The Government has backed plans to site the new national children's hospital at the Mater Hospital in Dublin, as recommended by the Health Service Executive.
Ministers also backed a recommendation from Tánaiste Mary Harney that governance issues relating to the merger of the three existing hospitals should be examined, particularly the need to ensure that the new hospital will be multi-denominational and pluralist.
Cabinet also mandated the HSE to examine any 'philanthropic proposals' in relation to the funding of the new hospital, and to move ahead with the establishment of associated 'urgent care centres'.
Last night Ms Harney, expressed disappointment that two Dublin hospitals, Our Lady's in Crumlin and St James's, had said they could not support the recommendation.
Ms Harney told RTÉ News the selection process had been very fair.
