Michael Creed (Cork North West, Fine Gael)
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Question 97: To ask the Minister for Finance the reason expenditure on capital projects was €1 billion below profile on 2 November 2010; and if he will make a statement on the matter. [41613/10]

Brian Lenihan Jnr (Dublin West, Fianna Fail)
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The actual roll-out of capital expenditure is a matter for other Departments, operating within a delegated sanction that covers not only capital investment this year but contractual commitments for the next three years. While the level of shortfall is high to date this year, it is not unprecedented and there will be some catch-up before year-end. I understand from the reports from other Departments that there are number of particular factors which have contributed to the shortfall this year. Tender prices have seen sharp reductions –this is good news given our fiscal position as it means we can deliver more with less. A reduction in land prices is also a factor.

Given the extent of the overall shortfall in capital spending this year, I do anticipate that there will be a saving this year but the precise figure will not be known until December.