Four in 10 businesses have lost recruits due to a lack of suitable housing

Housing crisis now a major constraint on business, says study

Housing shortages have become a major business constraint, with 68% of business owners saying housing influences where they locate offices.

Four out of 10 businesses have seen potential employees decline job offers specifically due to housing availability or affordability, a new business sentiment survey reports.

The research showed that housing shortages have become a major business constraint, with 68% of business owners saying housing influences where they locate offices.

The Ireland edition of the Boss (Business Owners Sentiment Survey) for professional services group S&W polled 250 business owners in the State with turnover of €5m upwards. 

Almost half of employers (49%) said housing shortages had prompted them to offer higher salaries or housing allowances to compete for talent; while 48% of respondents cited housing costs as a pay pressure point affecting existing employees.

Specific policy interventions, particularly around housing, visa processing, and infrastructure, would enhance Ireland’s competitive position, said S&W managing partner in Ireland John O'Callaghan

More than four in five (81%) business owners support merging visa and work permit applications into one streamlined system.

“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," said S&W managing partner in Ireland John O'Callaghan.

A generational divide in attitudes to the Government also emerged in the business sentiment survey. Around 45% of business owners aged 25 to 44 believed the government is anti-businesscompared to just 18% of older business owners. Younger business owners also had a negative outlook with 80% of respondents aged 25 to 44 saying they planned exit strategies within the next three years 

US trade policies continue to influence company strategies. Most businesses (69%) said they were delaying major investments due to tariff uncertainty while 72% are actively seeking alternative export markets to reduce US dependency. 

Nevertheless, 91% of businesses surveyed are seeking to hire additional staff, and 83% are considering acquisitions.

The research was conducted in September by Censuswide, among 250 Irish business owners.