Define: Virement

UK Accounting Glossary

Definition: Virement

Quick Summary of Virement

The process of moving money from one financial account or part of a budget (a plan for how the money will be spent) to a different one. For example, within the Government where one department underspends and another department needs more funding, the funds can be procured through virement.

What is the dictionary definition of Virement?

Dictionary Definition




the process of transferring items from one financial account to another.

The transfer of a surplus from one account to cover a deficit in another.

virement in British. an administrative transfer of funds from one part of a budget to another.


Full Definition of Virement

In some budgetary control systems, Virement is an agreed practice in which funds may be transferred from one segment of the budget to another within a financial year.

For example, a projected surplus in one budget may be used to cover another budgets deficit.

Example: The budget for road maintenance has been underspent for the financial year 2018-2019 and so they have decided to support the building of a new hospital through virement.


Examples of Virement in a sentence

According to the governor, it was not covered in the budget for road maintenance and was instead received through virement.
The virement of unspent environmental funds to the World Heritage Site road-building project was something not seen before in this country.
The council are able to use virement to transfer funds from one department to another.
The level of virement that is permitted, without requiring further prior approval from the secretariat, is to be specified fully within the conditions of the grant.
The proposed virement and preservation of the Planning Delivery Grant is to be managed in such a way as to ensure that the Department does not exceed its overall budget allocation.

Virement FAQ's

What is budget virement?

Virement is the transfer of money from an unspent or underspent category or appropriation to another; yet within one head of appropriation.  For example between governmental departments or departments within a company. By transferring the funds between departments it affords the departments greater financial flexibility  in using the available resources to achieve their corporate strategy or to achieve its desired output.

What is the meaning of virement in public sector accounting?

A budget is only the planned future expenditure. If one department does not spend its budget and another needs more funding it is possible for that department to receive the underspent funds through virement. Virement is simply the transfer of funds from one department to another.

What does Vired mean?

Verb: To shift funds from one budget to another. Most dictionaries show virement but not vire as a verb although it has been in common use in the UK public sector for many years – decades, in fact. So vired would be the past tense of the verb to vire.



The funds were vired from the environmental department.

What is a Virement warrant?

A virement warrant is the authority given so that you are able o procure funds from a different department, as long as that department operates under the same economic head e.g. within a government or a company.

A supplementary general warrant is an authority which grants the officer controlling expenditure and the account General the authority to release funds as described in the supplementary budget that has been approved.

Cite Term

To help you cite our definitions in your bibliography, here is the proper citation layout for the three major formatting styles, with all of the relevant information filled in.

Page URL
Modern Language Association (MLA):
Virement. Payroll & Accounting Heaven Ltd. November 15, 2019
Chicago Manual of Style (CMS):
Virement. Payroll & Accounting Heaven Ltd. (accessed: November 15, 2019).
American Psychological Association (APA):
Virement. Retrieved November 15, 2019, from website:

Definition Sources

Definitions for Virement are sourced/syndicated from:

This glossary post was last updated: 29th January 2019.