New company formations hit record high as IT start

A record number of new companies were formed in the Republic during the first half of this year, new data has shown.

New analysis by business intelligence service Vision-net said 14,949 new start-ups were recorded in the first six months of 2026, which was a 13 per cent increase on the same period last year.

Vision-net managing director Christine Cullen said the data has shown entrepreneurial activity has held steady despite ongoing economic uncertainty globally.

“What is particularly encouraging is the sheer breadth of this growth. We are seeing a rising tide across 18 counties, with traditional urban hubs like Dublin, Limerick, and Cork supported by phenomenal surges in counties like Wicklow and Kilkenny,” Cullen said.

“Furthermore, growth is being driven by cornerstones of our economy, led by a massive spike in IT start-ups, followed by strong gains in the motor, construction and manufacturing sectors.”

Last month was the busiest of the year for company formations, with 2,744 new companies registered in June.

The IT sector recorded the sharpest rise in the six-month period, up 62 per cent. There was also a 31 per cent increase in new motoring firms, a 26 per cent rise in manufacturing companies and 22 per cent uptick in new construction firms.

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Cullen said Vision-net’s analysis has also demonstrated a sharp contraction in financial distress faced by Irish companies, with the value of commercial judgments down 45 per cent on an annual basis to €15 million in the first half of 2026.

“Alongside a 15 per cent decrease in the number of consumer judgments, and a 58 per cent drop in the value of consumer judgments, suggests that both businesses and individuals are navigating cash flows with greater stability and clearing previous credit hurdles.”

On a county basis, Wicklow recorded the largest rise in new companies formed, up 31 per cent, followed by Kilkenny (26 per cent), Louth (21 per cent), Kildare (16 per cent) and Donegal (12 per cent).

The number of new firms registered in Dublin and Cork rose 16 per cent and 13 per cent, respectively, in the period. Larger rises in new start-ups were observed in Limerick (22 per cent) and Galway (18 per cent).