The government is expected to announce today that Sinn Fein will be fined over breaches of the ceasefire by the IRA.

Northern Ireland secretary Paul Murphy is believed to be ready to announce the plans in the Commons today.

Sinn Fein is expected to react angrily and accuse the government of wrongly demonising the party.

The fines will take the form of a reduction in benefits to the party from the government, currently amounting to around £120,000.

Murphy will announce similar measures against the Progressive Unionist Party over the activities of the UVF.