In August 2025, the Irish Hairdressers Federation prepared and submitted a Pre-Budget Submission for Fiscal Year 2026, setting out the key challenges facing salon owners and the supports required to ensure the sustainability of the sector.

The submission outlined:

• The need to permanently reinstate the 9% VAT rate for hairdressing

• The impact of rising labour costs, including minimum wage increases and statutory sick pay

• Ongoing energy cost pressures and the lack of meaningful energy supports

• High insurance costs and the need for insurance reform

• The risk of salon closures and growth of the shadow economy without targeted intervention