A policy is a plan or set of guidelines the government puts in place to deal with economic, social, or environmental issues. Policies set out what the government wants to achieve. They are not laws, so businesses do not have to follow them. But they often lead to laws being created later.

E.g. The Climate Action Plan sets targets to cut carbon emissions. It is a plan, not a law. But the government later passed the Climate Action and Low Carbon Development Act 2021 to make those targets legally binding.

The Climate Action Plan aims to create a sustainable, low-carbon, climate-resilient future for Ireland. It affects the agriculture sector directly.

Positive impacts: Farmers can access grants and subsidies to help them farm more sustainably. Demand for sustainably produced Irish food exports grows in international markets.

Negative impacts: Farmers face higher carbon taxes. Funding for upgrades can be hard to access for smaller farms.

Housing for All is the government's plan to deliver over 300,000 new homes by the end of 2030. It affects the construction sector directly.

Positive impacts: Demand for new builds increases. More jobs are created in construction. Builders get access to government incentives and funding.

Negative impacts: Labour shortages slow building down. High demand pushes up construction costs. Supply of skilled tradespeople cannot always keep up.

Ireland's National AI Strategy supports Irish businesses in adopting artificial intelligence. It affects the manufacturing sector directly.

Positive impacts: Businesses can access funding and grants to invest in AI. Productivity and innovation increase. Irish manufacturers become more competitive globally.

Negative impacts: AI can replace workers, leading to redundancies and lower morale. New ethical and regulatory challenges arise around how AI is used in the workplace.

Interest groups (also called pressure groups or lobby groups) are organisations that represent businesses or industries with a shared goal. They try to influence government decisions on behalf of their members.

Key Irish examples:
• IBEC (Irish Business and Employers Confederation) — represents Irish employers. Lobbies on issues like tax policy, employment law, and economic development.
• ISME (Irish Small and Medium Enterprises Association) — represents small and medium businesses. Lobbies on employment costs, access to finance, and reducing red tape.
• IFA (Irish Farmers' Association) — lobbies on agricultural policy.
• Irish Hotels Federation — lobbies on tourism policy.

Lobbying means trying to influence the decisions made by politicians, government officials, or public bodies. Businesses lobby to make sure new policies work in their favour.

Direct engagement: Businesses or interest groups meet with politicians or government officials. They put forward their views and suggest changes to planned policies.
E.g. IBEC makes pre-Budget submissions to influence national spending and tax decisions.

Public awareness campaigns: Businesses use social media, newspapers, or events to build pressure and shape public opinion.
E.g. The IFA has run billboard and media campaigns to shape agricultural policy.

Public consultations: Government departments invite businesses and the public to give feedback on draft policies or laws. Businesses submit their views to highlight potential problems or suggest improvements before a policy is finalised.

Advisory groups: Sometimes businesses are invited to sit on formal advisory panels or working groups. They use their expertise to help shape policy from the inside.

E.g. Industry representatives from the tech sector sit on government advisory groups dealing with AI regulation and digital policy.

The European Commission is the main body that proposes new EU laws and the EU Budget. It drafts legislation and sends it to the Parliament and Council to debate and approve. It also makes sure that EU laws are properly put in place across all member states.

Think of it as: the body that comes up with new EU laws.

It uses three tools to implement laws: Regulations, Directives, and Decisions.

The European Parliament is made up of elected MEPs (Members of the European Parliament) from all EU member states. It debates, amends, and approves new laws and the EU Budget.

It works alongside the Council of the EU to pass laws. This joint process is called co-decision.

Think of it as: the elected voice of EU citizens in the law-making process.

The Council of the EU is the main decision-making body of the EU. It is made up of government ministers from each member state (one per country). It approves new laws and the EU Budget together with the Parliament through the co-decision process.

Think of it as: the voice of member state governments in EU decision-making.

Do not confuse it with the European Council (which is the EU leaders' summit) — these are two separate bodies.

The ECB manages monetary policy for the eurozone. Its main job is to keep inflation at or just below 2%. If inflation rises above that, it raises interest rates to cool the economy down.

The ECB sets interest rates for all eurozone countries, including Ireland. Ireland cannot set its own interest rates.

Think of it as: the body that controls the euro and keeps prices stable.

Purpose: GDPR sets strict rules for how businesses collect, store, use, and share personal data. It protects people's privacy and gives them more control over their own information. It came into force across the EU in May 2018.

How it is implemented in Ireland: GDPR is a regulation, so it became law automatically in Ireland in 2018 without requiring a separate Irish law. The Data Protection Commission (DPC) is the Irish authority responsible for enforcing GDPR. The DPC can investigate complaints and issue large fines for breaches.

Consumers: People have much more control over their personal data. They can request to see, correct, or delete data companies hold on them. Their privacy is better protected from misuse and data breaches.

Society: Builds public trust in digital services. Encourages more responsible use of data across all sectors. Creates a fairer digital economy where users know how their data is being used.

Irish tech firms (niche): Ireland hosts many large tech multinationals. Strong GDPR compliance can be used as a competitive advantage, showing clients and partners that data is handled responsibly.

Businesses: Compliance is costly and time-consuming. Companies must appoint Data Protection Officers, update their systems, rewrite privacy policies, and train staff. Smaller businesses find this harder to manage than large multinationals.

Businesses (continued): Fines for breaking GDPR can be very large — up to 4% of global annual turnover or €20 million, whichever is higher. This creates significant financial risk.

Marketing departments: Businesses can no longer send marketing emails without clear consent. This limits their reach and makes customer acquisition more difficult and expensive.

Purpose: The directive aims to cut the amount of plastic waste ending up as litter, particularly in our seas. It bans or restricts specific single-use plastic items such as cutlery, straws, plates, and polystyrene food containers.

How it is implemented in Ireland: It is a directive, so Ireland had to pass its own law to meet the target. Ireland banned a range of single-use plastics in July 2021. The EPA (Environmental Protection Agency) is responsible for enforcing it. A levy on disposable coffee cups (the “latte levy”) was also planned.

Local communities: Less plastic litter in towns, on beaches, and in coastal areas. A cleaner environment improves quality of life and supports tourism. It boosts Ireland's image as a green, sustainable country.

Sustainable packaging suppliers: New demand for biodegradable and compostable alternatives creates business opportunities. Irish firms that innovate in sustainable packaging can grow and gain a competitive edge.

Society: Raises awareness about sustainable consumption. Pushes businesses to take environmental responsibility more seriously, which benefits the planet long term.

Food businesses (cafés, restaurants, takeaways): Must switch from cheap plastic packaging to more expensive biodegradable alternatives. This raises operating costs. Smaller independent businesses are hit harder than large chains.

Consumers: Higher packaging costs are often passed on as higher prices for takeaway food and coffee. Some consumers find paper alternatives less convenient or durable (e.g. paper straws that go soggy).

Environmental caveat: The benefit of biodegradable packaging only works if consumers dispose of it correctly. If compostable items end up in general waste, the environmental impact is reduced.