The decision by the British Government to threaten to impose welfare cuts in Northern Ireland unilaterally has been opposed by the Government, Minister for Foreign Affairs, Charlie Flanagan has said.

Speaking in Cambridge, following a speech to the British/Irish Association, Mr Flanagan said the British move is “a departure from devolution.

“I acknowledge and accept that the British Government is doing this very much as a last resort, but it is not something that is supported by the Irish Government.

“Anything that is a departure from devolution would not be supported by us,” said Mr Flanagan, who side-stepped questions about the degree of notice Dublin enjoyed about the British action.

The Government had opposed unilateral British action after last year’s Stormont House Agreement and again earlier this summer: “This is not something that in any circumstances would be supported by the Irish Government,” he told The Irish Times.

Urging the NI parties to negotiate in the talks beginning on Tuesday, Mr Flanagan declared: “It is essential that all parties enter into talks with the intention of compromises, and tough compromises.”

Meanwhile, the Sinn Féin Deputy First Minister Martin McGuinness criticised Northern Secretary Ms Villiers for threatening to impose welfare from Westminster if the Stormont parties could not not agree to British welfare reform.

“Any move by the British government to impose its welfare cuts agenda over the heads of the Assembly and Executive will seriously undermine devolution and the political institutions,” he said.

“It would be a huge mistake,” Mr McGuinness warned.

The DUP First Minister Peter Robinson however welcomed Ms Villiers statement describing it as a “potential game changer”.

“For some time we have been pressing the government to take this step as a way of resolving the present impasse over welfare reform,” he said.

“We remain committed to seeking to agree a way forward in the coming weeks between the local parties but there is no doubt that this statement will introduce a dose of reality to these negotiations and make a resolution more likely,” added Mr Robinson.

“Either way this move allows the Executive to put our finances on a firm and sustainable footing and will lift the prospect of fines running to hundreds of millions of pounds next year. This is good news for key public services such as health and education and will allow the most vulnerable in our society to be protected,” he said.

Mr Robinson continued, “Even before the murder of Mr McGuigan the Assembly faced collapse over the issue of welfare reform. It had been the single biggest threat to devolution since 2007. This announcement paves the way for the removal of this roadblock and for a return to sound financial management that had been endangered by the irresponsible actions of Sinn Féin and the SDLP.

“While this statement vindicates the DUP’s decision to stay and fight our corner, it is equally essential that the government respond to our proposals on the issue of paramilitary activity and how to deal with the talks process in the coming days.”

Mr Robinson said it would “not be business as usual at Stormont until these issues are fully resolved”.

“We will outline shortly how we intend to act in line with this principle. It must be those who are responsible for the present problems that are punished and not everyone else,” he added.