Ireland’s Budget 2027 includes a proposed €1 billion scaling programme through the Ireland Strategic Investment Fund (ISIF), intended to give startups better access to growth capital. The measure responds to a long-standing challenge: while Ireland is effective at helping businesses get started, many founders struggle to secure the funding needed to expand.

The scale-up funding shortfall is especially pronounced for companies seeking Series B investment and later rounds. A 2026 survey by Scale Ireland found that three-quarters of Irish startup founders considered it difficult or very difficult to attract private capital. Some companies respond by selling to foreign buyers or moving to larger markets such as the UK or US, where more investors are available.

The ISIF programme is aimed at the right problem, but its effectiveness will depend on the details: which businesses can apply, how the funds will be invested, what terms will apply and how much administrative work founders will face. The timing of funding will also matter, particularly given that the European Commission reported in 2025 that Ireland was below the EU average for innovation-friendly regulation.

Budget 2027 also extends existing investment schemes for startups and small businesses. However, the article argues that continuing these programmes does not resolve concerns about complicated procedures, slow disbursement and unclear eligibility. A reduction in Capital Gains Tax from 33% to 31% is another positive measure, but it is unlikely by itself to close the scale-up funding gap.

Beyond capital, companies need customers, experienced staff, local knowledge and connections. The article also points to the need for simpler national requirements and a clearer route to customers and investors across other EU member states.

Ireland ranks seventh among the 27 EU member states on the European Startup and Scaleup Scoreboard, according to the European Commission. The challenge now is to turn the country’s startup potential into conditions that help more businesses secure later-stage funding and enter international markets while remaining based in Ireland.

Sources: EU-Startups.