A survey of Irish business owners reveals that housing shortages have evolved from a social issue into a critical business constraint, with 68% saying housing influences where they locate offices.
The Ireland edition of the BOSS (Business Owners Sentiment Survey) report for professional services group S&W – which polled 250 business owners in the Republic of Ireland with turnover of €5m upwards – found that more than half of business owners report that the housing shortage makes it difficult to attract qualified candidates to relocate to Ireland. The issue is forcing businesses to compete through compensation.
- Almost half of employers (49%) report that the housing shortage has prompted them to offer higher salaries or housing allowances to compete for talent;
- One in two business owners (48%) cite housing costs as a pay pressure point affecting existing employees;
- More than two in five businesses (43%) report they have lost potential employees who declined job offers specifically due to housing availability or affordability issues.
Housing availability is also reshaping business geography. Seven in 10 business owners (68%) report that the housing shortage has influenced where they locate new offices or facilities, with the survey data disclosing that for a large minority (42%) housing availability has become a constraint on expansion aspirations.
Infrastructure shortcomings affect operational decisions
The research also reveals a business community that recognises major obstacles in the country’s infrastructure planning system but stops short of viewing it as fundamentally broken or as a major threat to economic competitiveness.
When asked whether planning delays and infrastructure bottlenecks deter foreign direct investment, a little more than two-fifths of respondents agreed, while a virtually identical proportion disagreed. The same split was evident on the issue of the direct operational consequences of infrastructure deficits (44% vs 43%).
On the matter of excessive bureaucracy, business owners again showed near-perfect division. A total of 42% agreed strongly or somewhat that bureaucracy is excessive, though 43% disagreed. Likewise, asked whether planning timelines in Ireland are overly long and cumbersome, business owners were split (44% vs 41%).
Judicial reviews have emerged as one of the most contentious aspects of Ireland’s planning system. The survey found 42% agreeing that judicial reviews contribute significantly to delays in building out infrastructure, against 38% who disagreed.
Despite unease about timelines and accountability, almost one in two business owners reject the view that the current pace of infrastructure delivery threatens Ireland’s long-term economic competitiveness, against 41% who believe it does.
Barriers to growth
Increased competition, staff costs, global political uncertainty, and labour or skills shortages are primary concerns across all business sizes. Despite these challenges, business owners remain ambitious. Nearly four-fifths of respondents express confidence in the government’s strategy for economic growth, with over half showing strong agreement.
More than 90% are pursuing international growth, with 78% targeting expansion within the next 12 months. Additionally, 91% of businesses are seeking to hire additional staff, and 83% are considering acquisitions.
John O’Callaghan, managing partner of S&W in Ireland.
John O’Callaghan, managing partner of S&W in Ireland, said: “Business owners have a clear-eyed view of the challenges ahead, with price pressures, talent management, supply chain resilience, and cybersecurity all featuring prominently in forward planning. What emerges is a picture of business owners who combine pragmatic awareness of challenges with determined optimism about opportunities.
“For policymakers, the message is clear. Specific policy interventions, particularly around housing, visa processing, and infrastructure, would enhance Ireland’s competitive position and unlock the full potential of its entrepreneurial community.”