Investors see healthy gains:
October has long been known as a challenging month in markets, mainly because it is the month that delivered some of history’s biggest crashes:
While October’s reputation for volatility is well known, the reality is that over the past 50 years, it actually tends to be one of the better months for equity returns. If we look at the US market, the average return in October is up just less than 1% which is stronger than September (usually negative) and not far off April or November — which are often the best months. (Source: Y Charts November 2025). Some investors think of October as the inflection point in the market year – the moment when we shake off the last of the summer glow and look ahead to the “Santa Rally.”
This year we saw a continuation of the cautious optimism that had begun to build in September, as global equities advanced on the back of easing inflation pressures, interest rate cuts, and another broadly positive corporate earnings season. Investor sentiment improved, but not without restraint – persistent geopolitical tensions, political uncertainty, and ongoing trade disputes kept volatility in play and reminded markets that the path forward remains uneven.
Source: Bloomberg
In the US, equities extended their winning streak, led once again by the technology-heavy Nasdaq, which climbed 6.7% in euro terms. The “Magnificent Seven” mega-cap stocks were at the forefront, delivering robust earnings that reassured investors about the resilience of U.S. corporate profitability. The broader S&P 500 followed suit, with a strong 4.3% gain.
Asian and emerging market equities also enjoyed a strong October, extending the positive momentum seen in recent month with gains of approximately 6%, reflecting a renewed sense of optimism across developing economies. China delivered modest gains, with the real growth coming from India and broader Emerging Asia – where markets were buoyed by a weaker U.S. dollar, positive trade talks between US and China, and an uptick in investor confidence.
Japan was another bright spot, with equities rallying strongly as the Nikkei reached a new record high. The appointment of Sanae Takaichi (known as “the Iron Lady” – yes, another one!) as Japan’s first female prime minister added a sense of political renewal and fuelled hopes for government stimulus packages and continued corporate reform. Japanese exporters were boosted by a weaker yen which enhances overseas earnings when converted back into local currency.
Within continental Europe, equities posted steadier gains, with gains of 2.2% over the month. Strength in autos and luxury goods provided much of the lift, helped by signs of improving demand from China and a modest pickup in global trade momentum. Political uncertainty held back French markets with their fifth prime ministerial appointment in two years. German economic growth was also underwhelming and inflation moving upwards caused some jitters.
In the UK, equity performance was mixed, with defensive sectors and energy names doing well while the continued weakness in the UK economy and stubbornly high inflation once again hitting domestically focused businesses.
Bond markets delivered broadly positive returns through the month, benefiting from interest rate cuts. Investors worried about government shutdown in the US as well as fears that future cuts may not be imminent.
Source: Bloomberg
In Europe, the main government bond markets posted modest gains as inflation continued to moderate, and growth concerns resurfaced. Bonds favour weaker economic news as this is more likely to lead to interest cuts in the future which boosts returns. UK gilts were the standout performers rallying 2.9% – their strongest monthly gain in almost two years.
Within corporate bond markets, returns were buoyed by positive company news and continued evidence of balance sheet strength.
As we approach year-end, the familiar themes continue to shape market sentiment: inflation continues to fall, global interest rates continuing downwards slowly, and the resilience of global growth amid persistent trade and geopolitical headwinds. October once again underscored how swiftly markets respond to encouraging economic news. We also saw that bouts of volatility are inevitable. At Fairstone, we remain committed to building well-diversified portfolios across regions and asset classes, working with the global leaders in fund management and investment research to deliver the very best client outcomes.
This publication was prepared by Bernard Walsh, Head of Investments for Fairstone Asset Management DAC trading as Fairstone & askpaul.
This publication is for general information purposes and is not an invitation to deal or address your specific requirements. The information is believed to be reliable but is not guaranteed. Any expressions of opinions are subject to change without notice. This publication is not to be reproduced in whole or in part without prior permission. Articles should not be relied upon in their entirety and shall not be deemed to be, or constitute, advice. Although endeavours have been made to provide accurate and timely information of the various source material, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. We cannot accept responsibility for any loss due to acts or omissions taken in respect of the information contained within the articles. Thresholds, percentage rates and tax may be amended due to future legislative changes.
Information as of the date of publication 10/11/2025
In today’s financial landscape, finding the best savings account in Ireland is a smart way to make the most of your capital. With interest rates fluctuating and inflation still affecting purchasing power, Irish savers are rightly asking: how can I earn more from my savings without taking on unnecessary risk?
This guide explores the evolving landscape of savings accounts in Ireland, explaining how to identify the most competitive interest rates, what account types best suit your financial goals, and why diversifying your savings strategy can make a significant difference to your long-term wealth.
A savings account is a secure place to store your money while earning interest. Unlike a current account, it’s designed to help you grow your funds over time. The appeal lies in its balance of security, accessibility, and return.
With the right account, you can earn a steady return while maintaining peace of mind that your money is protected.
When choosing the best savings account Ireland, it’s important to understand the different options available.
These accounts are ideal if you plan to save a fixed amount each month. They often come with competitive interest rates, particularly when you meet deposit requirements or maintain a steady balance. Regular saver accounts encourage disciplined, consistent saving habits.
Perfect for short-term goals or emergency funds, instant-access accounts allow you to withdraw your money at any time without penalty. However, this flexibility often comes at the cost of lower interest rates.
If you’re willing to commit your money for a specific period (typically 6 months to 3 years), fixed-term accounts reward you with higher interest rates. The longer the term, the greater the potential return. This type of account suits savers who don’t need immediate access to their funds.
For those with a one-time deposit, perhaps from a bonus, inheritance, or property sale, lump-sum savings accounts provide a way to lock in a competitive rate on a larger balance. These accounts are popular among savers who want a best lump sum savings account Ireland option that delivers predictable, stable growth.
As the name suggests, high-yield savings accounts Ireland options offer the most attractive interest rates. They are generally available through digital banks or international platforms and may require higher minimum deposits. However, they provide excellent opportunities for those looking to maximise returns on idle cash.
Interest rates differ based on several factors:
As of October 2025, the best savings accounts interest rate in Ireland for short-term deposits ranges between 2.5%-3.10%, with some EU-based platforms offering the higher end of this range*. While this marks a notable improvement from previous years, it still trails some of the higher-yield opportunities available across the EU.
*Information correct as of October 2025.
Choosing the best savings account in Ireland depends on more than just the advertised rate. Consider the following:
The Annual Equivalent Rate (AER) allows you to compare savings products fairly, showing how much interest you’ll earn in a year, including compounding.
Ask whether withdrawals are allowed at any time, or whether early withdrawal leads to penalties or reduced interest.
Some high-yield accounts require a minimum opening deposit, sometimes as low as €1,000, but others may require €10,000 or more.
Look for accounts with no maintenance or withdrawal fees. Even small charges can eat into your returns over time.
Consider whether the bank offers reliable customer support, online banking options, and transparent communication.
Locking in your savings can make sense when interest rates are attractive and you have funds that you won’t need immediately. Fixed-term accounts are particularly suited to:
However, it’s wise to keep some money in an instant-access account to cover emergencies. A balanced approach, some funds for flexibility, others locked in for higher returns, offers both stability and growth.
The Deposit Guarantee Scheme (DGS) protects deposits up to €100,000 per person, per bank in Ireland. This guarantee is mirrored across the EU, meaning if you hold savings in another EU country, you enjoy similar protection levels. Always verify the exact terms and coverage when comparing options.
Interest earned on savings is subject to Deposit Interest Retention Tax (DIRT), currently at 33%. Even if your account is located outside Ireland (e.g., another EU country), you must declare that interest and pay DIRT on it.
It’s important to factor in tax when comparing net returns, an account offering 3% AER might yield less than expected once tax is applied. Seeking advice from a qualified financial planner ensures you make decisions aligned with your savings goals.
While finding a high interest rate savings account Ireland is an important financial step, it’s only one part of your overall wealth strategy. Your savings and retirement plans should work together to provide long-term stability, income, and peace of mind.
At Fairstone, we understand that your savings goals often align with broader ambitions, buying a home, funding education, or preparing for retirement. Our team provides expert financial planning advice tailored to your needs, helping you balance growth, security, and tax efficiency.
We can guide you in integrating your savings strategy with your financial planning, ensuring that every decision you make today supports your future prosperity.
If you’re ready to boost your savings:
And finally, for those who want to explore competitive savings opportunities across Europe, without the complexity of managing multiple banks, there are secure, user-friendly platforms that allow Irish residents to access higher-yield savings accounts from within the EU. Partnering with trusted solutions through Fairstone can help you take advantage of these opportunities easily and safely.
By combining smart savings choices with professional guidance, you’ll be well on your way to securing both your financial present and future. Start earning more from your savings today with Fairstone’s new Savings Service in partnership with Raisin, offering market-leading rates and no extra fees.
Sources:
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Investment Options in Ireland: Choosing the Right Path for your Portfolio
This article is for general information purposes and is not an invitation to deal or address your specific requirements. Any expressions of opinions are subject to change without notice. The information disclosed should not be relied upon in their entirety and shall not be deemed to be, or constitute, advice. Although endeavours have been made to provide accurate and timely information of the various source material, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future.
Securing a comfortable retirement means making informed choices about how you save today. In Ireland, one of the most widely used arrangements is the defined contribution pension. While relatively straightforward in theory, these schemes can be difficult to navigate, especially when compared with alternatives like defined benefit pensions. Knowing how each works, and which one suits your situation best, can make a significant difference to your long-term financial wellbeing.
At Fairstone, we specialise in guiding individuals and businesses through these decisions, ensuring your pension strategy supports both your lifestyle and your future goals.
A defined contribution pension (often called a DC pension) is a retirement savings plan where both the employee and employer contribute to an investment fund. The eventual size of your pension pot depends on three key elements:
Unlike a defined benefit pension, which guarantees a set income at retirement, the outcome of a defined contribution pension is not predetermined. Instead, it reflects the contributions paid in and the returns achieved.
A DC pension scheme usually works as follows:
The value of your retirement benefits from a DC pension scheme is determined by:
This is one of the most common questions people ask: “Are defined contribution pensions safe?”
The answer depends on how you define “safe.” Contributions to a DC pension are invested, which means the value of your pot can rise or fall depending on market performance. While lower-risk investment funds offer more stability, they also tend to deliver lower returns. Conversely, higher-risk investments could grow your pot more quickly but expose you to greater volatility.
The key is balance, selecting an investment approach aligned with your retirement goals and risk appetite. Seeking expert pension advice is crucial to ensure your DC pension is structured appropriately.
The distinction between a defined contribution pension and a defined benefit pension is fundamental:
In a DB pension, contributions from both employer and employee are pooled to fund a guaranteed benefit. In a DC pension, contributions accumulate in your individual account, and your retirement income depends on investment performance.
Many employers have shifted towards defined contribution pension schemes, as they transfer financial risk away from the company and onto the employee.
Some companies offer hybrid schemes, which combine features of both defined contribution and defined benefit pensions. These aim to balance the risks between employers and employees, though they are less common in practice.
Yes, but withdrawals are subject to strict rules. Generally, you cannot access your defined contribution pension plan until you reach retirement age (currently 66). However, certain circumstances allow for earlier access:
Seeking advice before making a defined contribution pension plan withdrawal is essential, as decisions can have long-term financial consequences.
Transfers may be worth considering if:
Before transferring, weigh potential fees, tax implications, and differences in scheme rules. A qualified pension advisor can guide you through the process.
It’s wise to review your pension regularly, especially when:
Even small adjustments today can significantly improve your retirement outlook.
A defined contribution pension can offer flexibility and growth potential, but it also places responsibility on you to make the right choices. Contribution structures, investment risks, withdrawal rules, and the contrast with defined benefit pensions can quickly become overwhelming without expert support.
This is where professional guidance makes a real difference. At Fairstone, we provide tailored pension advice to help you:
A well-managed pension could mean the difference between financial security and uncertainty in retirement. Whether you are asking “what is a defined contribution pension plan” or wondering “are defined contribution pensions safe”, our experienced advisors are here to help.
Your retirement deserves careful planning. Don’t leave it to chance. Book a no-obligation retirement planning consultation and let Fairstone help you build the secure future you deserve.
Source: Revenue.ie
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Occupational Pension Schemes: What They Are and Why They Matter for Your Business and Employees
This article is for general information purposes only and is not an invitation to deal or address your specific requirements. Any expressions of opinions are subject to change without notice. The information disclosed should not be relied upon in their entirety and shall not be deemed to be, or constitute, advice. Although endeavours have been made to provide accurate and timely information of the various source material, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future.
Planning for retirement is one of the most important financial decisions you will ever make. Among the many pension arrangements available, the defined benefit pension remains one of the most valuable but often misunderstood options. Once considered the gold standard for retirement planning, these schemes are now less common but still provide significant security for those who have them.
In this article, we will answer some of the most common questions around defined benefit pensions: how they work, whether they can be transferred or inherited, how they are calculated, and what tax implications apply. We will also explore why seeking expert pension advice is essential and how Fairstone can help you make the best retirement planning decisions.
A defined benefit (DB) pension is an occupational pension scheme where your retirement income is predetermined based on factors such as your salary and the number of years you worked for your employer. Unlike a defined contribution (DC) pension, where your retirement income depends on investment performance, a DB scheme provides a guaranteed income for life.
For example, a scheme might promise half of your final salary after 40 years of service. This level of certainty is highly valuable, especially in retirement when budgeting becomes crucial.
The formula for calculating your pension depends on:
This income is paid for life and is usually adjusted for inflation, protecting your long-term purchasing power.
DB pensions are most commonly offered by large employers, public sector organisations, and older private sector companies. However, due to the cost and risks employers must carry, many firms have shifted to defined contribution schemes.
Employers face the responsibility of ensuring the pension fund can meet all future payments. If the scheme underperforms, the company must make up the shortfall. This financial burden explains why DB schemes are becoming rarer.
The appeal of a DB pension lies in its certainty and security. Unlike personal savings or investment-linked pensions, a DB plan guarantees income regardless of market conditions.
For many retirees, this reliability ensures peace of mind, making DB pensions a highly prized benefit.
Yes, defined benefit pensions are taxable in retirement. The income you receive is subject to income tax at your applicable marginal rate, along with USC and PRSI where relevant.
However, there are also tax advantages:
This makes pension planning not only about security but also about managing tax efficiently.
One common question is: can I pass on my defined benefit pension to my loved ones?
Most DB schemes have rules for dependant benefits, meaning your spouse, civil partner, or sometimes children may receive a portion of your pension after your death.
It is important to check your specific scheme rules and seek advice if inheritance is a priority for your financial planning.
This is one of the most important questions you may face: “Should I transfer my defined benefit pension?”
Transferring means giving up your guaranteed income in exchange for a lump sum (known as transfer value), which you then reinvest in a new pension scheme such as a Buy Out Bond or PRSA.
Click here to read more about what is a PRSA
Because the decision is highly personal and complex, professional guidance is critical. At Fairstone, our pension specialists assess your circumstances, goals, and scheme rules before recommending whether a transfer is in your best interest.
The calculation of your pension income depends on the formula used in your scheme. But if you are considering a transfer, you will also want to know the transfer value.
An Enhanced Transfer Value (ETV) is sometimes offered by employers to encourage members to leave the scheme. This can be worth 20–30 times the annual pension you would have received in retirement.
These sums can be significant, but deciding whether to accept depends on your age, health, family circumstances, and long-term financial goals.
A common concern is: “What happens to my DB pension if my employer goes bankrupt?”
While many schemes are well-funded, risks remain. If the scheme does not have enough assets and the employer cannot make up the shortfall, promised benefits may be reduced. Cases like the Waterford Crystal pension collapse illustrate these risks.
This is one reason why some people choose to transfer their defined benefit pension, to take control and protect against employer insolvency.
In most cases, you must have been a member of a DB scheme for at least two years before you can transfer. After this, you may be entitled to a preserved benefit or transfer value.
You can transfer if you:
The transfer can be made into:
A defined benefit pension can be one of the most valuable assets you own. It provides guaranteed income for life, often with inflation protection and survivor benefits. But as schemes become rarer and financial circumstances change, you may face the question: can I transfer my defined benefit pension, and should I?
The answer depends entirely on your goals, health, and financial situation. While transferring can offer flexibility, inheritance opportunities, and investment control, it also means giving up guaranteed income and taking on risk.
Understanding the mechanics, how to calculate defined benefit pensions, whether they are taxable, and if they can be inherited, is just the first step. The real key is aligning your pension decisions with your overall retirement plan.
At Fairstone, we believe retirement planning should give you both security and freedom. Our experts provide independent, tailored advice to help you make the right choice for your future.
Take the next step today, book a no-obligation retirement planning consultation with a Fairstone pension specialist and ensure your retirement is built on strong foundations.
Source: Revenue.ie
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Occupational Pension Schemes: What They Are and Why They Matter for Your Business and Employees
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This article is for general information purposes only and is not an invitation to deal or address your specific requirements. Any expressions of opinions are subject to change without notice. The information disclosed should not be relied upon in their entirety and shall not be deemed to be, or constitute, advice. Although endeavours have been made to provide accurate and timely information of the various source material, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future.
Budget 2026 arrives at a time of economic recalibration. The Government’s €9.4 billion package focuses on fiscal restraint and targeted adjustments across income supports, pensions, and business incentives. Rather than introducing major new spending measures, the Budget seeks to balance economic pressures with investment in key sectors, though reactions have been mixed across the business and financial community.
For business owners and higher-income individuals, this is a budget of refinement, not revolution. It brings modest reliefs, new compliance obligations, and fresh opportunities for those willing to plan strategically. At Fairstone, we see this as a time to strengthen your financial foundations, aligning business decisions, personal wealth, and long-term goals.
The main focus of Budget 2026 is maintaining economic balance. With global growth softening, the Government has prioritised continued investment in public services and infrastructure while keeping fiscal policy steady.
What this means for you:
While the overall approach is one of continuity, it still provides scope for structured financial and business planning.
The rollout of the auto-enrolment pension scheme in January 2026 will be one of the most significant operational shifts for employers in years. Businesses must now contribute to employee pensions for those not already in a workplace scheme, a move that supports retirement security but adds a recurring cost.
Meanwhile, PRSI rates are increasing again, with employer PRSI rising to 11.25% and employee PRSI to 4.2%. Together, these changes underscore the importance of proactive financial planning.
How Fairstone can help: We help employers understand the full financial impact of auto-enrolment, build contribution costs into forecasts, and identify opportunities to align pension benefits with overall remuneration strategies.
Click the following link to read more about Auto Enrolment in Ireland
Budget 2026 reaffirmed the government’s commitment to innovation-led enterprise. The R&D (Research and Development) tax credit has increased from 30% to 35%, offering more liquidity to scaling firms, and the Entrepreneur Relief threshold has been raised to €1.5 million, supporting founders looking to reinvest in the Irish economy.
What this means for you: These measures may create opportunities for business owners who are planning future investment in areas such as product development, talent, or capital projects, depending on how they align with individual business priorities and sector trends.
While the Budget introduced a Derelict Property Tax to encourage regeneration, it also lowered VAT on new apartments from 13.5% to 9%. Together, these measures seek to increase supply and stimulate development.
If you own or invest in property, this could influence both your development pipeline and long-term portfolio strategy.
Fairstone’s perspective: Our advisers can help you assess whether property investment remains aligned with your financial objectives, taking into account your cash flow, debt profile, and diversification needs.
A key measure for investors in Budget 2026 is the reduction of the exit tax on investment funds and life assurance savings products, from 41% to 38%. This move narrows the gap between the exit tax and capital gains tax, making Irish-domiciled funds and ETFs (Exchange-traded fund) more attractive.
While personal investors now benefit from the reduced 38% exit tax rate, corporate investors in Irish funds and certain life assurance packages continue to enjoy a significantly lower 25% exit tax rate, a 13% point advantage.
Why this matters: For companies with surplus cash, investing at the corporate level offers both tax efficiency and convenience. Rather than extracting funds as salary or dividends (triggering personal tax rates up to 52%), retaining and investing cash corporately preserves more capital while maintaining liquidity for future business opportunities.
How it works: Corporate investors provide a prescribed declaration to the fund or life company to access the 25% rate. The fund handles the exit tax deduction (including on 8-year deemed disposals), and the company claims credit when filing its corporation tax return.
The right structure depends on your timeframe, succession plans, and the balance between personal wealth and business reinvestment. Many business owners find a blended approach offers optimal flexibility.
Fairstone’s role: Our investment specialists design personalised portfolios that align with your time horizon, risk profile, and long-term goals, integrating funds, ETFs, and alternative assets in a way that reflects your evolving financial picture. We help you determine the optimal structure for your investments, whether held personally, through your company, or across both.
Click the following link to read more about Investing in ETFs in Ireland in 2025
While no new income tax bands were introduced, bracket creep remains a concern. As wages rise and tax thresholds stay static, many professionals will find themselves paying higher effective tax rates, even without a formal increase.
For high earners, pension contributions, investment packages, and strategic income timing remain essential tools to manage exposure.
The rise in PRSI and introduction of auto-enrolment bring retirement planning back into focus. While these measures add cost, they also reinforce the value of personal pension planning for both employers and employees.
Whether you’re maximising your annual allowance, contributing through your company, or integrating pension assets into an overall investment plan, coordinated advice ensures your retirement savings work as hard as your business does.
Fairstone can help: We create comprehensive retirement and wealth accumulation strategies, blending pensions, investments, and protection plans to secure long-term financial independence.
For business owners preparing for exit, Budget 2026 offers a combination of continuity and opportunity. The enhanced Entrepreneur Relief remains one of the most effective tools for reducing tax on qualifying disposals, while the lower exit tax improves the investment landscape post-sale.
How Fairstone supports your next chapter:
Selling or transitioning a business is more than a transaction, it’s a pivotal life event. Fairstone’s advisers specialise in guiding entrepreneurs through that process with clarity and confidence.
Budget 2026 may not have delivered sweeping tax reform, but it creates space for structured, intelligent planning. For business owners and high-income earners, the real opportunity lies in strategic integration, ensuring every decision about your business, investments, and lifestyle works together.
At Fairstone, we help clients move from reacting to the Budget to planning proactively, making confident, informed choices about their business, wealth, and future.
Sources:
Gov.ie
Disclaimer:
This article is for general information purposes and is not an invitation to deal or address your specific requirements. Any expressions of opinions are subject to change without notice. The information disclosed should not be relied upon in their entirety and shall not be deemed to be, or constitute, advice. Although endeavours have been made to provide accurate and timely information of the various source material, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future.
Budget 2026 has been unveiled, marking a shift from short-term cost-of-living supports toward longer-term, structural measures designed to build a fairer and more resilient economy. This year’s €9.4 billion package focuses on steady increases to welfare and pensions, moderate tax adjustments to protect middle-income earners, and targeted incentives for businesses and innovation.
The Government has described this as a “responsible” budget, one that balances ongoing support for households with fiscal discipline as global growth slows. There are no one-off energy credits or emergency payments this time, but instead, permanent improvements in income supports, tax thresholds, and sectoral incentives.
In this article, we break down the main announcements from Budget 2026 and what they mean for individuals, families, and businesses across Ireland.
One of the most headline-grabbing announcements is the increase in the National Minimum Wage from €13.50 to €14.15 per hour, effective 1 January 2026. This 65-cent rise reflects the Low Pay Commission’s recommendation and continues the Government’s multi-year effort to move closer to a “living wage.”
To prevent this increase from pushing minimum-wage workers into higher Universal Social Charge (USC) liabilities, the 2 % USC band has been extended to €28,700. This means those earning the new minimum wage full-time will remain in the lower USC bracket and avoid a stealth tax increase.
At the same time, the Government announced a €10 weekly rise in all core social welfare and pension payments, benefiting more than 1.5 million people. These include the State Pension, Jobseeker’s Allowance, Carer’s Allowance and Disability Allowance.
What it means:
For workers on low or modest wages, these combined changes ensure that the minimum-wage uplift is not eroded by higher tax deductions. Pensioners and welfare recipients see steady, structural gains instead of short-term bonuses.
What it means:
Families with school-age children gain meaningful recurring relief rather than sporadic lump-sum supports. Expanding eligibility for the Working Family Payment and Fuel Allowance should help offset energy and childcare costs through the winter months.
Click the following link to read more about Saving for Education in Ireland
What it means:
While renters and mortgage holders see some continued relief, the Government’s emphasis has shifted toward supply-side measures, using tax incentives to make building and renovating homes more attractive. The new derelict property tax signals stronger policy action to bring idle properties back into use.
Click the following link to read more about What is the Help to Buy Scheme (HTB)
There are no sweeping income-tax cuts for 2026. Instead, the Government prioritised smaller, targeted changes designed to maintain fairness and prevent bracket creep:
A key feature of Budget 2026 is the reduction in the tax rate on investment returns, a move welcomed by savers and long-term investors. The tax on investment funds and life assurance savings products, commonly known as the exit tax, will fall from 41% to 38% from January 2026.
This marks the first reduction in over a decade and is designed to encourage personal saving and make domestic investment products more attractive compared to direct shareholdings, which are taxed under Capital Gains Tax rules.
The Government stated that this change reflects its goal of supporting financial resilience and rewarding long-term saving among households, while also aligning Ireland more closely with European norms for investment taxation.
What it means:
Together with the higher Entrepreneur Relief threshold and improved R&D tax credits, this change signals a clear pro-investment stance from the Government, intended to promote savings, innovation, and long-term capital formation.
What it means:
The overall tax direction is neutral, the Government’s focus is on preventing tax drag and supporting job-rich sectors, not cutting rates wholesale. Businesses in hospitality, energy and R&D stand to benefit most from targeted VAT and credit adjustments.
What it means:
These moves demonstrate Ireland’s ongoing commitment to innovation-led growth. SMEs benefit from greater liquidity through higher R&D refunds, while start-ups and scaling founders gain improved exit flexibility. Multinationals are also reassured by the continuation of SARP, reinforcing Ireland’s status as a competitive base for global talent.
The Department of Health budget increases to €27.3 billion, supporting new frontline staff recruitment, expanded disability services, and improvements in community and mental health care. Funding also targets waiting-list reduction and emergency-department capacity.
Education continues to receive strong prioritisation, with measures including:
What it means:
Investments in these core areas represent the Government’s strategy of long-term resilience building, more teachers, more hospital capacity, and more affordability for students rather than short-term financial relief.
In parallel with social and fiscal measures, the Budget reinforced Ireland’s climate commitments:
What it means:
Sustainability and regional development continue to underpin fiscal planning. Businesses in the green economy and construction sectors will find opportunities in energy efficiency and public works projects, while regional communities gain from infrastructure investment.
Budget 2026 will likely be remembered less for dramatic giveaways and more for measured, structural reforms that seek to balance social fairness with economic prudence. The focus on permanent welfare increases, childcare supports, sectoral VAT relief, and innovation incentives signals a government moving toward steady, predictable policymaking after several years of crisis-driven budgets.
For most households, it brings small but reliable improvements to disposable income. For businesses, especially in hospitality and technology, it offers practical tools to stabilise costs and invest for growth. For the broader economy, it reinforces a message of stability, prudent spending paired with targeted incentives.
At Fairstone, we can help you translate these announcements into practical steps: from adjusting payroll systems and business forecasts to personal tax planning and investment strategy. Contact us today to understand how Budget 2026’s measures can work for your goals, and to plan confidently for the year ahead.
Sources:
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Information as of 07/10/2025
Disclaimer:
This article does not constitute tax or legal advice and should not be relied upon as such. Tax treatment depends on the individual circumstances of each client and may be subject to change in the future. This article is for general information purposes and is not an invitation to deal or address your specific requirements. The information disclosed should not be relied upon in their entirety. Although endeavours have been made to provide accurate and timely information of the various source material, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future.
September delivered solid returns across global equity markets, as optimism over lower interest rates, resilient economic data, and appetites for growth again reasserted themselves.
Source: Bloomberg
At a regional level, emerging market equities (shown in orange above) led performance in September, advancing 5.8% in euro terms. Asia Pacific ex-Japan (in yellow) followed closely with a 4.4% gain. Chinese has been a strong performing market this year but Taiwan was a major contributor in September. Emerging Markets typically benefit from a softer dollar, easing trade tensions, and a continued improvement in investor sentiment.
In the U.S., markets continued to grind higher, with the large-cap S&P 500 (shown in green) rising 3.25%, though still trailing the technology-heavy Nasdaq. Optimism over interest rate cuts provided a strong tailwind for mega-cap growth stocks, as the Federal Reserve delivered its first 0.25% interest rate reduction of 2025. Expectations of further cuts provided support to equities – particularly in rate-sensitive sectors. The renewed ‘lower-for-longer’ interest rate story reignited investor confidence, driving fresh capital back into stocks.
Positive corporate earnings reports also underpinned equity market optimism, with many companies continuing to surpass forecasts. Readers may have expected trade wars and tariffs to hold back share prices. Positive company results helped reassure investors that, despite ongoing global tariff concerns, corporate performance remains resilient – easing fears that slowing economic momentum might threaten stock valuations.
Across Europe and the UK, equity markets showed resilience though gains were capped by lingering political risks and growth concerns. In continental Europe, the MSCI Europe ex UK index advanced 1.5%, buoyed by strength in technology, healthcare, and industrial sectors.
In the UK, equity markets were more subdued. The FTSE 100 showed limited upside, reflecting the headwinds from a weak domestic economy and sterling volatility. The FTSE 250, which has greater exposure to UK-centric businesses, underperformed, weighed down by lingering concerns about demand, inflation, and policy direction.
Bond returns were mixed but generally positive and heavily influenced by positioning in short or long-dated assets. Early in the month, interest rate cuts in the US and other markets boosted bond prices. As we went through September, In several regions, stronger-than-expected inflation (negative for bonds) pushed yields on shorter-dated bonds higher (reduced prices), while longer maturities fared better.
Source: Bloomberg
Credit markets (corporate bonds) fared comparatively better than sovereigns (government bonds), with investment-grade bonds (higher quality) supported by solid corporate earnings and strong balance sheets.
In the commodity space, gold continues to shine (excuse the pun), up another 9% in September driven by continuing concerns about government debt and trade disputes. Oil, on the other hand, was down 6.6% for the month as producers continue to expand supply.
Looking ahead, one of the biggest risks is that inflation could turn out higher than expected, which would likely push interest rate expectations back up. In September, inflation across the eurozone rose to 2.2%, from 2.0% in August, with Germany running even hotter at 2.4%. In response, the European Central Bank kept its main rate unchanged at 2.00%, acknowledging the uncertainty around tariffs and future price pressures, but repeating its commitment to bring inflation back under control over time.
At the same time, ongoing trade disputes remain a worry for businesses and investors alike. Many companies are now feeling the impact of earlier tariff measures, either absorbing higher costs themselves or passing them on to consumers. For investors, this mix of sticky inflation and trade uncertainty reinforces why central banks are cautious about cutting rates too quickly, and why markets may remain volatile in the months ahead.
Taken together, September’s economic landscape is one of mixed signals: growth is holding up better than many feared, but inflation remains stubborn and trade policy uncertainty hasn’t gone away. For markets, this has translated into a supportive environment for equities. We will watch the announcements on earnings for Q3 very carefully for insights from corporates on performance and future profitability. Market watchers will be particularly interested to see if the Magnificent Seven technology shares can continue to deliver on market expectations. Bonds will react to any signs of inflation emerging and will watch carefully for signals regarding future US interest rate cuts.
At Fairstone, we remain committed to building well-diversified portfolios across regions and asset classes, with a focus on delivering long-term growth, accepting the inevitable ups and downs on the journey to delivering positive client outcomes aligned to their attitude to risk.
This publication was prepared by Imogen Hambly CFA, Portfolio Manager for Fairstone Private Wealth Ltd (United Kingdom).Fairstone Private Wealth Ltd. is authorised and regulated by the Financial Conduct Authority (FRN: 457558)
This publication is for general information purposes and is not an invitation to deal or address your specific requirements. The information is believed to be reliable but is not guaranteed. Any expressions of opinions are subject to change without notice. This publication is not to be reproduced in whole or in part without prior permission. Articles should not be relied upon in their entirety and shall not be deemed to be, or constitute, advice. Although endeavours have been made to provide accurate and timely information of the various source material, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. We cannot accept responsibility for any loss due to acts or omissions taken in respect of the information contained within the articles. Thresholds, percentage rates and tax may be amended due to future legislative changes.
Information as of the date of publication 03/10/2025
Sending a child to college is one of the biggest financial commitments many parents in Ireland will face. Between the annual student contribution fee, rising rents, and general living costs, the total bill for a four-year degree can easily run into tens of thousands of euro. Saving for Education in Ireland for families with more than one child, these figures multiply quickly, making education planning an essential part of family financial planning.
In this guide, we break down the true cost of higher education in Ireland, when parents should start saving, the best ways to put money aside, and the tax and charges to be aware of. Whether your child is in preschool, secondary school, or already preparing for university, starting early and planning wisely can help you manage this significant expense.
How much you’ll spend depends on whether your child studies from home or moves out to attend university.
According to the most recent Irish Times and TU Dublin Cost of Living Guide:
For postgraduate study, costs are higher again. Many Master’s programmes range from €9,000 to €35,000 per year, excluding living expenses, books, laptops, and additional course fees.
And for families who choose private secondary schools before university, costs increase further. Some fee-charging schools cost €9,000 annually for day pupils, and boarding can reach €24,500 per year, before adding grinds, extracurriculars, and trips.
It’s clear that education is one of the largest long-term costs a family will face, but unlike other expenses, you know the timeline from day one, which makes planning possible.
Education is predictable. You know your child will likely begin college at 18, so you have nearly two decades to prepare. The earlier you start saving for education in Ireland, the easier it will be to spread the cost and benefit from compounding growth.
Take the Child Benefit payment of €140 per month. If you set it aside every month until your child turns 18, you’d save €30,240. If invested with an average annual return of 5%, this could grow to nearly €48,500, enough to cover most undergraduate costs for a child living at home, or a significant portion if they live away.
Delaying until secondary school is still worthwhile but reduces your time horizon. In that case, your options may lean more towards deposit savings or larger monthly contributions to catch up.
Starting early also means you can explore a wider range of saving and investment strategies, tailored to your risk profile and timeline.
Deposit and fixed-term savings accounts are low-risk and simple to manage. However, interest rates are generally low, and inflation can erode the value of money over time. For example, according to The Irish Times:
These are best for short-term savings, particularly if your child is close to college age.
For longer-term goals (five years or more), investment funds can help your money grow faster than inflation.
For example, if you contribute €250 per month for 18 years with a gross annual return of 6% (before fees or taxes), you could build a fund worth about €76,072. By comparison, the same contributions without investment growth would amount to €54,000.
Many providers offer education-focused investment products (regular savings plans or lump-sum investment funds offered by Irish life insurers and investment providers). Minimum contributions typically start at €125/month or €20,000 lump sums.
While investing carries risk, markets have historically outperformed cash savings over the long term, making this a suitable option if you start early.
Redirecting Child Benefit directly into a savings or investment plan is one of the simplest and most effective ways to fund education costs. It’s regular, untaxed income from the government, and aligns perfectly with the 18-year timeframe before third-level education.
Parents and grandparents can each give up to €3,000 per year per child tax-free (€6,000 per couple). Over time, and if invested, these contributions can make a substantial impact on education savings.
Click the following link to read more about Small Gift Exemption
If you choose investment-based savings, be aware of the associated costs:
When comparing providers, always check the allocation rate (the percentage of your contribution actually invested) and factor in charges, as they can significantly affect your final return.
Not every parent has the chance to save for 18 years. If your child is already in college, there are still ways to manage costs:
Small, consistent steps can add up to big results when spread across 10–18 years.
Education is one of the few major expenses you can plan for decades in advance. But with multiple saving options, tax rules, and investment products, making the right choice can be complex.
A financial adviser can help you:
At Fairstone, we offer expert financial planning tailored to your circumstances. Whether you are just starting to save for a newborn, planning for private secondary school, or already funding a college student, we can help you put a clear, tax-efficient strategy in place. With our support, you can fund your child’s education with confidence while protecting your long-term financial wellbeing.
Sources:
Revenue.ie
Related articles:
Investment Options in Ireland: Choosing the Right Path for your Portfolio
Inheritance Tax Explained: Who Pays, How Much, and Key Exemptions
This publication is for general information purposes and is not an invitation to deal or address your specific requirements. Any expressions of opinions are subject to change without notice. The information disclosed should not be relied upon in their entirety and shall not be deemed to be, or constitute, advice. Although endeavours have been made to provide accurate and timely information of the various source material, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future.
From January 2026, Ireland will introduce a nationwide auto enrolment pension scheme, formally known as the My Future Fund. This initiative is a cornerstone of the government’s strategy to address the country’s low levels of private retirement saving. With only about 35% of private sector employees currently contributing to a pension, the government aims to increase coverage to 70% and beyond.
The concept is straightforward: employees who do not already have a qualifying pension will be automatically enrolled. While this this pension auto enrolment model represents a positive step forward in improving retirement security for the wider workforce, for high earners, including 40% taxpayers, business owners, and high-net-worth individuals, the scheme presents serious limitations.
In particular, the state’s flat-rate contribution structure and restrictions on flexibility may prove far less advantageous than existing private and company pension arrangements. For this reason, it is critical that high earners seek expert pension advice before defaulting into auto enrolment.
This article explores the implications of auto enrolment for high earners, compares the state scheme with private pensions, highlights the benefits of company schemes, and explains why retaining control through tailored arrangements can provide superior long-term outcomes.
Under the new system, employees aged 23 to 60, earning €20,000 or more annually, and not already in a qualifying scheme will be automatically enrolled. Contributions will be made by the employee, the employer, and the state, phased in over a ten-year period:
However, contributions are capped at earnings of €80,000, and withdrawals are not permitted until retirement age (currently 66). Employees will also be automatically re-enrolled every two years if they opt out.
Perhaps the most significant issue facing high earners under auto enrolment is the replacement of traditional tax relief with a flat 33% state top-up.
Under auto enrolment, however, the state’s top-up is capped at 33%, reducing the effective relief for higher earners from 40% to just 25%. Over a lifetime of contributions, this differential can result in a substantial shortfall in retirement savings.
For individuals earning well above the €80,000 contribution ceiling, the limitation is even more pronounced. A large portions of their income falls outside the scheme, meaning they cannot benefit from pension contributions on that income. Consequently, private or company arrangements remain far more efficient for wealth accumulation.
Another drawback of auto enrolment lies in its restricted investment menu. Employees will default into a lifecycle fund that automatically reduces investment risk with age. While three additional funds (low, medium, and high risk) will be available, the range remains narrow compared to private or company pension schemes.
For high-net-worth individuals, tailored investment portfolios are often essential to align with broader wealth management plans. This lack of choice, therefore, represents a major limitation.
Auto enrolment also excludes access to professional financial advice, leaving participants without guidance on integrating pension planning with their wider tax or estate strategies.
Private pensions and company schemes offer a level of flexibility that auto enrolment cannot provide. For example, members of occupational pensions may access benefits from age 50, depending on their circumstances. Auto enrolment, by contrast, locks in funds until the state retirement age of 66.
For high earners and business owners, flexibility is often as important as tax relief. Pensions can play a role in succession planning, liquidity management, and overall wealth diversification. Being unable to access funds until age 66 may, therefore, restrict opportunities to use pensions as part of a comprehensive financial strategy.
The following comparison highlights the key differences between the two systems:
For high earners, the advantages of private and company pensions are clear: superior tax efficiency, greater investment choice, and more flexible access.
For business owners and high-income professionals, establishing a company pension scheme offers advantages that go well beyond those of auto enrolment. Key benefits include:
These features make company pensions a compelling choice for 40% taxpayers and high-net-worth individuals, offering flexibility, efficiency, and protection that state-mandated auto enrolment cannot match.
While auto enrolment will be adequate for many employees—particularly those without any pension coverage, it may not serve the interests of higher-income individuals.
Professional pension advice is essential for high earners for several reasons:
The choice is not simply between auto enrolment and inaction. High earners have the opportunity to craft pension solutions that align with their financial goals, both personal and business-related.
For employers, the introduction of auto enrolment carries additional responsibilities. All eligible staff must be enrolled, contributions deducted via payroll, and matching employer contributions provided. These costs will rise from 1.5% to 6% of salary over a decade.
Yet for business owners, there is also an opportunity: setting up a private or company pension scheme now can exempt employees from auto enrolment, while also enhancing recruitment and retention strategies. In competitive markets, offering superior pension benefits demonstrates a commitment to employee wellbeing and provides a clear edge in attracting top talent.
As the deadline approaches, high earners and business owners should:
The government’s auto enrolment pension in Ireland is a welcome reform for broadening retirement savings coverage. However, for high earners, business owners, and 40% taxpayers, it is far from optimal. Reduced tax relief, capped contributions, limited investment options, and inflexible access rules all undermine its value compared to private or company pension schemes.
By contrast, company pensions offer higher relief, flexibility, wider choice, and superior benefits. For those with significant income and assets, they remain the most effective vehicle for retirement planning.
At Fairstone, our expert pension advisors specialise in guiding high earners and business owners through these complex decisions. We understand that auto enrolment may not provide the optimal solution, and we work with clients to design pension strategies that maximise efficiency, flexibility, and long-term wealth.
Book a no-obligation retirement planning consultation with Fairstone today and take the first step towards securing a retirement strategy that reflects your income, goals, and ambitions.
Source: gov.ie
Information correct as of 02/09/2025
This article is for general information purposes only and is not an invitation to deal or address your specific requirements. Any expressions of opinions are subject to change without notice. The information disclosed should not be relied upon in their entirety and shall not be deemed to be, or constitute, advice. Although endeavours have been made to provide accurate and timely information of the various source material, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future.
We saw positive movements in global financial markets through August, reflecting a degree of renewed optimism, as equities across most regions delivered gains, while bond investors found some relief with central banks signalling interest rate cuts ahead. Movements in currency markets, however, saw a strengthening of the euro versus most major currencies, reducing gains for euro investors.
Across developed markets, Japan stood out as the month’s strongest performer, with the MCI Japan index (above in blue) gaining 4.5%, in EUR terms, advancing on the back of improving economic momentum and a positive trade agreement with the United States. Domestic data news was encouraging, particularly regarding economic growth and manufacturing activity.
Elsewhere, European equities reacted well to improving business activity and posted modestly positive returns, with the MSCI Europe index (in purple) up just over 1%. Political turbulence in France, following the announcement of a vote of no confidence in the government, pulled back French markets.
In the UK, the FTSE 100 advanced 0.3% in August, supported by its global exposure, while more domestically UK shares declined, reflecting ongoing concerns about the UK’s economy. The Bank of England cut interest rates by 25 basis points in August, but the effect was offset by stronger-than-expected inflation data later in the month. While employment weakened, inflation pressures remain, suggesting that fewer interest cuts were likely over the remainder of the year.
U.S. equity returns were slightly negative, with the S&P 500 (shown in green) down 0.5% in August. While US markets benefited from strong corporate earnings and solid momentum in both manufacturing and services – a weaker U.S. dollar over the month eroded gains once translated into euros.
Across Asia and emerging markets, equities advanced, supported by the temporary extension of the U.S. – China trade truce, which offered welcome relief to regional exporters. Chinese technology stocks also benefited from Beijing’s announcement of an ambitious semiconductor strategy. However, again, euro strength offset these gains, leaving the MSCI Emerging Markets index down 1.2% and the broader Asia index lower by 1.0%.
From a style perspective, the rotation that began earlier in the summer continued into August with small-cap stocks outperformed large caps, supported by resilient economic data and growing expectations of lower U.S. interest rates in the months ahead. Global real estate equities also gained for similar reasons, with solid U.S. corporate fundamentals providing an additional boost to the asset class.
Fixed income markets delivered mixed results in August, with performance varying across segments. Global corporate bonds outperformed global government bonds, with the Bloomberg Global Aggregate Credit Index (above in orange) rising 0.5% as strong earnings boosted confidence in corporate balance sheets. U.S. Treasuries experienced a volatile month: heavy issuance of more bonds and persistent deficit concerns put pressure on prices early on. However, comments from Federal Reserve Chair Jerome Powell signalling faster rate cuts boosted bond prices, particularly long-term bonds. However, expectations of lower rates in the future lead to U.S. dollar weakness through the month, weakening returns for euro investors.
In the UK, government bond fell even though the Bank of England delivered an anticipated rate cut. Investors were concerned about inflation risks and possible measures in the upcoming Budget. Meanwhile in the euro area, political instability in France weakened their government bonds, even though economic news from the country remained positive. This fed through into weakness for other bonds on the continent. Surprisingly, Greek bonds are viewed as a safer investment in relative terms to their French equivalent. Eurozone bond prices also reacted negatively to reduced expectations of further interest rate cuts from the European Central Bank (ECB). Economic growth remained broadly positive and inflation is approaching its target level, removing an urgency around further interest rate cuts.
Looking ahead, the familiar themes continue to dominate: the pace of central banks cutting interest rates, the path of inflation, and the resilience of global growth. August showed that markets are quick to reward positive surprises in these areas, though currency fluctuations and political risks remain notable drivers of volatility. At Fairstone, we remain focused on ensuring that portfolios are diversified across geographies and asset classes, with continued emphasis on equities as the key driver of returns.
At Fairstone, we specialise in providing tailored investment planning advice to help clients achieve their financial goals. Our experienced advisors offer personalised strategies designed to optimise growth, manage risks, and ensure diversification across a wide range of assets. By working with Fairstone, you can have confidence that your investment decisions are guided by expertise, adaptability, and a commitment to your long-term success.
Contact us today to schedule a no-obligation investment consultation and start planning for a secure financial future.
This publication was prepared by Imogen Hambly CFA, Portfolio Manager for Fairstone Private Wealth Ltd (United Kingdom).Fairstone Private Wealth Ltd. is authorised and regulated by the Financial Conduct Authority (FRN: 457558)
This publication is for general information purposes and is not an invitation to deal or address your specific requirements. The information is believed to be reliable but is not guaranteed. Any expressions of opinions are subject to change without notice. This publication is not to be reproduced in whole or in part without prior permission. Articles should not be relied upon in their entirety and shall not be deemed to be, or constitute, advice. Although endeavours have been made to provide accurate and timely information of the various source material, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. We cannot accept responsibility for any loss due to acts or omissions taken in respect of the information contained within the articles. Thresholds, percentage rates and tax may be amended due to future legislative changes.
Information as of the date of publication 08/09/2025
