Ireland's economic dependence on corporation tax receipts has been vividly underlined in a survey confirming that our generous tariff regime is the single biggest draw for multinational companies, write Ken Fox and John Drennan.

Previously unpublished research carried out by the IDA found that our low corporation tax rate is the single most attractive part of doing business in Ireland for major foreign employers.

The survey also highlighted significant concerns among multinationals over the lack of housing and skilled staff.

The warning comes amid growing Government concerns of a potential trade shock if incoming US president Donald Trump pushes ahead with plans to introduce crippling tariffs.

Writing in Saturday's Irish Times, Taoiseach Simon Harris said the incoming government "needs to launch an all-out diplomatic and trade offensive in the United States from late January onwards" to protect revenue from the multinational sector, which accounts for more than half of Ireland's total tax revenues.

Aside from the Trump administration's plans, major foreign employers are also concerned about Ireland's continuing housing crisis, with availability and costs listed as the most negative factors for doing business here.

And almost three-quarters told the IDA client survey they struggled to find enough skilled staff.

The low availability and high cost of housing were highlighted as two of four "red" issues for firms, along with the perceived high levels of personal tax and the planning process.

There were five factors ranked "pink" in the survey of corporations, where satisfaction ratings were below 50%.

These related to the cost and availability of commercial property, transport infrastructure, support in managing environmental impact, along with gas and power supply costs.

A review of the client survey said there were clear "decreases in satisfaction evident for energy costs and housing".

It also said the number of clients reporting difficulties in hiring talent was the highest it had ever been since their surveys began.

The survey stated: "While strong overall satisfaction levels are again evident with the Irish education system, only 16% of clients are very satisfied that the system is producing graduates with the skill sets that their business in Ireland requires."

It added that 76% [of companies] "report difficulties sourcing skills for their company in Ireland, with engineering being the key area of difficulty".

The survey also examined the impact of Covid-19 with only 30% of companies saying it had a negative or "fairly negative" impact on them.

More than one-in-four (26%) IDA clients - many of whom are in the tech and pharmaceutical sectors that experienced a boom during the global health emergency - said that the pandemic had a positive or "fairly positive" impact on them.

Nearly half of the companies questioned said the level of support offered by the Government had been better than it was in other countries, with fewer than 10% saying it was worse.

In an economic warning sign, there was also a clear fall in the number of companies that were planning to "expand the mandate" of their operations in Ireland.

In 2019, 85% of the clients were planning to expand that role, but when asked in 2022 the figure fell to 59%.

By far the biggest challenge for companies was in trying to find skilled staff, especially in software and data analysis.

Three in four client firms said they were experiencing difficulties in hiring people, with 41% saying there was a particular lack of software engineers.

More than nine out of 10 (91%) of the companies questioned by the IDA had no union for their workforce.

Asked about the Irish education system, there was a rise in satisfaction levels, with 83% saying that they were either satisfied or very satisfied.

Only one in 100 companies indicated they were "very unsatisfied" with third-level teaching according to the research.

The survey also asked what areas the IDA should focus on influencing - with skills and education cited by more than a third.

Twenty per cent felt the development agency should be working on taxation, while 16% said there should be a focus on the "international reputation of Ireland".

In a concluding summary, the IDA noted that clients were "almost unanimous" in saying they were positive about potential for growth in Ireland.

They survey said: "The incidence of clients who consider their growth prospects to be excellent is the highest in the research series to date is at 28%."

A note on "key learnings" added: "The incidence of clients reporting skill sourcing difficulties is the highest in the research series.

"The area of skills development has increased in prominence as a specific area clients feel the IDA should be influencing."

The 2022 client survey had been withheld by the IDA for almost a year and a half and was only released following an appeal under Freedom of Information laws to the Information Commissioner.

Asked about the delay and the findings in the research, a spokesman said they had no further comment to make.