Dáil Éireann Debate, Wednesday - 6 June 2012
269 Deputy Ciarán Lynch asked the Minister for Jobs, Enterprise and Innovation the strategies in place to speed up payments due to small and medium enterprises from Government Departments; and if he will make a statement on the matter. [26766/12]
Amharc ar fhreagraSince 2009, Central Government Departments have been improving their respective payment times, so as to assist the cash flow of businesses, and are obliged to pay their suppliers within 15 days of receipt of a valid invoice. This 15 day prompt payment rule was introduced by Government on an administrative basis.
Departments are required to report quarterly to my Department on their performance in meeting this target. To date, 11 sets of Quarterly returns have been published on my Department's websitewww.djei.ie . The returns for the first Quarter of 2012 were published on the 3rd of May. These Returns show that in value terms 88% of invoices were paid within 15 days for that quarter.
The ongoing publication of these composite returns by my Department provides clarity in relation to the performance of individual Departments in meeting the terms of the Government Decision.
As part of the commitments in the EU/IMF Programme for Ireland, the 15 day prompt payment rule was extended beyond central Government Departments and rolled out to the Health Service Executive, the Local Authorities, State Agencies, and all other Public Sector Bodies, (excluding Commercial Semi-State bodies), in respect of valid invoices received, on or after, 1 July 2011.
As part of this new extended arrangement, parent Departments are required to publish on their respective websites Quarterly composite reports covering those bodies under their aegis. The individual bodies covered by this arrangement are also required to publish their own Quarterly reports on their websites.
These new reporting arrangements should ensure that all Ministers will be able to monitor the performance of the bodies under their aegis and will enable them to address any issues with those bodies who are not meeting these obligations.
Any Small Businesses experiencing difficulties in securing payments should, in the first instance, approach the Government Department or State body concerned. Any failures to comply with the initiative can also be brought to the attention of the relevant Minister with responsibility for the body concerned.
Under Key Actions Points Nos. 3.44 and 7.13.2 of the Action Plan for Jobs, and to support compliance with the new 15 day Prompt Payment requirement for all public sector bodies and agencies (excluding commercial Semi-State bodies), the Department of Jobs, Enterprise and Innovation published the Prompt Payment Official Notice on its website on the 20 March 2012.
Small Businesses can attach this Official Notice of the new payment requirements to relevant invoices. Small businesses themselves should refer instances of non-adherence to the relevant Government Department, public sector body and State Agency. Copies of this Notice are also available on the Department of Jobs, Enterprise and Innovation website.
