Start-ups increase by almost 10pc in first three months

The number of start-ups in Ireland rose by 9.8pc in the first three months of the year compared with the same period in 2023, according to new data from CRIFVision-net.

A total of 2,706 new company start-ups were recorded in the first quarter of the year, up from 2,306 a year earlier.

January proved to be the most popular month for start-ups, with 2,059 new companies registered across the 31 days.

The figures showed that there was a 17pc jump in new businesses recorded in Dublin in the first three months of 2024.

Meanwhile, the number of start-ups in Galway soared 24pc year-on-year.

However, the number was down 2pc in Co Cork and remained unchanged in Co Limerick in the first three months of 2024.

The construction sector was among those that reported start-up growth, rising 7pc in the quarter.

IT start-ups were up by 21pc, followed by a 10pc increase in the manufacturing industry.

The legal, accounting and business sector, as well as real estate, both recorded a growth rate of 23pc.

While the number of new startups recorded in the hospitality sector rose by 13pc in the first three months of the year, insolvencies among hotels and restaurants jumped by 132pc compared with the corresponding period in 2023.

Around 1,916 of these insolvencies were recorded in January compared with 639 in the same month in the prior year.

The report attributed the high volume of insolvencies to the costs of energy, electricity, Vat and insurance.

“The first three months of the year have shown a diverse economic picture,” CRIFVision-net managing director Christine Cullen said.

“At a high level, it is encouraging to see company start-ups increase by 10pc year-on-year, however, within this, numerous prominent sectors continue to face difficulties.”

Ms Cullen pointed to the construction sector, which saw the number of new start-ups grow by 7pc in the quarter.

“However, insolvencies grew by 46pc,” she added.

“At a time when our new Taoiseach has committed to building 250,000 new homes between now and 2030 it is important that we are creating and supporting a thriving construction sector capable of delivering upon these targets.”