As summer came to a close, we all learned a lot about ourselves. Here are all the best bits from the month of August.

1. Handbrake up on the service sector.

According to Reuters, and driven by a new survey, Ireland’s service sector hit its weakest growth in 19 months in August as employment and outstanding business contracted while input costs increased. The AIB Global S&P Purchasing Managers’ Index slipped to 50.6 in August from 50.9 in July; however, it still held above the 50 level, which indicates growth. That was marginally weaker than the average for the services sector in the wider euro zone, which slipped to 50.7 in August from 51.0 in July, according to a preliminary reading.

Employment in the sector also decreased for the first time since January, with the sharpest cuts in Transport, Tourism & Leisure, followed by Financial Services. “Despite weak current activity levels, firms in the Irish services sector remained optimistic on the prospects for expansion in activity levels over the coming 12 months,” AIB Chief Economist David McNamara said in a statement, citing hopes for new products and technologies and for an economic recovery.

2. Despite this, Irish consumer sentiment cautiously climbs.

Irish consumer sentiment recovered from a near two-year low this month as concerns about the impact of tariffs on EU exports to the US appeared to ease, a survey showed on Tuesday. The Credit Union Consumer Sentiment Survey improved to 61.1 in August from 59.1 in July. (The reading is below the 72.1 level posted in August 2024 and far lower than the long-term survey average of 83.8.)

As we all know well, Ireland is among the countries most exposed to President Donald Trump’s sweeping economic policies, with a significant proportion of employment, tax receipts and exports relying almost solely on a cluster of US multinationals. But a late July deal that set a 15% tariff on most EU exports to the US fell well short of widely feared worst-case scenarios and appears to have reduced uncertainty among Irish consumers, the survey’s authors said in a statement.

3. The runners and riders for the Irish Presidency are a-go.

It has been a wild month for the entire island of Ireland as presidential hopefuls have really made themselves known. “The ball is thrown in,” declared Heather Humphreys, using GAA parlance, as she was set to battle Seán Kelly, former president of that organisation, for the Fine Gael nomination. However, he swiftly announced his withdrawal soon after.

Gareth Sheridan is still battling the media despite regular and brutal blows, and the most publicised addition was none other than Met Éireann’s Joanna Donnelly, who withdrew from consideration within days following some, as she put it, “naive” input. Most surprisingly, still, Bertie Ahern has also withdrawn. With just weeks to go, we can only imagine what the next month holds for all of us. May God have mercy on us all.

4. Chartered Accountants Ireland speaks up on market diversification plan.

Chartered Accountants Ireland has publicly backed the government’s newly released Action Plan to Support Market Diversification. “The extensive nature of the plan, which includes more than 100 actions, underscores the significant challenges ahead and the necessity for a unified national approach,” as per advocacy director Cróna Clohisey, who went on to state that Irish businesses are currently facing “unprecedented” challenges due to US tariffs. The initiative also reaffirms a commitment to bolstering indigenous enterprises, which the institute supports.

Many of the group’s 40,000 members are also actively involved with Ireland’s SMEs. “While foreign direct investment continues to constitute a key part of Ireland’s economic mix, these home-grown businesses (particularly SMEs) form the backbone of the Irish economy. Ensuring they are equipped to diversify, innovate and compete internationally should rightly now be a primary policy objective,” Clohisey stated.

A survey conducted by Chartered Accountants Ireland in May 2025, in collaboration with GRID Finance, went on to reveal that many SMEs find existing government support initiatives either too time-consuming or resource-intensive to access, resulting in lower-than-expected uptake. “While the breadth of support is positive, further steps need to be taken to ensure that business reliefs are not overly complex or difficult to claim. Simplifying application processes and reducing administrative burdens will be key to ensuring that any new supports reach the businesses that need them most,” Clohisey concluded.

5. Inflation & Employment.  

As per the CSO’s latest review, the EU Harmonised Index of Consumer Prices (HICP) for Ireland is estimated to have increased by 1.8% in the 12 months to August 2025 and risen by 0.3% since July 2025. This compares with HICP inflation of 1.6% in Ireland in the 12 months to July 2025 and an annual increase of 2.0% in the HICP for the Eurozone in the same period.

Examining the components of the flash HICP for Ireland in August 2025, energy prices are estimated to have decreased by 0.3% in the month and by 0.1% over the 12 months to August 2025. Food prices are estimated to have risen by 0.4% in the last month and by 5.0% in the last 12 months.

Ireland’s labour market showed mixed signals in August 2025. The overall unemployment rate dipped slightly to 4.7%, down from July’s figure but still higher than the 4.1% recorded a year ago. Male unemployment eased to 4.9%, while the female rate dropped to 4.5%, both edging lower month-on-month yet remaining just above last year’s levels. Youth unemployment stood at 11.9%, a small improvement on July’s 12.1%, while the rate among adults aged 25–74 slipped to 3.6%. The figures suggest a market that’s holding steady, though not without pressure compared to 2024.

6. UN declares famine in Gaza.

More than half a million people in Gaza are trapped in famine, marked by widespread starvation, destitution and preventable deaths, according to a new Integrated Food Security Phase Classification analysis released this month. The Food and Agriculture Organisation of the United Nations, UNICEF, the United Nations World Food Programme and the World Health Organisation all collectively agreed on this, highlighting the extreme urgency for an immediate and full-scale humanitarian response given the escalating hunger-related deaths, rapidly worsening levels of acute malnutrition and plummeting levels of food consumption, with hundreds of thousands of people going days without anything to eat.

Classifying famine means that the most extreme category is triggered when three critical thresholds – extreme food deprivation, acute malnutrition and starvation-related deaths – have been breached. The latest analysis now affirms, on the basis of reasonable evidence, that these criteria have been met.

7. Fashion retailer Claire’s collapses into administration in the UK and Ireland.

Claire’s, a fashion company seen on most Irish and British high streets, has announced plans to appoint administrators amid plummeting sales and intensifying competition from online retailers. The US-owned fashion chain, which operates approximately 300 stores across Britain and Ireland, confirmed that insolvency specialists from Interpath Advisory are being brought in to assess the company’s future. This development follows Claire’s filing for bankruptcy protection in the United States just last week.

At present, stores will continue to trade. As per CEO Chris Cramer, “In the UK, taking this step will allow us to continue to trade the business while we explore the best possible path forward.”

Interpath’s chief executive, Will Wright, noted that the brand, best known for its trend-driven accessories and ear piercing services, still holds strong recognition in the UK market. “Over the coming weeks, we will aim to keep stores operating as a going concern while evaluating strategic options, including a potential sale that could secure a future for this well-loved retailer,” Wright said.

8. Ireland’s hottest summer on record.

With an average temperature of 16.19°C, summer 2025 became Ireland’s warmest since records began, surpassing 1995’s benchmark. August alone was the fourth-warmest August on record.

It is the third successive summer month to have been among the warmest on record in Ireland; June was the fourth warmest on record, while July was the ninth. When final figures are collated, the summer of 2025 is likely to be among the warmest since records began.

9. M&A’s.

Some 106 mergers and acquisitions were completed in the Irish market in the second quarter of this year, with a combined deal value of €3.3 billion, according to data from Davy. Figures from the stockbroker highlighted 217 deals (up 10% year on year) in the first six months of this year. And although the second quarter traditionally outstrips the first, the 2025 statistics show it was marginally lower. This was likely due to headwinds around “trade tariff policy uncertainty and its impact on the overall macro picture, impact on certain sectors and in investment decisions, including M&A”, the Davy report said.

As for recent additions…

Basalt Infrastructure acquires Chemco Ireland

Chemco Ireland’s founders have agreed to a takeover by funds advised by London-based Basalt Infrastructure Partners. Chemco primarily serves the semiconductor, pharmaceutical, food and industrial sectors in Ireland, providing specialist chemical logistics, storage and distribution services. The company, which is based close to Dublin, has long-term contracts in place with clients and plays a critical role in their supply chains.

Dawn Meats agrees deal with New Zealand’s Alliance Group

Dawn Meats has announced a deal to acquire a majority stake in New Zealand meat producer Alliance Group. The Waterford-headquartered firm will take a 65% stake in the business as part of a €127.7m investment. Alliance is New Zealand’s largest processor and exporter of lamb, and operates six processing plants in the country. It is owned by about 4,300 shareholders.

Beechwood Partners acquired by S&W Ireland

Professional services group S&W has agreed to acquire Beechwood Partners, a Dublin-based company that provides accountancy and tax advisory services. Beechwood’s 35 staff and partners will join S&W Ireland, which currently employs more than 80 people in Sandyford. S&W has more than 1,850 employees and over 120 partners in the UK and Ireland.

Abry Partners moves to buy AA Ireland

Abry Partners, a Boston-headquartered investment firm, is to take a majority stake in AA Ireland as the roadside assistance and insurance broker gears up for a third change in ownership in just under a decade. Abry, a mid-market private equity firm, has a strong track record in acquiring insurance and financial services business, taking a minority stake just last month in Oracle Risk Management Services, an American general insurance broker. In recent years, it has been expanding in Europe via its London office, taking a majority stake this year in Burgess Hodgson, an accounting and business services firm serving small and medium-sized enterprises.

In summary…

There’s something about an Irish Presidential election that turns everyone a bit feral, isn’t there? Whether it’s the proverbial bowl of shamrocks or the thought of living in Ireland’s best gaff, it sends even mere mortals into a bit of a frenzy, before the Irish press takes them down a peg. The question on most people’s lips about it, however, is: will Fine Gael do it?

In other news, Trump is alive. Despite rumours that he has perished – he hadn’t been seen in two days, and reportedly pizza orders soared from only restaurant that stays open past midnight near the Pentagon this week, a metric which usually indicates a crisis – he returned to the pulpit this week to discuss none other than Rocket City, Alabama and how he thinks Biden is an old, unhealthy man. Business as usual, then.

Finally, for those uninterested in the treacherous and often heinous world of politics, The Traitors Ireland is here! So far, we’ve seen a Garda, a prison officer and several content creators duke it out over the chance of winning €50,000. Seemingly, they’re all looking to buy a house with the loot, and make a show of themselves on national television for it. And despite its similarities to Dáil Éireann, the carpet is red and not blue.

Thanks for reading, and see you next month!

Our team is dedicated to providing you and your business with the absolute best business advice out there. We approach each and every case from a fresh perspective, working with you to find tailored solutions that leave your business feeling stronger than ever. With our expert analysis, we translate figures into a language you can understand. Using timely, reliable advice, our experienced team of experts devise sophisticated plans to encourage cost efficiency and growth. To find out more, contact our team at Fitzgerald Power today.