Sinn Féin president Mr Gerry Adams said British government proposals on policing do not go far enough towards meeting republican concerns.
Mr Adams also moved to scotch speculation that Northern parties were considering a new formula aimed at breaking the deadlock over IRA decommissioning, policing and demilitarisation.
"Sinn Féin remains locked into talks with the two governments to make progress across the range of matters at the heart of the current crisis. Those discussions are continuing today," he said.
"Policing is not the only issue we are concentrating on but it certainly has been the main focus of our discussions. This does not mean that other matters have been resolved. On the contrary, there is a lot of work to be done."
Mr Adams stressed the government would have to face down those in the security services who, he claimed, had obstructed progress and undermined confidence in the Belfast Agreement.
Unionists have criticised the IRA for doing nothing about disarmament in the wake of its promise last May to put its weapons beyond use.
Mr Adams's comments came as speculation dampened about the possible arrival of the Taoiseach and British Prime Minister Mr Tony Blair in Northern Ireland today for talks.
British government sources said it appeared likely that if Mr Blair was to travel to Northern Ireland, it would not be for "a few days".
PA