Will Carmody

The firm’s latest Business & Legal Sentiment Survey is based on responses from over 1,000 senior business and legal leaders and reveals widespread concern about regulatory changes and the potential impact of US policy.

Despite these concerns, professionals are optimistic about the outlook for both Ireland and business, the survey suggests. The improved sentiment reflects growing resilience within the business community.

Nearly half of respondents (48 per cent) believe the Irish economy will grow by the end of 2025, compared to only 32 per cent last year. Although 41 per cent predict the economy will remain flat, only 11 per cent foresee a contraction, a marked decline in pessimism from 22 per cent last year.

A fifth (20 per cent) predict M&A or reorganisations within their companies in 2025, up by 2.5 per cent year on year, demonstrating enhanced confidence and a return to activity in a post-election year.

A majority of 64 per cent think that, even with a change in Irish government, the business environment will stay the same, which the firm believes indicates that external factors are perceived a greater impact than domestic party policy.

Among the findings of the survey are that 32 per cent of respondents see regulatory changes as the biggest challenge for their business in the year ahead.

More than a third (36 per cent) rank technology governance, while a quarter (25 per cent) rank financial regulation, as the areas presenting the most significant risk to their business.

A total of 44 per cent cite the volume of regulatory change as their biggest concern for compliance.

Will Carmody, managing partner at Mason Hayes & Curran, said: “The growing complexity and pace of regulatory change present significant challenges for businesses. Staying informed and engaging in proactive preparation is essential to ensure compliance and mitigate risks in this evolving landscape.

“The impact of non-compliance is not just legal, but reputational as well, so we have been working closely with clients to mitigate against these risks and ensure organisations are future proofed for changes in regulations.”

However, he said the survey “paints a more optimistic picture of Ireland’s economic outlook, with businesses increasingly focused on positioning themselves for long-term growth”.

He added: “This survey highlights the adaptability and resilience of Irish businesses. While global economic conditions continue to significantly influence the Irish economy, robust domestic economic growth and healthy national finances provide significant buffers to external shocks.”