Domestic growth is strong, but prices are impacting confidence
Ireland’s domestic growth remains robust, supported by exports and strong demand. Key drivers include SME performance, AI adoption, migration, and tourism.
Employment hit an all-time high in 2025 at more than 2.8 million, but unemployment was 5.0% in October, reflecting workforce growth.
Wages growth remains strong at 5%, but inflation is eroding gains. Headline inflation reached 2.9% in October, and grocery and housing costs are climbing 6–7%, reducing disposable income and negatively impacting consumer confidence.