Following a statement issued by the government on Thursday that it had suspended talks with Skanska because it considered the company’s latest counter-proposals inadequate, the company came up with a new offer later on that same night.

Government sources told this paper that this new offer by Skanska was considered an improvement but it was still nowhere near the government’s expectations.

“The gap is getting narrower,” sources said, “but the offer is still not considered good enough for the government. It needs to be brought down ever further.”

The sources would not be drawn into particulars or giving out figures. They only said the gap is still “a considerable one.”

Despite this new offer by Skanska, however, the talks are still suspended.

After hearing from the prime minister how the situation stands, Cabinet will “take a decision from the options available”, the informed sources said.

It is important, sources told this paper, that the government’s position in the suspended talks are not undermined at this crucial juncture and that “the other side” realises that it is dealing with a government that has, on this matter, the backing of the Maltese population.