Ivana Bacik has confirmed that Labour is pulling out of formal government negotiations with Fianna Fáil and Fine Gael.
Speaking on the plinth, Ms Bacik said talks with the two parties were exploratory, but there is too much of a gulf between them and Labour.
"I formed the assessment that it was not possible for us to enter any negotiations on government formation," Ms Bacik said.
Ms Bacik said that there was a unified view within the parliamentary Labour Party to not continue with negotiations.
She added that all members wanted to continue to build a centre left platform within the Dáil and work to hold the incoming government to account.
“We think it will be a government very much about status quo, if the current direction of travel is to be believed. It will not be the government of change that we stood firm, that we want to see, but we will hold the government to account,” Ms Bacik said.
Asked why Labour opted to pull out of talks now rather than earlier, Ms Bacik said that her party was always serious about going into government, but that the numbers made it difficult.
Fianna Fáil and Fine Gael combined have 86 seats, just one shy of a majority.
“The numbers were always going to make it difficult for us, or any smaller party, going in with the bigger two, to have the leverage to deliver on the policies that our communities need.
Ms Bacik said that Labour wanted to ensure there was due diligence taken during the talks.
She said that there were “clear policy differences” between the parties, of which Labour’s proposals on a State construction company was a sticking point for Fianna Fáil.
Ms Bacik added that there was a “reluctance” to engage from Fianna Fáil on her party’s proposals around a State-led childcare system.
Ms Bacik also speculated that given the expanded Fianna Fáil parliamentary party, they may have been less willing to go into government with Labour.
The Labour leader added that she informed both Micheál Martin and Simon Harris of her party’s decision to end talks immediately after her parliamentary party meeting.