The Cabinet is to discuss a proposal tomorrow to increase the numbers allowed at weddings from 50 to 100.
The development follows a meeting of the three coalition party leaders this evening.
It is understood the Government is keen to bring clarity to the situation for couples planning weddings.
Hoteliers have been calling on the Government to make a clear announcement on wedding guest numbers this week.
Couples across the country face an anxious wait on whether the number of permitted guests can increase to 100 from 5 August, as had been anticipated under the broader reopening of society.
Tánaiste Leo Varadkar last week advised couples to operate on the basis that 50 guests would be the maximum allowed.
It is not yet known if the Government will extend the Digital Covid Cert system to allow increased numbers at weddings where all guests are fully vaccinated or have recovered from Covid-19.
Irish Hotels Federation (IHF) President, Elaina Fitzgerald Kane said: "Public health remains our number one priority and we recognise the difficult balance the Government has to achieve.
"We are asking the Government to bear in mind that most wedding guests have been vaccinated while the weddings are being hosted in spacious ballrooms, many of which offer in excess of current social distancing requirements.
"Wedding couples, many of whom have rescheduled their wedding plans a number of times, find themselves less than two weeks before their wedding with their plans in jeopardy again."
She added: "Over the past few days, hotels and wedding venues across the country have been inundated with calls from wedding couples asking if they need to 'un-invite' 50 of their guests.
"It is important to them and to their guests to have clarity on what is permitted."
The IHF said that wedding venues are "controlled settings with clear processes in place in terms of seating pods and contact tracing".
"Everyone wants to make these days extra special for couples, given the upset and uncertainty many have faced in planning their special day," Ms Fitzgerald Kane added.
The President of the Irish Wedding Association, speaking after Mr Varadkar's remarks last week, said couples were "hugely upset" to hear that the number of people allowed to attend weddings next month is unlikely to increase to 100.
Tara Fay said the wedding industry has not been given any update and it would be better if the Government would say that "this is not happening", rather than leaving couples in the lurch and unable to plan with certainty.
The number of couples married in Ireland last year more than halved compared to previous years.
The number of people who registered their intention to marry during January earlier this year was also significantly down on previous years.