Leading dissident Ulster Unionists believe a split in the party would be disastrous for their cause and are urging anti-agreement members to remain within the UUP and fight from within.
The comments follow reports in the Sunday Business Post that a split could be imminent as the dissidents believe Mr David Trimble will admit Sinn Fein into a shadow executive without prior IRA decommissioning.
Supporters of dissident MP Mr Jeffrey Donaldson were quoted as saying meetings had taken place across the North at which the establishment of a new party had been discussed.
Last night, another dissident MP, Mr Willie Ross, said: "There are people out there who are very angry and are seriously thinking of setting up a new party. But that would be a mistake. The battle should be fought within the Ulster Unionist Party, not outside it, and that is where it can be won." Another senior dissident figure said hundreds of grassroots activists were angry that Mr Trimble had met the Sinn Fein president, Mr Gerry Adams, alone last Thursday.
"David Trimble hammered James Molyneaux for meeting John Major with nobody else present in the room. He said a unionist party leader should never do that and yet he has done exactly that."
The source said there was anger at moves last week to discipline four party members who stood independently in the Assembly elections. The individuals have since resigned in protest.
There was growing speculation that Mr Trimble would soon address the Dail, which would be "totally unacceptable", he stated. "People feel like resigning from the party but they should remain.
"If anti-agreement unionists walk out, the position of leading dissidents would be weakened and that of the leadership strengthened. I would be advising people to stand their ground and eventually the pressure will mount on Trimble."
The source claimed there was a growing anti-leadership feeling at constituency and branch levels but he did not know when there would be outright confrontation.