With Ireland’s next financial services strategy set to be finalised in the coming months EY Financial Services Ireland’s lead Colin Ryan outlines his firm’s submission to the Department of Finance’s public consultation. He proposes three priorities – mobilising capital, enhancing competitiveness, and embracing innovation – which he says ‘are not abstract ambitions but practical levers for national progress’.
Ireland’s financial services sector is entering a decisive new chapter, one that demands vision, agility, and action. The next five years will define whether we remain a global leader or fall behind in a rapidly evolving financial landscape. Our recent submission to the Department of Finance’s Ireland for Finance Strategy 2026–2030 is titled Think Bolder: Act Now – a call for Ireland to lead with clarity, pace, and purpose. Ireland should lead the EU’s Savings and Investments Union (SIU), unlocking household capital through product innovation, policy alignment, and strategic investment.
Ireland’s financial services industry is a national asset and a global success story. It employs over 125,000 people, contributes €6.8 billion in annual tax, and finances critical areas such as housing, infrastructure, SMEs, and innovation. But the sector is at a turning point. Geopolitical tensions, evolving regulation, rapid technological disruption, and intensifying global competition mean Ireland’s continued success in financial services must be actively earned—not assumed.
We believe Ireland must now diversify, deepen, and lead. The next chapter should echo the ambition that created today’s thriving Irish financial services ecosystem —cementing our strengths in asset management, aviation finance, banking, and insurance, while accelerating leadership in emerging areas like fintech, sustainable finance, and digital innovation.
1. Mobilising capital for our country and our people
Ireland has a unique opportunity to turn household savings into real economic impact. The Draghi Report highlights a critical truth: access to capital drives business growth and global competitiveness. Mobilising household capital is not just an economic strategy – it is a national imperative.
Recent policy progress, including the National Financial Literacy Strategy and auto-enrolment pensions, lays the foundation. The next step is to create practical, inclusive pathways for households to participate in Ireland’s prosperity.
We urge action on:
- Reforming tax treatment across investment products to simplify and encourage participation.
- Introducing tax-efficient savings plans, such as SSIAs or pension-style vehicles, to channel capital into regulated Irish funds.
- Opening access to private assets through regulated feeder vehicles and semi-liquid structures.
- Expanding digital access via open-architecture platforms and fintech integration.
- Boosting financial literacy to build a confident, informed investor base.
This is about levelling the playing field—empowering Irish citizens to invest, grow wealth, and participate fully in Ireland’s financial future. Ireland should lead the EU’s Savings and Investments Union (SIU), unlocking household capital through product innovation, policy alignment, and strategic investment.
2. A strong and clear signal that Ireland is open for business
Ireland is globally recognised as a financial services leader—but reputation alone is not enough. Investor sentiment is shaped by competitiveness, regulatory clarity, and speed to market.
Ireland’s position can be strengthened by:
- Establishing a single Financial Services Growth Taskforce, chaired by the Secretary General of the Department of Finance, with Cabinet-level oversight and cross-agency collaboration.
- Streamlining (not compromising) approvals, aligning fiscal incentives, and reviewing tax policy to enhance competitiveness.
- Attracting and retaining global talent, while directing capital to high-impact national priorities.
- Adding a competition mandate to the Central Bank of Ireland, with a renewed focus on innovation and market dynamism.
Ireland must also deepen its international partnerships—particularly in regions like Asia Pacific—and reinforce its position in the Global Financial Centres Index.
3. Transforming the future of finance through bold action
Ireland’s financial services sector has the foundations to lead: a skilled workforce, global tech hubs, and proven strengths in asset management, payments, aviation finance, and innovation.
A wave of transformation is reshaping not just sources of finance, but how it is delivered—driven by AI, digital payments, tokenisation, sustainable finance, private assets, and digital currencies.
Our strategy calls for:
- Leading in frontier technologies with key areas of focus such as AI, tokenisation, ESG-linked instruments, and digital currencies.
- Unlocking all sources of capital, including private credit, infrastructure, and real estate.
- Building strategic partnerships across fintech, banks, insurers, and platforms to create value-added services.
- Modernising infrastructure for pensions, payments, and capital markets.
Sectoral leadership: unlocking Ireland’s full financial potential
To realise the full potential of Ireland’s financial services sector, we must harness the unique strengths of each sub-sector. Each plays a distinct and vital role in delivering national and European priorities.
Banking: powering Ireland’s financial backbone
Ireland’s domestic banks are central to the mobilisation of capital. They serve as both direct lenders and intermediaries, aligning supply with the demand of their customer base. There is a clear pathway for banks to add liquidity to the local economy—particularly by financing the next generation of SMEs and entrepreneurial ventures.
However, the cost of lending remains a barrier. A reassessment of capital requirements is needed to ensure legacy events do not unduly influence today’s regulatory frameworks. With improved risk profiles and robust controls, banks should be empowered to lend more efficiently and affordably.
Banks also have a role to play in deepening the SIU by facilitating non-bank lending and expanding access to private credit. Their infrastructure, customer relationships, and distribution capabilities make them critical enablers of inclusive financial participation.
Insurance: protection, investment and reform
Insurance plays a dual role in protecting both the health and wealth of the nation. It underpins risk appetite and entrepreneurial ambition, while also serving as a long-term investment vehicle—particularly through retirement solutions.
Insurance reform is essential to ensure capital flows efficiently and frictionlessly to settle claims and deliver value for money. The sector’s custodial responsibility over assets positions it to direct investment toward real economy opportunities, including housing, infrastructure, and renewables.
As ESG and sustainability become central to investment decisions, insurers are well-placed to lead in product innovation—developing solutions that align with climate goals, demographic shifts, and evolving consumer expectations.
Aviation Finance: sustainability and strategic diversification
Ireland’s aircraft leasing sector is a global leader and a source of strategic diversification within our financial services industry. It attracts long-term institutional capital and plays a pivotal role in deepening EU capital markets.
The sector is uniquely positioned to support sustainable aviation—financing newer, more fuel-efficient aircraft and investing in sustainable aviation fuel (SAF). Lessors can collaborate with manufacturers to develop and lease eco-friendly aircraft, offering incentives for airlines to adopt greener technologies.
As global travel rebounds and the middle class expands, the demand for a larger fleet will grow. Ireland’s leasing sector must continue to evolve—offering flexible financing solutions and increasing its share of the global market.
Fintech and Payments: innovation at the core
Ireland’s fintech ecosystem is vibrant, agile, and globally connected. It is a key driver of innovation across payments, digital identity, RegTech, and financial inclusion.
To accelerate progress, we recommend:
- Establishing Fintech R&D hubs focused on high-impact areas like AI, cybersecurity, and ESG tech.
- Incentivising collaboration between financial services and technology firms, with targeted funding and tax supports.
- Strengthening innovation networks that connect universities, global tech leaders, and domestic firms.
- Enhancing R&D tax credits to reflect the realities of product and process innovation in financial services.
Emerging technologies such as tokenised assets, blockchain settlement, and real-time payments offer transformative potential. Ireland must lead in their adoption, ensuring our infrastructure is future-ready and globally competitive.
Sustainable finance: leadership with impact
Ireland’s sustainable finance strategy must combine international excellence with domestic impact. This means mobilising capital into investible projects, developing ESG analytics and reporting platforms, and influencing EU and global sustainability frameworks.
This requires:
- Scaling ESG fund offerings and building a transition finance ecosystem.
- Developing natural capital and carbon finance capabilities, positioning Ireland as a global innovation hub.
- Integrating sustainability into all financial services activities—not as a separate sector, but as a foundational principle.
Sovereign wealth funds should model best-practice sustainable investing, with measurable returns and transparent reporting. Product development across insurance, banking, and wealth management must reflect the evolving needs of households and institutional investors.
Talent: the engine of growth
Ireland’s talent ecosystem is a strategic differentiator—but it faces mounting pressure from global competition, housing costs, and near-full employment.
We recommend four strategic priorities:
- Building future-ready skills, especially in ESG, AI, and sustainable finance.
- Increasing diversity, particularly female participation, to unlock innovation and untapped talent.
- Enhancing international competitiveness by attracting global and returning talent.
- Developing regional hubs to address cost-of-living challenges and unlock new sources of growth.
To deliver on these priorities, we must invest in high-impact learning opportunities, streamline training pathways, and amplify outreach to under-represented groups.
Measuring success: a data-driven strategy
To ensure the strategy delivers real value, performance must be tracked transparently and used to dynamically adjust policy.
Key indicators include:
- Net new jobs and regional employment dispersion.
- Capital deployed into housing, infrastructure, and SMEs.
- Growth in household participation and institutional investment.
- Innovation metrics: R&D investment, product launches, and competitiveness rankings.
- Market share in private assets and sustainable finance.
- Success of indigenous firms and international expansion.
Thinking bolder, driving further
Ireland’s financial services sector is entering a phase where clarity of purpose must meet coordinated execution. The priorities set out – mobilising capital, enhancing competitiveness, and embracing innovation – are not abstract ambitions but practical levers for national progress.
Delivering on them will require sustained collaboration across government, industry, and regulators, and a willingness to challenge legacy constraints. The opportunity is clear; the next move is ours.
