Two prominent Ulster Unionist MPs have withdrawn their support from attempts to salvage the Belfast Agreement in advance of the finalisation of the two governments' proposals.
Mr David Burnside and Mr Jeffrey Donaldson, a member of the Weston Park talks team, yesterday called on unionists to unite around a "new peace process" and negotiate only with the British government.
The statement said the IRA would not decommission, the current process would endanger the party and the "pan-nationalist front's insatiable demands" on policing would destroy the RUC.
"The only way to break out of an inherently unstable peace process is for Ulster Unionists, in co-operation with unionists of all other parties, to inform the British government that we will no longer participate or negotiate with the two governments jointly," the statement said.
It added that the British government should replace the flawed political institutions with democratically accountable local administration.
The two men stressed they would "play their part, with all other unionists, in striving for a new unity and a new direction".
Mr Donaldson said he was angry that Sinn Fein was in Dublin continuing "secret negotiations" and stressed that the Irish Government had no right to negotiate on the North's policing arrangements.
He denied the move had anything to do with the possibility of an autumn challenge to Mr David Trimble's leadership of the UUP. "It is about a warning shot across the bows of the government, Sinn Fein/IRA and pan-nationalism," he said.
The deputy leader of the DUP, Mr Peter Robinson, said his party would gauge the value of the statement by the level of support it received in the UUP.
Sir Reg Empey, currently carrying out the duties of First Minister following Mr Trimble's resignation, was due to give a press conference but cancelled on learning of the statement. There was no comment from UUP headquarters last night and Mr Trimble was abroad.
The deputy leader of the SDLP, Mr Seamus Mallon, stressed that both men were anti-agreement and claimed they were promoting their political ambitions at the expense of the people of the North.
"I am disappointed but not surprised by the negative and destructive outburst about the future of the peace process. Both Donaldson and Burnside have been opposed to the agreement for a long time," Mr Mallon said.
The Alliance party MLA, Mr David Ford, said the statement amounted to a major attack on Mr Trimble's leadership.