Sharp fall in optimism among finance leaders bracing for geopolitical disruption

• Optimism drops from 60% to 28% in the past year.
• Geopolitical risk cited as key concern for 86% of countries surveyed in this year’s Deloitte European CFO survey - the highest level recorded since Deloitte began the survey a decade ago.
• More than 8 in 10 Irish CFOs expect tariffs to impact sales (83%) and supply chains (85%) over the next six months.
• Expanding into new markets is not a priority for nearly half (49%) of Ireland’s financial leaders, while expanding by acquisition is not a priority for 75%.
• 65% believe there is more scope to grow FDI in Ireland.
• Cost reduction (57%), reviewing supply chain efficiencies (48%), and digitisation (42%) are top strategic priorities for Ireland’s CFOs over the next year.
• Nearly half (40%) of Irish CFOs have increased ESG investment while less than 1 in 10 (6%) have reduced investment in this area. 

12 June 2025. Optimism levels among Ireland’s CFOs have weakened significantly over the past year amid ongoing global uncertainty, Deloitte’s latest CFO survey has found.

Just 28% of Irish CFOs say they are more optimistic about their company’s financial prospects than three months ago - down from 60% in Spring 2024 and only a modest recovery from the 19% recorded in Autumn 2024.

The Deloitte European CFO Survey is a bi-annual research project reflecting insights from 1,542 Chief Financial Officers across 14 European countries.

Across Europe, 60% of CFOs now report operating in a high-uncertainty environment – up from 53% in Spring 2024 and 44% in Spring 2023.

The Netherlands, Portugal and Ireland have the highest number of CFOs saying they are less optimistic, while Germany had the highest number of CFOs feeling more optimistic (45%).

In Ireland, one in five CFOs (22%) expect their revenue to decrease while 45% say they expect to see their revenue increasing over the next 12 months, slightly lower than the European average of 52%. This time last year, a much higher number (74%) anticipated that their revenue would increase.

Geopolitics is now ranked among the top three risks in 86% of countries surveyed in this year’s European survey - the highest level recorded since Deloitte began the survey in 2015 and surpassing the levels seen at the onset of Russia’s invasion of Ukraine in early 2022.

CFOs in Ireland also reported concerns about economic outlook (83%), cybersecurity threats (74%) and shortages of skilled professionals (51%), all of which are placing increasing strain on strategic planning and operations.

Other factors cited by CFOs in the total group include interest rates, inflation, and increasing regulations.

66% feel less optimistic about Ireland’s economy. However, nearly the same number (65%) believe there is more scope to grow FDI in Ireland.

CFOs shift focus to cost control and digitisation over expansion

Against this backdrop, Irish finance leaders are prioritising defensive, efficiency-driven strategies:

·        57% of CFOs cite cost reduction as a key strategic priority

·        48% are reviewing supply chain efficiencies and

·        42% are focusing on digitisation and technology transformation

In contrast, expansionary strategies are firmly on the backburner:

·        49% say entering new markets is currently not a priority

·        75% say the same for growth through acquisition

Despite the caution, 36% of Irish CFOs plan to increase capital expenditure over the next year, above the European average of 30%. Similarly, 28% intend to increase headcount, suggesting businesses are still selectively investing in growth and talent.

Ireland’s edge in ESG

While many European firms are slowing their ESG spending, it is a priority for Ireland’s finance leaders. Irish respondents reported one of the highest increases in ESG investment across all countries surveyed, outperforming the European average of 27%.

Nearly half (40%) of Irish CFOs have increased ESG investment in the last year while less than 1 in 10 (6%) reduced investment in this area.

Commenting on the data from Deloitte’s European CFO survey, Tom Hynes, Deloitte Ireland partner, says finance leaders are now facing a markedly more volatile global landscape: 

About the Deloitte European CFO Survey

The Deloitte European CFO Survey is the 20th edition of a bi-annual research project that gathers insights from Chief Financial Officers of leading companies across Europe. The data for this edition was collected in March and April 2025 and reflects responses from 1,542 CFOs in 14 countries across a wide range of industries, including 65 CFOs in Ireland.