Albert Dolan (Galway East, Fianna Fail)
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618. To ask the Minister for Enterprise, Trade and Employment whether the Government’s 15-day prompt payment requirement applies to all payments made by Departments and agencies, including reimbursements or grant payments to community, voluntary and non-profit organisations; if not, to identify the categories of payments excluded; and to explain the rationale for this distinction. [59595/25]

Peter Burke (Longford-Westmeath, Fine Gael)
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The Government’s 15-day prompt payment requirement applies to all central Government Departments, the HSE, local authorities, and other public sector bodies (excluding commercial semi-state bodies), but only in respect of valid invoices for goods and services. Government Decisions of 19 May 2009, 2 March 2011 and 8 March 2011 refer.

These prompt payment obligations are based on legislation which applies to payments to suppliers in respect of all valid invoices received on foot of commercial transactions (Late Payment in Commercial Transactions) Regulations 2012. A commercial transaction is “a transaction between undertakings, or between an undertaking and a public authority, which involves the delivery of goods, or the provision of services, for remuneration.”

The 15-day obligation was introduced to enhance the legislation with the aim of supporting SME cash flow by ensuring timely payment for goods and services rendered.

Grant payments, reimbursements, or subsidies to community, voluntary, and non-profit organisations are not covered, as these are not considered commercial transactions and typically do not involve invoices.

Payments made under non-contractual arrangements or discretionary funding schemes are also not covered.