Ireland's Innovation Index · 2026
Companies operating in Ireland expect RDI investment to keep growing.
Across 587 responses to the 2026 survey, 77% expect research, development and innovation (RDI) spend to increase over the next three years. The 2026 Index shows where investment is growing, how incentives influence decisions and which barriers still constrain delivery. Published in May 2026 by IRDG and KPMG.
Finding 1 · Investment
RDI investment remains resilient.
Sixty-nine per cent of respondents increased RDI spend over the previous three years. Looking ahead, 77% expect an increase, 19% expect spend to remain unchanged and 4% expect a decrease.
View the data table
| Category | Value |
|---|---|
| Expect an increase | 77% |
| Expect no change | 19% |
| Expect a decrease | 4% |
Expected change in RDI spend over the next three years. Base — 587 responses, Ireland's Innovation Index 2026 (IRDG and KPMG). Figures as published; percentages may not sum to 100 due to rounding.
Finding 2 · The higher credit rate
How respondents intend to use the higher R&D Tax Credit.
When asked about the five-point rate increase, 58% selected existing R&D projects, 57% new R&D projects and 39% hiring or retaining R&D staff. Respondents could select more than one answer.
View the data table
| Category | Value |
|---|---|
| Existing R&D projects | 58% |
| New R&D projects | 57% |
| Hiring or retaining R&D staff | 39% |
Intended uses of the increased R&D Tax Credit. Multi-select question — respondents could choose more than one use, so percentages do not sum to 100. Base — 587 responses, Ireland's Innovation Index 2026.
Finding 3 · AI and disruptive technology
AI and disruptive technology is a priority — not a proxy for adoption.
Sixty-seven per cent selected AI or other disruptive technologies as an RDI priority for the next one to three years, up from 45% in 2024. This measures stated priority, not current deployment or demonstrated impact.
Finding 4 · A proposed incentive
Respondents see potential in a dedicated Innovation Tax Credit.
Seventy-one per cent said a dedicated Innovation Tax Credit would enable more innovative work in Ireland; 67% said it would support new product or service development. This records respondents' expected effects of a policy proposal, not an enacted measure.
Finding 5 · Barriers
Cost, time and capability still constrain delivery.
The most-cited constraints on RDI activity remain cost, the time to plan and administer the work, skills and recruitment. Full report labels are shown in the data table.
View the data table
| Category | Value | Full label / context |
|---|---|---|
| Limited budget / high perceived cost | 57% | Limited budget / perceived high cost of innovation activities |
| Time to plan and administer | 40% | Lack of time to plan and administer |
| RDI skills gap | 37% | Skills gap in research |
| Speed of change | 34% | Inability to move fast enough or drive change |
| Recruitment of key talent | 31% | Recruitment of key talent |
Barriers to RDI activity; multi-select, so percentages do not sum to 100. Short labels on the bars; the report's exact labels appear in the data table. Base — 587 responses, Ireland's Innovation Index 2026.
Finding 6 · What the evidence means
What the evidence means for IRDG's policy work.
The findings show strong investment intent alongside persistent constraints in cost, administration and skills. IRDG uses this evidence in its work on RDI incentives, innovation supports and the conditions needed to turn plans into projects.
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The report and how to cite it.
Ireland's Innovation Index 2026
The complete findings, published May 2026 by IRDG and KPMG.
Open the full report (PDF, 14.1 MB) →Citation
"IRDG and KPMG (2026), Ireland's Innovation Index 2026, Dublin: Industry Research & Development Group." The same form is used for every edition in the series.
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The publication
Read the 2026 report in full.
Everything on this page is drawn from the published report — 587 responses, fieldwork March to April 2026. The PDF carries the full charts, the question wording and the methodology note.
Ireland's Innovation Index is produced by IRDG with KPMG. This is the current edition.
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