Risk Distribution across Business Sectors in 2025

11/08/2025

Ireland's corporate landscape in 2025 is navigating a complex economic climate marked by resilience and volatility. While employment figures remain stable, businesses face mounting pressures from shifting international trade policies, regulatory changes, and climate-related disruptions. These challenges are reshaping risk profiles across industries, making it more critical than ever to identify which sectors are most exposed to financial and operational instability.

Hospitality is widely regarded as one of the riskiest industries in Ireland, shaped by a complex mix of economic, structural, and cultural challenges that have intensified in recent years. Among the most pressing issues are Policy and Taxation Pressures, notably the increase in the VAT rate from a temporary 9% to 13.5%.

Adding to the strain are rising operational costs, particularly energy and food prices, which disproportionately affect small hospitality enterprises. These businesses often depend heavily on heating, lighting, refrigeration, and imported ingredients, making them especially vulnerable to fluctuations in utility prices and supply chain disruptions.

Another high-risk industry in Ireland is Wholesale and Retail Trade, which, while facing challenges similar to those in hospitality, is also grappling with distinct pressures. One key difference is the shift in consumer behaviour, with a growing preference for online shopping over traditional retail experiences.

Additionally, the post-Brexit environment has introduced significant hurdles, including customs delays, stricter regulatory checks, and increased costs associated with trading with the UK. These disruptions have prompted many businesses to explore alternative suppliers and markets, while simultaneously adapting to new compliance requirements and extended delivery timelines.

We have recently analysed credit scores across all industries - from Agriculture to Hospitality - to determine the proportion of companies classified as High Risk, providing an overview of which sectors pose the greatest business risk in Ireland so far in 2025.

1. Hotels and Restaurant

Dissolved: 300
Start-ups: 952
Avg credit Score: 63.05


2. Computers

Dissolved: 458
Start-ups: 1,055
Avg credit Score: 68.35


3. Mining and Quarrying

Dissolved: 11
Start-ups: 11
Avg credit Score: 69.40


4. Manufacturing

Dissolved: 231
Start-ups: 343
Avg credit Score: 71.33

5. Wholesale And Retail Trade; Personal and Household Goods

Dissolved: 581
Start-ups: 1,510
Avg credit Score: 68.65


At CRIFVision-net our credit reports deliver a uniquely Irish perspective, combining comprehensive local data with advanced technology to offer highly predictive insights. Our scoring model accurately forecasts over 80% of business failures, making it one of the most reliable in Ireland. Backed by 30+ years of expertise, our reports feature daily updates, real-time alerts, and continuous monitoring - empowering businesses to manage risk and make confident decisions in Ireland's business landscape in 2025.