
"The magnificent scale of the financial donations from the public to date supports that view," he added.
A Government spokesman said last night that no decision had been made on whether the State would contribute to the civil action as news of the British government's donation had only emerged yesterday evening. "Members of the Government have an ongoing relationship and dialogue with relatives of the Omagh victims. In that context various issues have been raised by the relatives and these are being considered," he said.
The former Northern secretary, Mr Peter Mandelson, who has campaigned on behalf of the families, said: "The government has done right by the Omagh victims' families, and I am pleased at this decision."