It seems that Belz pursuing this arrangement with the Ministry of Education, and having come to an agreement, is actually what is behind the potential split between the Degel Hatorah and Agudat Yisrael factions of UTJ. Degel Hatorah is incensed that Belz would take on the core curriculum studies in exchange for money, something that they have fought valiantly against until now and has made this issue one of their central issues. Even though Belz is only doing it because Degel refuses to let them into Chinuch Atzmai. 

Agudat Yisrael is now proposing a compromise, that would seemingly solve the entire dispute and allow the two factions to run together as a united party.

What is the proposed solution?

They are proposing that Degel Hatorah allow Belz to join Chinuch Atzmai and get funding for its schools through them and they will then put an end to their program to join the Ministry of Education.

I would note this is what they have been proposing all along, with Degel regularly refusing. this proposal is nothing new, just couched in the political framework of the upcoming elections.

While there is no word yet as to a response from Degel Hatorah, unless they now feel backed into the corner I dont see why they would change their opinion now when they have not all along.  Degel is confident they can run it alone, if their rabbonim tell them to, so they probably dont feel much pressure to accept the deal now. I am not saying they shouldn't, just that I dont see anything special about this offer that is different form what happened until now, so don't see why they would - unless the rabbonim tell them to accept it just to avoid splitting the party. Basically, 9 months later they are still arguing about the same exact thing they were back then with each side still standing firm on the same exact spot that they were before.. 

As I said back then, keep saying no without providing an alternative, a solution of some sort, and they will go find their own solution, one you might not like. This is true almost 100% of the time in almost all situations. And now they, both sides, are stuck with the consequences of those decisions.