Most firms see cost of doing business rising, Ibec survey finds

The survey also revealed that most CEOs expect to see demand for their goods or services increase this year

Ibec chief executive Danny McCoy said the early signs are "encouraging", but much work remains on firms' efforts on environmental, social and governance initiatives.

Nearly 90% of Irish company bosses expect the cost of doing business to increase this year.

The availability of skilled workers, input cost inflation, labour cost pressures, maintaining profit margins and supply chain disruption are the main challenges facing Irish businesses, according to employers’ group Ibec’s latest CEO survey.

Business leaders also expect innovation and collaboration to be more challenging in the aftermath of the Covid crisis.

However, most CEOs expect to see demand for their goods or services increase this year, with nearly 60% expecting to increase their staff numbers.

Additionally, as much as 60% of companies in Ireland have increased their attention on environmental, social and governance – or ESG – initiatives in the past 12 months, according to the survey.

“Over the last number of years there has been a growing movement among Ibec members, and indeed business globally, to consider the impact of their operations, not just in terms of maximising returns but in generating returns in a way which balances economic, environmental, social and governance goals," said Ibec chief executive Danny McCoy.

He said much work remains, relating to ESG, but said the early signs are "encouraging".