“Firstly, is the significant expansion of the R&D Tax Credit system, rising from 30 per cent to 35 per cent. This is a measure which ensures that we can be at the forefront of innovation in financial services and capitalise on the potential of artificial intelligence,” Troy said.

“We have simplified areas of core importance to our sector by expanding the Participation Exemption for Foreign Dividends,” Troy continued. “We have removed stamp duty for Irish registered companies with a market cap of less than €1 billion ($1.2 billion) who are looking to list on Euronext Dublin. We have made important changes to the taxation of investments, including Life Assurance Investment Tax, Investment Undertaking Tax, and exchange traded funds (ETFs).”

Troy said the Central Bank has already made significant changes to domestic ETF rules which have taken effect: “ETFs domiciled in Ireland have doubled since April 2023 and now stand at $1.6 trillion, 74 per cent of the ETFs domiciled in the EU. The Central Bank is also making substantial changes to the regulations governing alternative investment funds, which are well progressed.” 

He also emphasised the importance of giving citizens a better return on their savings. Troy said that amendments will be made in the 2026 budget to reduce the rate of taxation that applies to Irish and equivalent offshore funds and Irish and foreign life assurance products from 41 per cent to 38 per cent.

“We also announced that a roadmap is being developed, for publication in early 2026, which will set out an approach to simplify and adapt the tax framework to encourage retail investment,” Troy continued. “As part of the roadmap process, we will convene a savings and investments forum in early 2026 to bring together stakeholders from Ireland and abroad.” 

The funds industry is a key part of Ireland's financial services sector. “Ireland is the third largest global domicile for investment funds, hosting over €5 trillion of funds, an increase of 41 per cent since 2022. While often many speak of competition between capital cities for jobs, almost 50 per cent of the sector’s workforce is based in regional locations outside Dublin,” he added. “This is something that the government is passionate about seeing increase.”

Funds review
In 2023, the government commissioned a review of the investment fund and asset management sector – “Funds Sector 2030.” “The review recognised that the funds and asset management sector is well placed to grow, but we know that what has worked for Ireland in the past will not necessarily work into the future. We cannot be complacent, particularly in an uncertain geopolitical environment,” Troy said. 

Under the 2025 Programme for Government, he committed to progress and publish an implementation plan for consideration in the Budget 2026 which was published last week. 

The Funds Review recommendations focus on enhancing Ireland's role in public markets – exchange traded funds (ETFs) and money market funds – and at the same time to undertake targeted measures to enhance its role in private assets, primarily through regulated structures.  

Savings and investments union
The Savings and Investments Union (SIU) has transformative potential for the European Union, he said: “It intends to create policy measures that are grounded on the role of the capital markets in supporting the real economy and the innovative firms which are key to competitiveness and progress.” 

“We need to ensure that our firms have access to funding for their growth, and we need to boost European retail participation in capital markets, to help fund European companies. In this context, the SIU strategy, launched earlier this year, provides us with an important roadmap in terms of legislative priorities over the next few years,” he continued.

“From the outset, Ireland has been a strong supporter of the SIU, and we will continue to be actively involved in progressing its associated legislative measures. Ireland’s view is that we must take a pragmatic approach and that in order to best advance the SIU and to truly deepen EU capital markets, we need to focus on areas where broad agreement can be reached,” Troy said.