The Conservative Party is unlikely to field joint candidates with the Ulster Unionists in next year's Assembly elections, UTV has revealed.
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The two parties had agreed candidates in the recent European and Westminster elections but this will not happen in the Stormont poll.
A Tory spokesman said the link between the parties will continue but the rules around the de Honte system made it very difficult for agreed candidates to run.
Prime Minister David Cameron said he is keen to that the link with the UUP should continue despite the fact that Conservatives will not run in the Assembly elections.
Read Ken Reid's blog: Tory decision time
There were no MPs elected under the United Conservatives and Unionists New Force banner.
The Ulster Unionist Party continue their search for a new leader after Sir Reg Empey said he would step down, following the poor General Election results.
Although nominations have not officially opened, Tom Elliott and Basil McCrea are tipped to be the favourites.
The news comes as the former DUP leader Ian Paisley spoke out against the creation of a single unionist party.
Writing in the News Letter, the former First Minister warned that such a move would only benefit those want to have senior positions at Stormont.
"Limiting that choice is not in the interests of the province but merely in the interests of those who want power," Lord Bannside told the News Letter.
Dr Paisley - who earlier this month entered the House of Lords - also said he would have to accept the will of the people of Northern Ireland if Sinn Fein ever took the First Minister's post.
"For many years I had to accept that the Democratic Unionist Party that I founded and led was not the majority party.
"Sinn Fein didn't become the majority party on my watch.
"Naturally, as a unionist, I will continue to play my part to prevent that happening in the future," he said.
The Ulster Unionist Party has asked the DUP to clarify whether its former leader was speaking on behalf of the party.
Commenting on the issue, Ulster Unionist Deputy leader Danny Kennedy said: "I am quite sure that pro-Union voters across Northern Ireland - including many DUP voters - will be wondering what exactly is happening inside the DUP.
"Ian Paisley says he would accept a Sinn Fein First Minister. Is Peter Robinson prepared to serve as deputy to Martin McGuinness?" Mr Kennedy asked.
© UTV News