Catherine Murphy (Kildare North, Social Democrats)
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505. To ask the Minister for Children, Equality, Disability, Integration and Youth the amount paid in late interest payments and penalty payments by his Department in each of the years 2017 to 2020 and to date in 2021 in respect of late payments being made to suppliers, service providers and contractors in tabular form; and the measures he has put in place and-or is implementing to reduce late payment interest and penalty payments. [43998/21]

Roderic O'Gorman (Dublin West, Green Party)
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I wish to provide the following information to the Deputy regarding the amount paid in late interest payments and penalty payments by my Department in each of the years 2017 to 2020 and to date in 2021, that is, 14 September 2021, in respect of late payments being made to suppliers, service providers and contractors.

The increase in LPI between for 2020 and 2021 is attributable a number of factors, in particular the COVID 19 global pandemic and the sudden need to implement a working from home policy for all Departmental units in March 2020, as a result the payment of some invoices were unavoidably delayed.

The rise in payments is also due to the increased size of the Vote in 2020 following a transfer of some functions from the Department of Justice, in particular the impact of the International Protection Seekers Accommodation unit which incurs a very high volume of invoices and where the staff were also adjusting to new policies and procedures for the payment of invoices.  The Department experienced some technical issues in 2021 which also impacted LPI for this year.

Every effort, consistent with proper financial procedures is be made to ensure that all suppliers are paid within the prescribed timeframe. All units of the Department are made aware through regular office notices and training that they must process invoices for payment as quickly as possible in order to avoid incurring prompt payments interest.  Where a prompt payment occurs, units are expected to provide a written explanation for its occurrence and to indicate what steps will be taken to ensure it does not re-occur. Details must be provided on the Payment Approval Form for this purpose.