Senior members of the Cabinet headed by the Taoiseach are to further examine the cost of repayments to patients who were illegally charged for care in residential institutions.
It was decided at Cabinet today to defer a decision on how to proceed on foot of a Supreme Court judgment last week that found charges to patients contained in recently passed legislation were unconstitutional.
A sub-committee consisting of Mr Ahern; the Tánaiste, Ms Harney; and Minister for Finance, Mr Cowen, advised by the Attorney General Rory Brady, has been set up to consider the terms of the repayments.
The estimated cost is €500 million covering the past six years. It is believed the statute of limitations may apply previous to 1999, and it is understood the sub-committee will examine whether it can be applied.
If the Government does not apply statute, the cost could rise to around €1 billion covering a 20-year period.
It has been suggested that some categories of patient - such as the intellectually disabled - may be entitled to claim for care prior to 1999, and it is understood the Government is keen to avoid controversial legal proceedings over the repayments.
A Government source told today's Irish Times: "The scheme that is drawn up will have to be as fair and as lucrative to potential claimants as going down a legal route."
Ms Harney, who is also Minster for Health, is concerned about the effect the repayments will have on her budget, and Mr Cowen has already indicated the cost will affect the development of new services in the health service.
Legislation was rushed through the Dáil at the end of last year following Mr Brady's advice that past charges, which were deducted from pensions and allowances, were "legally unsafe".
But the President Mary McAleese referred the Bill to the Supreme Court, which found the new legislation unconstitutional.