In what was their first ever face-to-face meeting after decades of rivalry, Ian Paisley – who for 50 years has led Northern Ireland's hard-line Protestant faction committed to remaining part of Britain (Democratic Unionists) – and Gerry Adams – once imprisoned for his involvement with the Irish Republican Army and now president of Sinn Féin, the IRA's Catholic and nationalist political wing – announced a historic deal to form a power-sharing government before 8 May 2007.
The surprise decision came after Britain issued an ultimatum for the two parties – which had both obtained clear victories in elections for the Northern Ireland Assembly two weeks ago – to form a government by 26 March.
If no agreement was reached, Britain had threatened to dissolve the assembly and restore permanent direct rule from London, meaning also that Northern Ireland would lose a £35 billion aid package promised by the British government.
Although the two leaders missed the deadline, the British Parliament on 27 March unanimously passed an emergency bill to extend it and preserve the Assembly.
Challenges remain ahead if the deal is to work. Already, the Democratic Unionist Party is suffering its first defections, including its only member of the European Parliament, Jim Allister, who quit saying the DUP had "jumped far too soon" into a deal with Sinn Féin.
Nevertheless, the agreement signals a turning point in Northern Ireland’s history, which has been marred by a three-decade period that the population refers to as "The Troubles" and during which nearly 3,700 died and 40,000 were wounded.
European Commission President José Manuel Barroso said he was "delighted by the historic agreement", adding that the EU would continue to make its contribution to the peace process and "to bring the benefits of a European dimension to further progress in Northern Ireland".
The agreement, which resolves one of the biggest separatist challenges in the history of the UK, was also hailed as "historic" by Prime Minister Tony Blair: "Everything we have done over the last 10 years has been a preparation for this moment," he said. He is likely to present the deal as one of the significant achievements of his premiership, before stepping down later this year.
