The new edition of the annual Irish Farm Report from accounting and professional services firm ifac has pointed to red tape and financial blind spots as the biggest threats for Irish farmers.

The ifac report for 2026 found that almost 50% of farmers surveyed said that the amount of rules, regulations and bureaucracy is their biggest concern.

The report also found that two in every five farmers do not have a formal successor; and the "a worrying" 70% of farmers do not prepare budgets.

32% of farmers surveyed, meanwhile, said they were unfamiliar with the auto-enrolment pension scheme.

Despite those figures and an "increasingly challenging environment with evolving environmental requirements", ifac said Irish agriculture remains "both resilient and determined about the future".

The report contains the views of over 1,000 farmers, based on a survey that was carried out between October and November 2025.

The report says that while farmer confidence is up, bureaucracy is the number one source of frustration.

With 48% of respondents stating that the amount of rules, regulations and bureaucracy was their biggest concern, that issue has again risen to the top of the pile of farmer concerns.

This issue was closely followed by input and output prices, with 44% of respondents highlighting that issue.

As well as that, one in five farmers worry about balancing their farm demands with off-farm jobs.

Succession

Only 7% of respondents to the survey were aged under 35, with ifac saying that succession planning proves to be a critical and ongoing challenge for many families.

"Alarmingly, one in five farmers do not have a successor at all. An additional one in five have identified a possible successor but have not yet formalised any decision," ifac said.

Farmers identified long-term viability of the farm business and the appeal of farming lifestyle as the biggest barrier to succession, with both reasons each being identified by 26% of farmers.

Those have consistently been the biggest barriers to succession identified in several ifac reports in recent years.

Farmers in a partnership are more likely to have a succession plan in place, with 52% of farmers in partnerships having identified a farming successor.

Of those without a successor identified, over a quarter would consider leasing out land, while a further quarter would consider scaling back their farm operations.

The report also found that two in five of farmers do not have a will in place, which ifac said underscores the "urgent need for planning".

Three in every five respondents said that having a personal pension plan helps in succession planning.

Financial planning

Regular financial planning is now essential for business resilience, yet the report exposes significant financial blind spots, ifac said.

"A worrying 70% of farmers do not prepare budgets, and one in three are unaware of their potential tax liability for next year. Similarly, one in four have no private pension in place, and a third are unsure or not confident that their pension will provide sufficient retirement income," ifac said.

However, one in 10 are actively planning to invest in private pensions this year, the report found.

Regarding farm employees, 32% of farmers are unfamiliar with the upcoming auto-enrolment pension scheme. While 31% understand the need for it, they express concern about the associated costs for their businesses.

The report also found that 84% of farmers with non-family employees rely on word-of-mouth for recruitment.

30% of respondents said they are building cash reserves, and one in three are spending on capital expenditure.

Technology

The report noted adoption of technology as one area of positivity, with some farmers reporting benefits including improved productivity (reported by 36% of respondents) and better decision-making (reported by 28% of farmers).

Of all the emerging technologies, including artificial intelligence and robotics, 44% state that renewable energy technology (e.g. solar and wind) will have the biggest impact on farms in the next five to 10 years.

43% of respondents have used technology to minimise chemical input on the farm.

Commenting on the report's findings, ifac CEO John Donoghue said: "Farming in Ireland is increasingly difficult and complex. There are many challenges in producing great food, managing red tape, and staying in good financial shape.

"Our report confirms that despite the challenges, Irish farmers remain resilient and confident about the future. It also highlights the significant financial vulnerabilities of our farming communities," Donoghue added.

"For those not budgeting and actively managing finances, now is the time to start...Our expert advisors have been helping farmers manage their finances and navigate the challenges and opportunities in the sector for the past 50 years," Donoghue added.