News Archives - Pat Carroll PCCO - Chartered Accountants & Tax Advisors

Britain suffered a bigger-than-expected inflation surge in April, including in areas watched closely by the Bank of England which investors now believe will have to slow its already gradual pace of interest rate cuts.

Inflation leapt to 3.5% in April from 2.6% in March, the Office for National Statistics said, the highest reading since January 2024 and the largest increase between two months since 2022 when inflation was rocketing above 10%.

A jump in air fares over the Easter holiday was a driver of the sharp climb.

A Reuters poll of economists had pointed to a reading of 3.3% in consumer price inflation in April. The Bank of England earlier this month projected inflation of 3.4%.

The data will add to unease over the outlook for Britain’s economy which grew strongly in early 2025 but is likely to slow in the second half of the year.

Finance Minister Rachel Reeves said she was “disappointed” by the inflation figures which further reduced the chance of an interest rate cut in the coming months in the eyes of investors.

“We are long way from the double-digit inflation we saw under the previous administration, but I’m determined that we go further and faster to put more money in people’s pockets,” Reeves said.

The chance of a rate cut in August was cut to 40% by investors, down from 60% before the inflation data.

“This data should call into question whether there is a cut … in August,” Patrick O’Donnell, senior investment strategist at Omnis Investments, said.

Interest rate futures pricing suggested investors saw about 35 basis points of Bank of England rate cuts by the end of 2025, little changed from yesterday.

Services price inflation – a key metric of domestic inflation pressure – leapt to 5.4% in annual terms in April, above all forecasts in the Reuters poll for an increase to 4.8%. It was far above the Bank of England’s prediction of a reading of 5% for April.

In April alone, services prices leapt 2.2% – the biggest monthly increase in 34 years.

The ONS said the timing of the Easter holiday, which took place in April this year, was probably a contributor to the big jump in air fares which surged by 27.5% from March, the second-biggest month-on-month increase on record.

British newspapers had billed last month as “Awful April” because of increases in gas, electricity and water prices, alongside higher taxes on employers – all of which are likely to push up prices.

The Bank of England has predicted that inflation will hit 3.7% by September.

Some officials at the central bank disagree with its key assumption that the climb in inflation will not have longer-running effects on pricing behaviour.

Bank of England chief economist Huw Pill said yesterday the pace of interest rate cuts had been too fast given still strong wage pressures on inflation, but his vote this month to keep borrowing costs on hold was likely to prove “a skip” not a halt.

A survey of employers published earlier today suggested employers were starting to lower their pay increases for staff.

The Bank of England lowered interest rates by a quarter point to 4.25% on May 8 in a three-way split vote, with two members of the Monetary Policy Committee favouring a bigger cut, and two – including Pill – favouring a hold.

Article Source – UK inflation jumps to higher-than-expected 3.5% in April, ONS says – RTE

Copyright and Related Rights Act, 2000

Irish retailers have welcomed a European Union proposal to add a €2 flat fee on all packages coming from outside the bloc.

Yesterday EU trade chief Maroš Šefčovič told the European Parliament that ecommerce platforms outside the EU would be expected to add the fee, which would go towards the costs customs officials face in processing such orders.

At the moment packages worth €150 or less that are imported into the EU directly by consumers are exempt from customs charges.

Last year 4.6 billion of these kinds of packages came into the bloc – with more than 90% originating in China.

“It’s certainly welcome and it’s a move in the right direction,” said Jean McCabe, CEO of Retail Excellence Ireland.

“I think it certainly will help for those cheap, disposible items coming into the Irish market – and anything that creates a more level playing field for our retailers is welcome,” she said.

Ms McCabe said it remained to be seen whether much of the consumer spend currently going towards China would be redirected to Irish retailers, however it was important that steps were taken to try to change behaviour.

“It’s those disposible, discretionary spends that we might see in store that aren’t happening now – they’re happening online instead,” she said. “It’s a pause for thought if you’re buying a €10 item and all of a sudden it’s going to be €12.

“It’s not going to change the landscape for retailers but it’s definitely moving in the right direction.”

A separate-but-related issue that retailers here are facing relates to the Waste Electrical and Electronic Equipment (WEEE) scheme – which obliges retailers to add a fee to electronic goods, and offer free recycling of older items.

However some non-EU retailers that sell products in Ireland are not participating in the scheme – meaning they can offer lower prices and avoid the burden of handling old goods.

“What we’re seeing is that distant sellers, selling white goods into Ireland, aren’t complying with the WEEE directive,” she said. “They’re able to sell into Ireland and get to ignore the directive, while Irish retailers have actually been a key part in that whole circular economy,” she said.

“That’s another example of how the online space has been a challenge. Irish retailers just want a competitive landscape – they just want to be able to compete,” she added.

The summer is an important trading period for retailers and Ms McCabe said the mood in the sector was upbeat at the moment – though she also said that costs continue to be an issue for businesses.

“The cost of doing business is still the biggest challenge for Irish retail,” she said. “There’s a lot of busy fools out there – the margins have gotten tighter and tighter and tigher”.

“For a lot it’s compliance and regulation – they just want to focus on being competitive and not focusing on being compliant as part of their business model,” she added.

Article Source – Retailers welcome EU plan to add €2 fee to packages from outside the bloc – RTE

Copyright and Related Rights Act, 2000

New figures from the Central Statistics Office show that residential property prices rose by 7.5% in the year to March, down from the 8% rise recorded in the previous month.

The CSO said the median price of a home bought in the 12 months to March was €362,500.

The highest median price was €665,000 in Dún Laoghaire-Rathdown, while the lowest was €180,000 in Leitrim.

Today’s figures show that property prices in Dublin rose by 6% in the year to March, while prices outside Dublin were up by 8.7% compared with the same time last year.

In the 12 months to March, house prices in Dublin rose by 5.9% while apartment prices increased by 6.2%.

The CSO noted that the highest house price growth in Dublin was in Fingal at 7.8% while South Dublin saw growth of 4.7%.

Outside Dublin, house prices were up by 9.1% and apartment prices rose by 4.3%.

The region outside of Dublin that saw the largest growth in house prices was the Border (Cavan, Donegal, Leitrim, Monaghan, and Sligo) at 12.8%, while at the other end of the scale, the Mid-East (Kildare, Louth, Meath, and Wicklow) saw a 6.7% rise.

Meanwhile, the most expensive Eircode area over the 12 months to March was A94 (Blackrock, Dublin) with a median price of €750,000, while F45 (Castlerea, Roscommon) had the least expensive price of €150,000.

The CSO said that 3,617 home purchases made at market prices were filed with Revenue in March, an increase of 9.1% when compared with the 3,314 deals the same time last year.

The total value of transactions filed during the month was €1.5 billion. This was made up of 2,866 existing homes with a value of €1.2 billion, and 751 new homes with a value of €360.6m, the CSO added.

Today’s figures show that the national index is now 17.3% above its highest level at the peak of the property boom in April 2007.

Dublin residential property prices are 4% higher than their February 2007 peak, while residential property prices in the Rest of Ireland are 19.1% higher than their May 2007 peak.

McDonald calls on Government to stop ‘screwing up’ on housing

Meanwhile, Sinn Féin leader Mary Lou McDonald has called on the Government to stop “screwing up” on housing.

Rents are climbing faster than at any time in the last 20 years with average rents now an eye watering €24,000 annually, Ms McDonald told the Dáil.

She criticised the Minister for Housing James Browne and asked Taoiseach Micheál Martin if changes were afoot to abolish rent pressure zones and warned that this would lead to higher rip-off rents for tenants.

Mr Martin said the rents are too high and the issue is supply.

He contended that the Opposition are bereft of ideas on housing and he said that Sinn Féin had proposals in its election manifesto that would “screw” first time buyers.

All evidence suggests that current policy on rent was restricting investment in the rental market and there was a need to create a secure investment landscape.

Article Source – Annual house price growth slows to 7.5% in March – CSO – RTE

Copyright and Related Rights Act, 2000

ECB policymakers will need to get a clearer picture of the effects of US and EU trade policies on inflation before they can decide whether interest rates need to be cut in June, ECB governing council member Klaas Knot said.

“I can’t exclude we will decide to have another rate cut in June, but I also can’t confirm it,” Knot told reporters at the Dutch central bank.

“Ultimately we have to focus on the medium to long term, where the impact (from trade policies) on inflation is a lot more uncertain than in the short term,” he said.

Knot said new inflation projections at the June policy meeting would take into account various scenarios for inflation in the euro zone, in light of trade tariffs announced and later suspended by the US administration and possible retaliation from the EU.

“I expect our projections to show lower inflation this year and next, but it is more interesting to see what happens after that period”, Knot said.

Article Source – ECB’s Knot says inflation picture for June meeting still unclear – RTE

Copyright and Related Rights Act, 2000

Greenhouse gas emissions from Ireland’s usage of energy are now at their lowest level for more than 30 years after falling for a third consecutive year.

The reduction was 1.3% in 2024. This means energy emissions in Ireland are now 11% lower than when carbon emissions targets were introduced in 2021.

Director of Research and Policy Insights at the Sustainable Energy Authority of Ireland Margie McCarthy said this is something to celebrate and means Ireland is going in the right direction.

Last year, saw record levels of electricity generated from solar panels, record levels of heat pumps, and further growth in the overall renewable energy share.

Ms McCarthy said these achievements were all driven by positive policy decisions.

However, the SEAI said the trend towards lower emissions must be accelerated for Ireland to meet its greenhouse gas emissions targets.

These latest figures are contained in the Interim National Energy Balance report.

This shows how energy used across all sectors in Ireland is generated and how that is changing.

Overall, for 2024, emissions from electricity and transport went down, while heat-related emissions went up.

The figures show that the 1.3% reduction in energy emissions last year was achieved despite a 2.3% increase in overall energy use.

Renewable energy generation increased by 1.3 terawatts or 5.6%.

This drove the proportion of Ireland’s overall energy from renewable sources to 14.5%.

Increased electricity demand, driven mainly by data centres, outpaced the increase in renewable electricity generation last year.

Because of this, renewables supplied a slightly smaller share of Ireland’s electricity even though renewable generation capacity had increased.

Constraints on the electricity grid and lower wind output also played a part.

Overall emissions from the electricity sector were down by 7.5%.

The top three sources of electricity were natural gas, which supplied 42.1%; wind, which supplied 31.7%; and net imports of electricity through interconnectors from the UK, which supplied 14% of all electricity used in Ireland.

Ms McCarthy said there are two clear messages from the data.

The first is that if Ireland is to meet its energy emissions targets, there is no time to wait, and the deployment of renewable energy technologies must be accelerated.

The second is that wise decisions about energy demand growth must be made.

“It’s time to make the hard choice needed to deliver a better energy future”, she said.

“We must continue to invest in renewable technologies and interconnectors, we must continue to retrofit our housing and public building stock, and we must continue to move to more active and public transport options where possible.”

“A successful energy transition will benefit us all. It will mean improved air quality, more comfortable homes, and an economy built on sustainable industries and jobs”, she added.

Greenhouse gas emissions from transport in Ireland fell just 1.2% last year.

This was despite significant increases in the amounts of biofuel blended into petrol and diesel and further increases in the number of electric vehicles on the road.

The SEAI said over-reliance on private vehicles continues to erode progress on transport emissions.

Meanwhile, heating emissions increased by 2.4% last year.

Today’s report said this was due to 2024 being cooler than 2023, with the result that the need for heating went up.

Article Source – Energy-related greenhouse gas emissions at lowest level in 30 years – RTE

Copyright and Related Rights Act, 2000

There was a 15% rise in motor liability claims among pedestrians last year, while motorcyclists account for just 2% of personal injury claims but represent one in ten fatal claims.

Those are among the findings from the Injuries Resolution Board’s latest report, which reviews motor liability accidents and claims in Ireland between 2019 and 2024.

According to study, pedestrians experience a five-fold higher risk of fatality in road traffic accidents and – along with motorcyclists – are the most vulnerable road users.

Based on the data, other high-risk groups include younger adults (aged 20-24), who make up 6% of the population but double the proportion of fatal incidents (13%), and adults over 65, who represent 15% of the population but accounted for one in four fatal incidents between 2019 and 2024.

The report found that over the six-year period more than 70,000 claims relating to road traffic accidents were submitted to the Board, and that over €284 million was saved in avoided legal fees by claims being resolved through the process rather than through litigation.

It said there was a 4% increase in motor claims on last year, but that overall motor claims are down 30% from 2019 – despite a return to pre-pandemic traffic volumes.

Over €500,000 awarded for fatal or serious incidents

Between 2022 and 2024, the Board awarded over €500,000 for fatal or serious incidents resulting from head-on motor vehicle collisions, while from 2019 to 2024 over €370m was awarded for injuries sustained by car drivers, followed by car passengers (€160m), pedestrians (€55m), cyclists (€53m), and motorcyclists (€24m).

Also among the findings was that neck and back injuries were the most common injuries sustained in 58% of motor liability awards in 2024, while psychiatric damage injuries accounted for 16% of awards, with car passengers being the most affected group.

Commenting on the report, Minister for Enterprise, Tourism and Employment Peter Burke said the Injuries Resolution Board “is uniquely placed to report on personal injuries in the State and in so doing provide valuable insights for claimants, policy makers and the insurance market.”

He added that it “brings into sharp focus the tragic accidents occurring on our roads and delivers useful information to assist with road safety, hopefully leading to a reduction in future accidents.”

Increase in claims for fatal road traffic accidents

Head of Research and Policy at the Injuries Resolution Board, Dr Lauren Swan, has said there has been a 30% decrease in personal injuries in claims related to road crashes and incidents over the last six years.

Speaking on RTÉ’s Morning Ireland, she said at the same time, they have seen an increase in claims for fatal road traffic accidents.

“They’ve increased by 20% over the last three years alone. Overall, while volumes are down, the impact of tragic and fatal accidents continues to increase.”

In relation to the cost of claims, she said that in 2024 is the median award value a claimant received having been injured in a road traffic accident was €12,510.

This represents a 30% decrease on what the median value of compensation was in 2020, which was before the Personal Injuries Guidelines were introduced in 2021, and when claims were assessed under the Book of Quantum.

“What we can see is that not only are the number of claims down, the value of claims that come through our service are also down, but people are still opting for litigation. At the moment, we have a 50% acceptance rate, which means that 50% of cases that we assess are resolved through our service,” she said.

“But I think we still have more work to do in ensuring that the public understand the role of the board and what you can expect if you decide to reject an assessment made by the board.

“The first is that the exact same guidelines are used by both the board and the courts in assessing compensation that should be awarded.”

Half of cases settled outside of court

Dr Swan said that the majority of the other 50% of cases are settled by insurers outside of court.

“What we know is only around 2-4% of all personal injury cases are actually set, assessed or resolved via a court award.”

Dr Swan said a report published by the Central Bank in April found the value of compensation awarded by the board was the same.

She said that the only difference was that the average legal fees within court were 24 times higher, and the average time for cases through litigation to be resolved was over three years longer.

“It’s in everyone’s best interest to see more and more cases resolved through the Injuries Resolution Board,” she added.

In relation to motor insurance premiums not coming down, Dr Swan said that there are a number of factors that ultimately influence insurance pricing.

But, she said, insurers identified personal injury claims costs as the key driver of premiums and the availability of insurance in the State before the personal injuries guidelines were introduced.

“And there is also a lack of any data on trends and claims and award values historically. So that’s what today’s report is aiming to try and increase here.”

She added that the role of the Injuries Resolution Board “is to just keep on increasing the transparency in this area.”

“The more data we can show for the first time on the volume of claims, on the cost of claims, the more that we can continue to spread awareness around the role of the board, the better,” said Dr Swan.

Litigation adding significant costs

In response to the publication of the report, Insurance Ireland have released a statement noting that the Injuries Resolution Board has awarded over €700m in compensation for injuries sustained in almost 40,000 motor accidents over six years.

Insurance Ireland say that “there were significant savings in legal fees by going this route, rated than opting for expensive litigation”.

The statement continues, saying: “The trend of settling personal injury claims through the expensive litigated route continues to add significant cost, despite the fact that it doesn’t add to the levels of awards the claimant receives via either the Injuries Resolution Board process or directly settling claims with insurers.”

“According to the Central Bank’s National Claims Information Database report on Employers’ and Public Liability for 2023, published on 19 March this year, just 5% of overall personal injury claims costs were settled in 2023 through the Injuries Resolution Board and a further 5% were settled directly with insurers, either before or after the IRB.”

Insurance Ireland concluded their statement by saying that this underlines the role of the Injuries Resolution Board, and that the need to increase the number of settlements without the need for unnecessary litigation “is critically important for consumers and businesses alike.”

Article Source – 15% rise in motor liability claims by pedestrians in 2024 – RTE

Copyright and Related Rights Act, 2000

The Government has launched a new national semiconductor strategy which aims to boost employment in the sector by 34,500 jobs by 2024.

Semiconductors, sometimes referred to as microchips, are used in everything from smartphones and computers, to the latest quantum computing and AI technology.

The semiconductor sector in Ireland currently has more than 130 indigenous and multinational companies providing 20,000 jobs and €13.5 billion in annual exports.

The new semiconductor strategy entitled “Silicon Island” is designed to strengthen Ireland’s role in the global semiconductor industry by attracting further major multinational investment and supporting indigenous start-ups and spin-outs.

The plan aims to securing major industrial investments, including one leading edge fabrication facility in a regional location, two trailing-edge foundries, and one advanced packaging facility.

The strategy will also focus on strengthening research capacity and promoting Ireland internationally as a hub of semiconductor excellence.

“From AI to quantum computing and the green transition, semiconductors are at the core of global innovation,” Minister for Enterprise, Tourism and Employment Peter Burke said.

“This strategy is Ireland’s commitment to helping deliver on the European Chips Act and to becoming a global leader in this vital sector. Ireland is turning to chips as the next big opportunity,” Mr Burke said.

The plans set out in the strategy will be guided by an industry-led Semiconductor Advisory Council.

Professor William Scanlon, the CEO of Tyndall National Institute, welcomed the publication of the strategy.

“As the national institute for semiconductors, Tyndall is proud to play our part in the delivery of the strategy through collaborative research and innovation and the development of talent and skills,” Professor Scanlon said.

Article Source – National semiconductor strategy targets 34,500 new jobs by 2040 – RTE

Copyright and Related Rights Act, 2000

Ireland’s deep economic ties to the US pose “notable downward risks” to the economy despite 3.4% GDP growth this year, according to the European Commission’s Spring economic forecast.

The report warns that further US tariffs on pharmaceuticals could dampen investment and cause “significant downside risks” with the economy “vulnerable” to further protectionist policies by the Trump administatration.

A weaker performance or a downsizing of the multinational corporate sector due to tariffs “would significantly affect tax revenues,” the forecast warns.

The outlook for corporate tax revenues is also “particularly uncertain, given their concentration among a relatively small number of large multinational companies” and the fact that the disproportionate amount of windfall taxes are “beyond what is explained by underlying domestic economic activity.”

Today’s forecast says Ireland’s “robust” growth at the start of 2024 was likely due to multinationals accelerating exports ahead of potential tariffs, the report adds.

Ireland’s GDP should grow by 3.4% this year and by 2.5% next year “supported by a strong labour market.”

The report says, however, that high uncertainty and the deterioration in global trading conditions are expected to detract from growth.

“Moreover, Ireland’s deep economic ties to the US pose notable downward risks in the context of rising protectionism,” it added.

It also said that the general government balance is forecast to remain in surplus, though significant risks arise from the uncertain outlook for corporate tax revenues.

The forecast says the Irish economy was in a strong position at the start of the year thanks to a rebound in exports in 2024 and improved domestic demand.

There were preliminary indications of 3.2% quarter-on-quarter growth in the first quarter of 2025, fuelled by the imminent tariff effect.

Overall the EU economy began 2025 on a stronger footing than anticipated and is projected to grow at a modest rate this year, with growth expected to pick up in 2026, “despite heightened global policy uncertainty and trade tensions”, the Commission said.

Real GDP growth is forecast to grow by 1.1% this year in the EU and 0.9% in the euro area.

Growth is expected to accelerate next year to 1.5% and 1.4% respectively.

The Commission also predicted that headline inflation in the euro area should slow from 2.4% in 2024 to an average of 2.1% this year, and 1.7% in 2026.

“Underpinned by a robust labour market and rising wages, growth is expected to continue in 2025, albeit at a moderate pace,” EU economy chief Valdis Dombrovskis said.

Trump has hit the European Union and others with 25% levies on steel, aluminium and car imports, and the bloc faces sweeping additional tariffs unless it reaches a deal with Washington.

The US leader announced a 20% levy on most EU goods in April, along with higher duties on dozens of other nations.

That measure has since been frozen until July to allow negotiations, but Trump has kept a “baseline” 10% tariff on imports from around the world, including the 27-country EU.

The EU also said Germany, the bloc’s biggest economy, would not grow at all in 2025, a significantly sharp reduction from the 0.7% predicted last year.

“The risks to the outlook remain tilted to the downside, so the EU must take decisive action to boost our competitiveness,” Dombrovskis said.

After a previous mandate focused on fighting climate change, the commission’s focus has pivoted to competitivity, seeking to make life for businesses easier in the face of fierce competition from Chinese and American firms.

Today’s forecast said that steady employment and real wage growth in Ireland will underpin private consumption although “elevated uncertainty is expected to keep household saving rates above pre-pandemic norms, tempering the pace of consumption growth.”

Investment declined sharply in 2024, largely due to intellectual property exports, while modified investment – which excludes the volatile intangible and aircraft leasing components – recorded modest growth.

Today’s report also highlighted the disproportionate size of the US pharma sector and the risks that entails.

“Exports rebounded strongly in 2024, largely driven by multinationals, with pharmaceutical trade surging and computer services remaining robust,” the forecast stated.

“While export growth is expected to continue, momentum is expected to moderate amid the imposition of tariffs and a weak external environment. Ireland’s openness and high trade and investment links to the US leaves it vulnerable to further protectionist policies,” it said.

“While the current US tariff exemptions – notably on pharmaceuticals – cover a large majority of Ireland’s goods exports to the US, the introduction of new tariffs, along with broader US policy changes to disincentivise investment and activity in Ireland present significant downside risks to Ireland’s economy,” the forecast concludes.

The forecast said that around half of the budget surplus last year was made up of the Apple back taxes windfall following the confirmation of the European Commission’s case against Ireland at the European Court of Justice (ECJ).

“Excluding this one-off transfer, the surplus amounted to 1.7% of GDP, as buoyant current revenue growth outpaced increases in public sector pay, investment and social transfers,” it said.

The surplus is expected to slip back to 0.7% this year, it added.

Inflation slowdown

Explaining the thinking behind today’s forecast, the EU also pointed to the US-China trade war during which the two sides hiked levies on each other’s goods before slashing them in a temporary de-escalation.

“The tariff rates eventually agreed by China and the US on 12 May have turned out to be lower than those assumed, but still high enough not to invalidate the assumption of a hit to the US-China trade relationship,” the commission said.

Beyond trade tensions, the EU warned the greater frequency of climate-related disasters such as forest fires and floods risked hurting economic growth.

The commission said it expected inflation in the 20-country single currency area to ease to 2.1% , unchanged from the previous prediction and very close to the European Central Bank’s (ECB) 2% target.

Inflation among the 20 members of the euro zone has slowed down sharply from the double-digit highs seen in late 2022 and sat at 2.2% in April.

The EU cut its 2026 inflation forecast to 1.7% from 1.9% but Brussels warned that further global trade tensions could “reignite inflationary pressures”.

Additional reporting from AFP

Article Source – Ireland’s ties with US pose ‘notable downward risks’ to economy – RTE

Copyright and Related Rights Act, 2000

There was a 15% rise in motor liability claims among pedestrians last year, while motorcyclists account for just 2% of personal injury claims but represent one in ten fatal claims.

Those are among the findings from the Injuries Resolution Board’s latest report, which reviews motor liability accidents and claims in Ireland between 2019 and 2024.

According to study, pedestrians experience a five-fold higher risk of fatality in road traffic accidents and – along with motorcyclists – are the most vulnerable road users.

Based on the data, other high-risk groups include younger adults (aged 20-24), who make up 6% of the population but double the proportion of fatal incidents (13%), and adults over 65, who represent 15% of the population but accounted for one in four fatal incidents between 2019 and 2024.

The report found that over the six-year period more than 70,000 claims relating to road traffic accidents were submitted to the Board, and that over €284 million was saved in avoided legal fees by claims being resolved through the process rather than through litigation.

It said there was a 4% increase in motor claims on last year, but that overall motor claims are down 30% from 2019 – despite a return to pre-pandemic traffic volumes.

Over €500,000 awarded for fatal or serious incidents

Between 2022 and 2024, the Board awarded over €500,000 for fatal or serious incidents resulting from head-on motor vehicle collisions, while from 2019 to 2024 over €370m was awarded for injuries sustained by car drivers, followed by car passengers (€160m), pedestrians (€55m), cyclists (€53m), and motorcyclists (€24m).

Also among the findings was that neck and back injuries were the most common injuries sustained in 58% of motor liability awards in 2024, while psychiatric damage injuries accounted for 16% of awards, with car passengers being the most affected group.

Commenting on the report, Minister for Enterprise, Tourism and Employment Peter Burke said the Injuries Resolution Board “is uniquely placed to report on personal injuries in the State and in so doing provide valuable insights for claimants, policy makers and the insurance market.”

He added that it “brings into sharp focus the tragic accidents occurring on our roads and delivers useful information to assist with road safety, hopefully leading to a reduction in future accidents.”

Increase in claims for fatal road traffic accidents

Head of Research and Policy at the Injuries Resolution Board, Dr Lauren Swan, has said there has been a 30% decrease in personal injuries in claims related to road crashes and incidents over the last six years.

Speaking on RTÉ’s Morning Ireland, she said at the same time, they have seen an increase in claims for fatal road traffic accidents.

“They’ve increased by 20% over the last three years alone. Overall, while volumes are down, the impact of tragic and fatal accidents continues to increase.”

In relation to the cost of claims, she said that in 2024 is the median award value a claimant received having been injured in a road traffic accident was €12,510.

This represents a 30% decrease on what the median value of compensation was in 2020, which was before the Personal Injuries Guidelines were introduced in 2021, and when claims were assessed under the Book of Quantum.

“What we can see is that not only are the number of claims down, the value of claims that come through our service are also down, but people are still opting for litigation. At the moment, we have a 50% acceptance rate, which means that 50% of cases that we assess are resolved through our service,” she said.

“But I think we still have more work to do in ensuring that the public understand the role of the board and what you can expect if you decide to reject an assessment made by the board.

“The first is that the exact same guidelines are used by both the board and the courts in assessing compensation that should be awarded.”

Half of cases settled outside of court

Dr Swan said that the majority of the other 50% of cases are settled by insurers outside of court.

“What we know is only around 2-4% of all personal injury cases are actually set, assessed or resolved via a court award.”

Dr Swan said a report published by the Central Bank in April found the value of compensation awarded by the board was the same.

She said that the only difference was that the average legal fees within court were 24 times higher, and the average time for cases through litigation to be resolved was over three years longer.

“It’s in everyone’s best interest to see more and more cases resolved through the Injuries Resolution Board,” she added.

In relation to motor insurance premiums not coming down, Dr Swan said that there are a number of factors that ultimately influence insurance pricing.

But, she said, insurers identified personal injury claims costs as the key driver of premiums and the availability of insurance in the State before the personal injuries guidelines were introduced.

“And there is also a lack of any data on trends and claims and award values historically. So that’s what today’s report is aiming to try and increase here.”

She added that the role of the Injuries Resolution Board “is to just keep on increasing the transparency in this area.”

“The more data we can show for the first time on the volume of claims, on the cost of claims, the more that we can continue to spread awareness around the role of the board, the better,” said Dr Swan.

Litigation adding significant costs

In response to the publication of the report, Insurance Ireland have released a statement noting that the Injuries Resolution Board has awarded over €700m in compensation for injuries sustained in almost 40,000 motor accidents over six years.

Insurance Ireland say that “there were significant savings in legal fees by going this route, rated than opting for expensive litigation”.

The statement continues, saying: “The trend of settling personal injury claims through the expensive litigated route continues to add significant cost, despite the fact that it doesn’t add to the levels of awards the claimant receives via either the Injuries Resolution Board process or directly settling claims with insurers.”

“According to the Central Bank’s National Claims Information Database report on Employers’ and Public Liability for 2023, published on 19 March this year, just 5% of overall personal injury claims costs were settled in 2023 through the Injuries Resolution Board and a further 5% were settled directly with insurers, either before or after the IRB.”

Insurance Ireland concluded their statement by saying that this underlines the role of the Injuries Resolution Board, and that the need to increase the number of settlements without the need for unnecessary litigation “is critically important for consumers and businesses alike.”

Article Source – 15% rise in motor liability claims by pedestrians in 2024 – RTE

Copyright and Related Rights Act, 2000

Average asking prices for rents nationally rose by 3.4% between January and March of this year, going above €2,000 for the first time, according to the latest report from property website Daft.

The findings indicate the latest increase is one of the largest in any three months in the last two decades, with average prices reaching €2,053 per month.

The figure is up from a low of €765 in 2011, and 48% higher than just before the outbreak of Covid-19.

At €2,540 Dublin has the highest average rents, with prices for the capital increasing by 5.8% in the year to March.

Meanwhile, average rents in cities of Limerick (increased by 20% to €2,405), Cork (increased by 13.6% to €2,213), Galway (increased by 12.6% to €2,304), and Waterford (increased by 9.9% to €1,735) all saw significant increases year-on-year in March.

Outside of the major cities, rents in Leinster and Connacht-Ulster were up just over 5% year-on-year, while rents in Munster were 11.5% higher.

There were just over 2,300 homes available to rent across the country on the Daft.ie portal at the beginning of May, which was down 14% on the same time last year and was the third lowest total for May in 20 years.

Commenting on the findings, Professor of Economics at Trinity College Dublin Ronan Lyons said the “sustained increases in rents in the open market are being driven by an acute and worsening shortage of rental housing”.

“Unfortunately, changes made to rent controls in 2021 dramatically reduced the ability of Ireland’s rental sector to attract the capital needed for new supply, the ultimate remedy for the shortage.

“The opportunity exists for the Government to reform those controls and facilitate the emergence of a new pipeline of rental homes. Nonetheless, further supports will be needed to encourage new rental supply outside of the Greater Dublin Area,” Prof Lyons said.

Speaking on RTÉ’s Morning Ireland, Prof Lyons added that some rents are now around 160% higher now than they were a little over 10 years ago.

“For those in the open market, rents have increased quite starkly, almost 50% in the last five years since the outbreak of the Covid pandemic and about 160% higher than that low a little over 10 years ago.”

Prof Lyons explained that these increases apply only to new tenants.

Sitting tenants have a slightly different path, largely because of rent pressure zones, he added.

Prof Lyons pointed out that open market rents in Limerick have increased by 20% year on year.

Although this is an extreme case, you can see significant increases in rents around the country, Mr Lyons said.

“It’s 10% in some cases, and like in Carlow and Kilkenny, it’s smaller in others, maybe four or 5% but still, those four or 5% increases in places like Cavan or Monaghan or Donegal come on top of very large increases over the last couple of years.”

Prof Lyons added that a shortage of rental properties is adding to the problem.

Article Source – Asking prices for rents move above €2,000 for first time in first quarter – report – RTE

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