Niall Collins (Limerick, Fianna Fail)
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To ask the Minister for Public Expenditure and Reform if more effective procedures will be put in place to ensure that the overall Exchequer capital budget is spent in line with the annual published profile and, as occurred in the early part of 2012, is avoided; and if he will make a statement on the matter. [2805/13]

Brendan Howlin (Wexford, Labour)
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The actual roll-out of capital expenditure is a matter for line Departments, operating within the multi-annual budgetary allocations decided by Government and within delegated sanction arrangements issued by my Department.

As the Deputy will be aware, capital spending has general characteristics which influence the allocation drawdown pattern. Expenditure on capital projects typically occurs in large tranches at fixed milestones, unlike current expenditure which is generally continuous throughout the year. Obviously, this affects the phasing and profiling of capital expenditure. In addition, public financial rules require that payments are only made on foot of matured liabilities, so payments made in the later parts of the year are made on foot of work that has already been satisfactorily completed. The trend is therefore that the bulk of capital expenditure takes place in the final quarter of the year.

All Departments are required to report to my Department on a monthly basis on their actual expenditure (both capital and current) compared with their published profiles and to explain variances where they arise. My officials liaise with Departments to ensure that any issues are addressed promptly in order that there are no expenditure overruns and, in relation to capital expenditure, that projects and programmes are progressed in a timely manner. I am happy that the arrangements for monitoring capital expenditure which are presently in place are effective and robust.