93% of payments made by Government departments, valued at €622m, paid to suppliers within 15 days
12 August 2015
Minister for Business and Employment, Ged Nash TD, today (Wednesday) welcomed the findings of the latest set of quarterly figures on prompt payments by Government. These figures show that Government Departments and the Agencies under the Department of Jobs, Enterprise and Innovation continue to comply with the Government requirement to pay business suppliers within 15 days of receipt of a valid invoice.
In the second quarter of 2015, Government Departments made a total of 44,691 payments amounting to over €622m. Of total payments made, 38,303 payments valued at just under €580.5m were paid to suppliers within 15 days of receipt of a valid invoice. In value terms this represents 93% of total payments made.
Figures also released in respect of the Agencies under the Department show a total of 13,161 payments were made in the second quarter of 2015, amounting to just over €33.5m. Of these,10,922 payments amounting to €30.2m. were paid within 15 days. In value terms, this amounts to 90% of the total payments made by Agencies, and increase on the previous quarter figure of 86%.
Speaking on the publication of the quarterly report, Minister Nash said, “I am very pleased to see that Government Departments and the Agencies under my own Department are continuing their efforts to comply with the Government requirement to pay business suppliers within 15 days of receipt of a valid invoice. The high level of payments made within 15 days clearly demonstrates that the initiatives introduced by Government to improve payment times are working.
“In addition to the 15 day prompt payment rule, a new late payment initiative recently introduced is the Prompt Payment Code (PPC), aimed at improving cash flow for businesses and ultimately, driving a change in our payment culture. Again, I am pleased to say that Government is leading by example and has ensured that all Government Departments, their Agencies and Public Sector Bodies sign up to the Code.
“If the PPC is to work, however, the private sector need to play their part and sign up to the Code through the online portal – www.promptpayment.ie as soon as possible. The PPC has specifically been developed by business for business and it is therefore vital that it is supported by business.”
Concluding Minister Nash said, “While I believe we are on the right track to tackling late payments, there is no doubt that for many businesses in Ireland, especially small businesses, delays in receiving payment for goods and services continues to be a real threat to their survival. Ultimately tackling late payment is about a change in culture. This change will not happen overnight but if businesses and Government continue to work together I am confident we can, and will, successfully bring about a move towards a culture of prompt payment in Ireland.”