Mairéad Farrell (Galway West, Sinn Fein)
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318. To ask the Minister for Public Expenditure and Reform in relation to capital carryover, whether such funds may be redeployed for all types of one-off capital expenditure; to identify restrictions if they are in place; and if he will make a statement on the matter. [32126/25]

Jack Chambers (Dublin West, Fianna Fail)
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Departments and Offices are permitted to carryover unspent capital, up to a maximum of 10 per cent of their Voted capital, into the following year. Statutory provision for capital carryover by way of "deferred surrender" to the Exchequer is made under Section 91 of the Finance Act 2004.

Capital carryover is an important technical element of the multi-annual capital envelope system which assists Departments in managing their capital budgets effectively.

The Finance Act 2004, requires that capital carryover sums be specified by Vote in the Appropriation Act for the year from which carryover is taking place. To allow for the capital carryover amounts to be spent in the following year, the Minister for Public Expenditure, Infrastructure, Public Service Reform and Digitalisation is also required to make an Order no later than 31 March to confirm the capital carryover amounts by subhead, which will be available for expenditure against those subheads. The carryover amounts should be consistent with the amounts by Vote included in the Appropriation Act, however, the Minister has authority under subsection 91(4)(c) to amend or revoke the Order. Dáil approval of the draft Ministerial Order is required before the Minister can make the Order. Once the order is made, the carryover amounts become a first charge against the subheads concerned and cannot be vired to other subheads. If the carryover is not spent in the year of carryover, the funds must be surrendered to the Central Fund.