Irish business leaders highlight rising cyber risk and growing economic uncertainty in Q2 2026

Compared with 2025, directors identified three areas where boards now face greater risk exposure: geopolitical and regulatory volatility (37%), cybersecurity as a systemic business risk (26%), and gaps in AI governance and accountability (19%). In respect of the upcoming Irish Presidency of the EU, 46% of directors believe their organisation faces increased cyber risk from July to December 2026.

Furthermore, 91% of directors say personal liability and risk exposure has increased in the past three to five years. Directors’ views over their risk exposure and their understanding of their D&O insurance, and what this covers as a director, are mixed. 

• 57% of directors note that they are very or extremely confident that they understand their personal liability and risk exposure as a director, with 39% noting they are only somewhat confident.
• 53% cite a high or very high understanding of their D&O cover, with 37% rating their understanding as neither high nor low.

Commenting on the findings, Caroline Spillane CDir, CEO of IoD Ireland, said:

“This quarter’s survey shows that Irish business leaders are navigating an increasingly complex risk landscape, where geopolitical uncertainty, economic pressure, cyber threats, and governance expectations are converging. While many organisations’ risk appetite has remained steady, boards are sharpening their focus on strategic risk, embedding risk more firmly into decision-making and recognising its positive role in supporting innovation. At the same time, the findings point to a cautious outlook for the months ahead and a clear call for competitiveness to remain a priority during Ireland’s EU Presidency.”

Risk Appetite and Innovation

While organisations are operating in an unstable business environment, 58% of directors note their organisation’s risk appetite had not changed over the past 12 months, while 40% said it had changed. At Board level, strategic risk stands out as the area expected to require the greatest increase in attention over the next two to three years, ranked first by 51% of respondents. 

At the same time, risk management appears to be well embedded in organisational decision-making: 73% of respondents said risk management is either fully integrated or mostly integrated into strategic decision-making. Of the directors who responded, 57% also note that risk management has had a very/somewhat positive impact on innovation, reflecting that risk managed can be a benefit rather than a hindrance to organisational growth and success. 

Business Confidence and EU Presidency 

The survey also points to a cautious business outlook for the remainder of the year. 

• Nearly half of respondents (48%) said their confidence in their organisation’s financial performance for the rest of 2026 is unchanged from the previous quarter, while 29% said they are more pessimistic and 23% more optimistic. 
• In respect of the Government, 48% of directors cited their performance as having a negative impact on consumer confidence, with 26% citing positive and equally having no impact. 
• Furthermore, 51% directors cited that they were somewhat confident that the Government is managing public finances in a fiscally responsible manner, with 31% not so confident/not at all confident, and 16% very/extremely confident.
• Just over one in three (34%) directors cited enhanced measures to provide a more competitive landscape as a key priority area that should be enhanced during the Irish Presidency of the EU. 

The IoD Ireland Risk & Business Confidence Survey Q2 2026 captured responses from 358 directors and senior business leaders between the 19th May to the 4th June 2026.