This week, the Institute attended the inaugural Annual Savings and Investment Forum held at the Central Bank. The Tánaiste and Minister for Finance, Simon Harris T.D. addressed the Forum announcing his intention to introduce a Savings and Investment Account in Ireland. It is intended that legislation will be drafted this year with a view to products being established in 2027. Savings and investment accounts form a fundamental pillar in Europe's Saving and Investment Union proposals to increase levels of investment among citizens. Statistics from the Central Bank of Ireland show that Ireland has a long way to go when it comes to households and individuals investing in capital markets. This week’s announcement has the real potential to increase retail participation in capital markets and empower workers and households to create wealth over their working lives. The savings and investment account proposed by the Tánaiste is similar in nature to the Swedish model which was first introduced in 2012. Simplicity is at its core, with one simple tax applied which is administered solely by the financial provider and not the individual investor. This means there are no reporting obligations placed on the investor and individual transactions are not taxed. As a consequence, investors can focus on making the right investment decisions for themselves. At the Forum a strong emphasis was placed on financial literacy. Improving understanding and confidence among individuals will be critical to increasing participation in capital markets over the long term. In Ireland, nearly €170 million in household deposits is held in low return deposit accounts which diminish in terms of purchasing power over time. The Institute made the point that without financial literacy, the savings and investment accounts will not be as successful as they can be. The Institute also pointed out that the savings and investment account should be seen as one element of a wider reform plan which should include tax reform and the removal of the deemed disposal tax which penalises investors. The Tánaiste indicated that the roadmap on taxation of investment products will be published in the coming months. Chartered Accountants Ireland is hopeful that the roadmap will contain commitments to remove the deemed disposal tax along with other tax measures to improve the overall investment environment in the economy. We will continue to engage with Government on this issue over the coming months including as part of our Pre-Budget Submission.   You can read our earlier response here. You can read about the Investment Tax Guide published in conjunction with Goodbody here.

Cróna Clohisey, Director of Members and Advocacy at Chartered Accountants Ireland, said: “The Forum is an opportunity to advance the recommendations of the Funds 2030 report and to simplify and enhance the tax framework for retail investment, now expected as part of Budget 2026. Together with the anticipated focus on Savings and Investment Union as part of Ireland’s EU Presidency this year, this emphasis on activating hard-earned savings is timely and hugely welcome.  “The Minister’s announcement that the proposed Investment Accounts are being developed with a simplified approach to tax is a positive development. A model based on a low, easily administered annual charge has the potential to reduce complexity and improve accessibility for retail investors.” Grant Sweetnam, Head of Public Policy at Chartered Accountants Ireland, said: “We welcome the strong emphasis placed on financial literacy by the Minister at today’s Forum. Improving understanding and confidence among individuals will be critical to increasing participation in capital markets over the long term. However, it is essential that these reforms are delivered as part of a coherent overall strategy to address fundamental barriers to investment. Addressing wider barriers, including the deemed disposal rule and inconsistencies in tax treatment across products, will be critical to ensuring the full benefits are realised.  “We look forward to engaging constructively with Government and stakeholders at the Savings and Investment Forum and throughout the implementation process to help ensure the roadmap delivers a simple, effective and competitive investment framework for Ireland.”

This week Chartered Accountants Ireland represented members in attending the Cost of Business Advisory Forum run by the Department of Enterprise, Tourism and Employment. The meeting follows the Institute’s submission recently where the focus was on banking, payments and financial services.  We outlined how banking services in Ireland, particularly on the payments side, is behind what is available as standard in other countries.  Competition is essential in moving the dial in terms of banking services and reducing costs for SMEs. We urged both the Central Bank and the Government to recognise that the lack of competition in the banking sector is a drag on the economy and needs to be acted on.    The Institute highlighted the need for the banking sector to move quicker to Account to Account (A2A) payment services.   A2A is an instant payment mechanism which does not need an intermediary card. A2A payments benefit businesses by reducing transaction costs, speeding up settlement and improving reconciliation through real-time data and automation.   At the moment payers end up using credit or debit cards to pay SMEs online and it is the SME that incurs the significant costs of availing of those services. In addition, it is very challenging for SMEs to track who is paying money into their account. This adds to administration cost for SMEs.  In terms of access to finance for SMEs, the Institute highlighted the need for Ireland to deepen the capital markets and improve retail investment in Ireland. We urged the Government to introduce a Savings and Investment Account in Ireland which will encourage workers and households to invest in SMEs.  Following this meeting, the Institute will continue to contribute to the Cost of Business Advisory Forum with the aim of completing a comprehensive report on business costs with important and achievable recommendations for Government. 

This week the Institute met with Minister of State for European Affairs and Defence, Thomas Byrne TD, and officials as preparations continue to gather pace for Ireland’s Presidency of the Council of the EU (‘EU Presidency’), now just three months away.  The meeting provided an opportunity to talk through Chartered Accountants Ireland’s submission on the Presidency and to set out what we believe Ireland’s priorities should be over the six‑month term with a focus on competitiveness and simplification.  Against that backdrop, the discussion focused on the importance of progressing two key initiatives: EU Inc. and the Savings and Investment Union. We emphasised that securing meaningful progress on these proposals within the six‑month window would represent a highly successful Presidency and would be of significant strategic importance for Ireland and the wider EU economy.  Chartered Accountants Ireland reaffirmed its commitment to working constructively with Government in the lead‑up to, and throughout, the Presidency. With a 40,000-strong membership across Ireland and internationally, the Institute is well placed to support engagement, understanding and debate on key Presidency priorities.  Looking ahead, members can expect a programme of activity by the Institute during the six‑month Presidency, including publications, briefings and events focused on competitiveness and simplification. These initiatives will be designed to keep members informed, to showcase professional insights and to contribute positively to Ireland’s Presidency objectives. Further details will be shared in the coming months, and members are encouraged to keep an eye on Chartered News and Institute channels for updates. 

Tánaiste and Minister of Finance, Simon Harris, has signed into law the Statutory Instruments creating the Irish framework of the European Single Access Point (ESAP), an EU-wide data portal centralising free source of public information about EU companies and investment products. The portal, which is established via EU legislation, aims to improve public access to companies’ financial and non-financial information, including that of SMEs. Minister with responsibility for Small Business and Retail and the Circular Economy, Alan Dillon TD, described the rollout of the portal as “mark[ing] an important milestone for Irish businesses, particularly SMEs seeking greater visibility and investment opportunities. By providing a single, standardised source of company information, this platform will simplify cross border engagement, improve investor confidence, and contribute to a more connected and competitive European marketplace.” Commenting, the Tánaiste stated that the portal benefits the green transition by centralising sustainability related financial information and illustrates the commitment the Irish government and the EU has to simplifying the investment journey for retail investors and finding ways to boost investment in Ireland’s domestic industry: “Altogether, the ESAP has the potential to bring a myriad of benefits to Irish people whilst simultaneously supporting the objectives of the Savings and Investment Union and making it easier for firms to raise capital across the EU.” The ESAP will be established and administered by the European Securities and Markets Authority (ESMA). Designated national collection bodies as well as the European Supervisory Authorities will provide data to ESMA for the purposes of ESAP. Back to the Sustainability/ESG Bulletin

The Pensions Research Accountants Group (PRAG) has finalised its amendments to the Pension Statement of Recommended Practice (Pension SORP). The updated “Statement of Recommended Practice, Financial Reports of Pension Schemes 2026” will be effective for periods commencing on or after 1 January 2026. PRAG are a leading independent industry body working for the development of occupational pension schemes. Their focus is on financial reporting and internal control, and they are the Financial Reporting Council’s (FRC’s) recognised SORP-making body for Pension Schemes. The Pension SORP was last updated in 2018 and since then, the FRC has made amendments to FRS 102. There have also been several industry developments which impact on pension scheme financial reporting as well as changes to pensions legislation and regulations. In 2025, PRAG held a consultation on its proposed amendments to the SORP. A copy of Chartered Accountants Ireland’s response is here. The following resources are available on PRAG’s website; News item discussing the updated Pension SORP Upcoming free webinar A copy of the updated Pension SORP will be available to purchase in due course.

Last Monday, Chartered Accountants Ireland and the Ulster Society were pleased to meet with representatives from the Northern Ireland Chamber of Commerce and the Confederation of British Industry Northern Ireland to discuss potential ways forward in the ongoing campaign to reduce the corporation tax rate in Northern Ireland. The meeting was very informative and productive and each of the organisations agreed that Northern Ireland needs a coherent, long term industrial policy that attracts investment, creates secure, well paid jobs and fosters innovation. There was also agreement on the end goal of reducing the corporation tax rate in Northern Ireland. The key issues and Institute stance One of the main issues discussed was the need for an economic assessment of the impact of reducing the corporate tax rate on employment, earnings and investment. The 2021 ESRI research 'Enhancing Attractiveness of the Island of Ireland to High-Value Foreign Direct Investment' shows that a reduction in the rate of corporate tax to 15% would yield an annual increase of 7.5% in high-value Foreign Direct Investment in Northern Ireland. One of the main issues that remains is the potential impact on the block grant that Northern Ireland receives every year. The Institute outlined various measures that can be availed of to overcome this issue, most notably the use of a low interest loan from Westminster to manage the initial drop in corporate tax revenue that would arise immediately after the rate reduction.  Our progress to date and next steps  This meeting was an important step in achieving a united approach across the business community in Northern Ireland. Work will continue to garner cross-party consensus on reducing the corporate tax rate in Northern Ireland which will be critical when the campaign is taken to Westminster. This point was highlighted during the Institute's recent appearance before the joint Economy and Finance Committee’s in Stormont earlier this month. As outlined previously, in November 2025, the Institute wrote specifically to the Exchequer Secretary to the Treasury on this issue. In this letter, we highlighted that the ultimate aim of a lower rate is for it to become self-funding in the longer term, but that it would necessitate a replacement loan at a low interest rate from HM Treasury to fund the necessary block grant reduction. Last year the Institute published its position paper ‘Enhancing Our Competitiveness: The case for a reduced rate of corporation tax in Northern Ireland’.   

At the informal EU summit in Limburg yesterday, the proposed EU Savings and Investments Union (SIU) moved firmly to the centre of the competitiveness debate. Taoiseach Micheál Martin confirmed that Ireland is “ready to progress” the initiative, describing the Government’s position as “more positive now”, while recognising sensitivities around supervisory integration and Ireland’s financial services sector.  A reported €11 trillion EU household savings remain on deposit rather than invested in productive enterprise. In Ireland, an estimated €170 billion sits in domestic deposits rather than invested in business to support innovation, SMEs and long-term growth.  We have written to the Minister for Finance to discuss the considerable opportunities that the activation of these household deposits represents for the Irish economy.  Chartered Accountants Ireland has consistently engaged in this space on members’ behalf: In our response to the Ireland for Finance 2026–2030 strategy consultation, we called for full implementation of the Funds Sector 2030 Review recommendations to strengthen Ireland’s investment ecosystem and enhance retail participation in capital markets. We emphasised the need for a competitive, modernised tax framework that supports long‑term saving and investment. Specifically, we advocated for the introduction of a personal investment savings scheme for Ireland. Such a scheme would deepen domestic capital markets, encourage greater retail participation, and create a more sustainable investor base for Irish SMEs and listed companies. On Budget Day, we were disappointed at the absence of progress on ETF deemed disposal reform, noting that meaningful capital‑market development requires coherent and aligned tax policy. In our recent submission on Ireland’s priorities for its upcoming EU Presidency, we further emphasised the importance of progressing the EU Savings and Investments Union agenda – positioning Ireland to lead constructively on capital markets reform while ensuring domestic measures support that ambition. Last week we launched our 2026 Investment Tax Guide in partnership with Goodbody. At the webinar launch the panel discussed the landscape of investment taxation in Ireland including the Government’s renewed focus on encouraging retail investment – the commitments arising from the Funds Sector Review and the anticipated roadmap for simplifying Ireland’s complex retail investment tax framework. The panel also outlined how proposals such as removing the 8‑year deemed disposal rule on funds could support long‑term savers. For any members who missed the webinar, you can watch it back here.   Savings and investments reform will form a core pillar of our pre‑Budget 2027 campaign and we look forward to updating members on this in the coming weeks and months.

This week the Institute received formal correspondence from the Department of Social Protection (DSP) regarding My Future Fund. The letter, which members may have seen reported in media yesterday, emphasises that it is an offence to hinder employees from participating in My Future Fund. It clarifies that, despite recent reports, there has been no legal change requiring employers to enrol staff in occupational pension schemes to avoid automatic enrolment. The DSP has outlined that they understand that in some instances, employees are being compelled to join schemes with minimal employer contributions - often just 1% of salary – which falls short of the contributions required by My Future Fund. Such arrangements may deprive employees of meaningful pension benefits and could constitute an offence under Section 128 of the Auto Enrolment Retirement Savings System Act 2024 (AE Act). Any cases where employees are illegally obliged to join another pension scheme, preventing them from accessing My Future Fund will be fully investigated by DSP. Members are encouraged to familiarise themselves with these developments and ensure clients are fully informed. Background on Auto Enrolment/My Future Fund From 1 January 2026, the Automatic Enrolment Retirement Savings System – branded as My Future Fund - will come into effect. This initiative, legislated under the AE Act, is designed to provide employees who currently lack pension coverage with a secure and quality-assured way to save for retirement. Eligible employees - those aged over 23 and under 66, earning more than €5,000 in any 13-week period, and not already enrolled in a payroll-based pension scheme - will be automatically enrolled. The scheme will be operated and regulated by the newly established National Automatic Enrolment Retirement Savings Authority (NAERSA). Clarifications and compliance issues raised by the DSP The Department outlined that it has come to their attention that contribution levels under My Future Fund will be significantly higher than those currently reported in some occupational schemes, where employer contributions may be as low as 1% of salary. According to the correspondence, such low contribution rates are considerably below the initial and future contribution levels set for My Future Fund. The Department advises that any approach which results in employees being enrolled in schemes with substantially lower benefits could raise compliance concerns under the AE Act. The Department confirms that there has been no legislative change requiring employers to enrol staff in occupational schemes to circumvent automatic enrolment. However, it has become aware of cases where employees are being compelled to join such schemes, even where membership is not required under their contracts of employment. This practice, combined with very low employer contributions, could prevent employees from accessing My Future Fund and may constitute an offence under Section 128 of the AE Act. The letter also highlights compliance obligations. Employers enrolling staff in occupational schemes must meet disclosure requirements under the Pensions Act, ensuring employees receive full and accurate information about the terms and benefits of any scheme they join. Furthermore, sharing employee details with pension administrators without explicit consent may breach data protection law, exposing employers to legal and reputational risks. Finally, the Department notes that NAERSA, in consultation with the Pensions Authority, is considering developing standards to determine whether an occupational scheme qualifies as an exempt scheme under the AE Act. These standards will aim to include minimum contribution rates and conditions to ensure that any exempt pension schemes offers benefits at least as favourable as those provided under My Future Fund. Members should monitor these developments closely, as they will directly impact employer obligations and the advice professionals provide to clients.