The majority of Irish company directors believe the Government should make infrastructure investment the top priority in Budget 2026, according to a new survey by the Institute of Directors (IoD) Ireland.
The snap poll of 385 directors found that 69% ranked infrastructure spending ahead of other policy measures. Nearly a quarter of respondents said tackling high energy costs should be the main focus, while 13% highlighted simplifying regulation as a priority.
Caroline Spillane, chief executive of IoD Ireland, said the results underline how directors see a combination of “smart policy, infrastructure investment and streamlining regulation” as key to strengthening the country’s competitiveness.
“Infrastructure is critical – whether it’s energy, housing or transport,” she said. “Directors are saying that productive investment in these areas will have the greatest long-term impact.”
While not the top-ranked issue, regulation emerged as a significant concern. Two-thirds of those surveyed said regulatory requirements were stifling business growth and competitiveness. Spillane explained that the scale and pace of recent changes, combined with the way EU laws are transposed into Irish legislation, had added considerable complexity and costs.
“Each regulation is very well intentioned in terms of consumer protection,” she said. “But taken together, the timing and volume of regulatory change is creating a real burden for businesses.”
The findings come as the Irish Fiscal Advisory Council and the Central Bank have both warned about the risks of excessive government spending fuelling inflation and overheating the economy. The Government has already acknowledged the need for a more measured approach in Budget 2026 compared with recent years.
Spillane said directors recognised this and were calling for a long-term focus. “The sense we’re getting is that directors want investment for the future rather than short-term supports,” she noted.
Despite pressures from rising costs, regulatory complexity and international uncertainty, the survey also reflected cautious optimism among Irish business leaders. Seventy per cent of respondents expect growth by the end of the year. Just over half said they planned to maintain staffing levels, while around one-third indicated they would be hiring.
Directors also pointed to innovation as a means of staying competitive. Many cited digital transformation as the most important area of focus, alongside product redesign and adopting new technologies.
“The big theme we’re hearing is around digital,” Spillane said. “Companies are looking to accelerate transformation, including the use of emerging technologies, to remain competitive.”
With Budget 2026 discussions under way, the survey highlights a clear call from Ireland’s business community: invest in infrastructure, address regulatory burdens, and ensure policy choices strengthen the economy for the long term.
