Northern Ireland Secretary Sir Chris Bryant is due to hold further talks with Stormont party leaders on Thursday in an effort to resolve the budget deadlock.
The executive says it cannot balance its finances without more support from London. Sir Chris maintains that no more money is available beyond the government's £1.5bn offer and has accused executive ministers of financial irresponsibility. The proposed package would provide £525m this year, but Stormont parties say it falls short of their needs.
Without an agreed budget, public sector workers in Northern Ireland cannot receive pay awards in line with counterparts elsewhere in the UK. Hospital doctors have announced a strike next month, while the Royal College of Nursing is balloting members on industrial action.
Neil Gibson, the Department of Finance's top civil servant, told a Stormont committee on Wednesday that a civil service pay settlement before Christmas is now too late. Sir Chris has suggested January is the deadline for a deal, when emergency spending arrangements will leave departments without money to spend.
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