Seanad debates

Tuesday, 3 December 2013

3:05 pm

Photo of Feargal QuinnFeargal Quinn (Independent) | Oireachtas source

I support Senator David Norris when he talks about the great work Alice Leahy is doing in TRUST, particularly her effort to get the cold weather hostel off the ground. If there is anything the Leader can do to draw attention to this, it is an issue worthy of support, particularly at this time. Senator Norris has spoken about it very well.

I would like to draw attention to what is happening in Denmark with regard to payments. Denmark has legislated for digital post boxes and from November of next year no more cheques will be written by the State and all communications by the State will be made by digital and electronic means.

The reason I mention this is that it will yield a saving of €270 million per annum. If that is happening in Denmark, we can do the same. However, I have discovered that we are planning to do it here. It was announced in the national payments plan that it would start from 19 September next. We will move even faster than the Danes. It will apply to business. From next September the Government will not pay or communicate with businesses except by electronic means. The savings are huge, but the businesses must prepare for it. It means one will never again hear the Government say, "The cheque is in the post", because there will not be any cheques after that date. It is interesting that Irish people are among the biggest users of cheques, which are now regarded as a very outdated and expensive method of payment.

I raise this matter now because we must do something about it, not wait until the last minute. We have not done a very good job of proclaiming our intent to do this. At present, businesses wait 74 days to be paid. If there are electronic payments, that figure will be reduced to 44 days, and Members will be aware that the Government has plans to ensure that everything should be paid within 15 days. This issue is worthy of debate and attention. We must ensure that businesses are prepared for it, but the vast majority of businesses are not aware of it. It is a matter on which I support the Government. The Government should be supported, but we must add our voice to help it along that course.

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