Ireland says EU capital markets deal possible by year-end

Ireland says an EU deal on deeper capital-markets integration could still be reached by the end of 2026, with Taoiseach Micheál Martin arguing that most of the work is already done and that the coming Irish EU presidency could help close the gaps.

Martin told the Financial Times that about 80% of the plan was already agreed. He said the remaining issues could be settled if member states keep negotiating through the second half of the year.

The comments give fresh momentum to a long-running EU effort that Brussels now frames as a savings and investments union. The aim is to make it easier for companies to raise money across the bloc and to deepen the single market for capital.

What the EU file is about

The European Commission says capital markets union is meant to unlock funding for Europe’s growth. The Council of the European Union says the 2021 capital markets union package is designed to better connect companies and investors, improve funding and investment opportunities, and further integrate capital markets.

That work builds on the Commission’s 2020 capital markets union action plan, which tried to reduce fragmentation across national markets. The core idea is that capital should move more freely across the bloc so firms are not limited to domestic financing options.

For companies, especially startups and growth firms, the stakes are practical. A deeper market could widen the pool of investors and make it easier to secure funding beyond home markets.

Ireland’s role in the second half of 2026

Ireland is scheduled to hold the Presidency of the Council of the European Union from July to December 2026. The Irish government says the presidency will act as an honest broker and guide negotiations between member states.

That gives Dublin procedural leverage over a file that has been discussed for years but has repeatedly stalled over political and regulatory disagreements. Martin’s comments suggest Ireland wants to use that role to push the talks toward a compromise rather than simply manage them.

The Taoiseach said he has already held detailed discussions with German Chancellor Friedrich Merz and French President Emmanuel Macron. Those contacts point to continued involvement from Europe’s biggest capitals in the push for a deal.

The unresolved question

The main outstanding issue remains how far supervision should be centralized at EU level. That question has long divided governments that want a more integrated market from those wary of shifting more authority to EU institutions.

Ireland’s position is notable because Dublin has historically been cautious about some centralizing proposals in financial regulation. Martin’s latest remarks suggest the government sees room to bridge those differences, at least enough to keep the project moving.

The broader political challenge is that capital-markets integration touches both market efficiency and national control. Supporters see a way to strengthen Europe’s financial system; skeptics worry about giving up oversight of parts of market infrastructure.

Why it matters

A successful deal would be more than a technical finance reform. It would show that EU governments can still advance one of the bloc’s longest-running single-market projects after years of fragmentation.

It would also matter for companies seeking funding inside Europe. A more integrated market could make it easier for firms to attract investors across borders rather than relying mainly on domestic financial systems.

The timing is significant because Ireland’s presidency begins just as the negotiations are expected to remain active. If the reported broad agreement holds, the second half of 2026 could become the window for a final compromise.

What happens next

Negotiations are expected to continue through the second half of 2026, with Ireland chairing Council talks once its presidency begins. The aim would be to keep member states aligned long enough to land a compromise before the end of the year.

For now, the project is still being negotiated and a final agreement is not locked in. Martin’s comments indicate, however, that EU leaders see the coming months as a realistic opportunity to finish the work.

If they succeed, it would mark one of the clearest advances in the EU’s capital-markets agenda in years. If they do not, the file is likely to remain a test of how far member states are prepared to pool financial-market oversight in the name of deeper integration.