Britain's Chancellor of the Exchequer, Gordon Brown, has announced a funding package which would follow final agreement on a powersharing executive in Northern Ireland.
The announcement follows talks in London today between Mr Brown and Northern Ireland's political parties.
If an agreement on powersharing is reached, the package would be worth £50 billion over the next ten years.
It includes a four year spending commitment, rising from £8 billion a year to over £9 billion by 2011. Mr Brown said this would be worth over £50,000 per household.
And there is to be a new capital investment plan for Northern Ireland, totalling £18 billion pounds, to be spent on areas such as roads, health, schools and third level education.
However, Mr Brown has not agreed to the parties' request to reduce corporation tax in the North from 30% to compete with the Republic where it is set at 12.5%.
Taoiseach Bertie Ahern has warmly welcomed the package, saying it was an essential part of the St Andrew's Agreement.
Mr Ahern said it was another 'significant positive step forward in the process towards a lasting settlement in Northern Ireland'.
He said he was looking forward to the two governments working closely together on the issue in the coming weeks and months.
