Dáil Éireann Debate, Wednesday - 29 November 2023
86. Deputy Catherine Murphy asked the Minister for Housing, Local Government and Heritage the amount paid in late payment interest payments for goods and services provided to his Department in each of the years from 2016 to date in 2023; and separately, the top five highest late interest payments made in each of those years, and the service and goods supplier that received the payments, in tabular form. [52650/23]
View answerUnder the Prompt Payment Act 1997, and later the SI 580 2012 European Communities (Late Payment in Commercial Transactions) Regulations 2012, my Department is required to pay Prompt Payment Interest on valid invoices that are not processed within 30 days. In this scenario the Department applies a daily 8% interest rate (which is currently the ECB rate of 4.00% plus the margin of 8%) followed by a compensating amount based on the value of the invoice.My Department has robust procedures and system controls in place to monitor payments to ensure that they are paid as promptly as possible and to reduce the possibility of Prompt Payment Interest and associated compensation being applied. My Department consistently pays invoices within the due dates and in 2022 this equated to over 99% of all invoices
Details of the amount of interest and compensation paid in respect of late payments for goods and services provided to my Department in each of the years from 2016 to date in 2023 are outlined in tabular format below:
|
Year |
Late Payment Interest € |
Compensation Costs € |
Total Amount € |
|
2016 |
9,364 |
2,210 |
11,574 |
|
2017 |
714 |
3,460 |
4,174 |
|
2018 |
1,240 |
2,240 |
3,480 |
|
2019 |
742 |
2,630 |
3,372 |
|
2020 |
3,805 |
9,580 |
13,385 |
|
2021 |
1,854 |
8,530 |
10,384 |
|
2022 |
2,689 |
7,460 |
10,149 |
|
2023 (to 27 Nov) |
4,695 |
8,350 |
13,045 |
The top five highest late interest payments made in each of those years and the service and goods supplier that received the payments are outlined in tabular format attached:
