Prime Minister Gordon Brown is due to hold talks with his Irish counterpart in London amid mounting hopes Northern Ireland's main political parties are edging toward a deal on devolving policing powers.
The Republic's premier Brian Cowen will meet Mr Brown at Downing Street, with the devolution issue top of the agenda.
Back at Stormont, the Democratic Unionist Party (DUP) and Sinn Fein will resume intensive negotiations aimed at securing a breakthrough to a dispute that has threatened the stability of the powersharing administration.
While both parties have described the closely guarded exchanges as positive, the prospect of outright collapse still looms over the fragile institutions at Parliament Buildings.
It has emerged that a potential compromise deal on contentious loyal order parades could hold the key to securing agreement. The DUP demanded changes to how the summer events are overseen as part of a final agreement.
But while the DUP and Sinn Fein had been at loggerheads over the issue, it is understood a deal could be struck which may unlock a wider breakthrough.
The DUP's under-pressure leader Peter Robinson has stepped down temporarily as First Minister over the scandal surrounding his wife Iris, who was revealed as having lobbied property developers for cash to set up a business for her teenage lover.
It was confirmed on Wednesday that Mrs Robinson had resigned as an MP and it is understood her resignation has also been tendered at Stormont.
There are claims the DUP, which had previously said it would not be rushed by republican pressure for agreement on devolving policing and justice powers, is now focused on securing a deal with Sinn Fein to avoid the Assembly falling and the threat of a snap election.
