Irish Abroad 6 min read

Housing Crisis and Cost of Living Trap Irish Emigrants Abroad as Return Intentions Stall

A global survey of the Irish diaspora has found that while one-third of Irish people abroad intend to return home, the housing crisis and high cost of living are cited as the primary obstacles preventing them from doing so. The findings come as the government launches its new Diaspora Strategy 2026-2030.

Conor BrennanWednesday, 1 July 20261 views
Housing Crisis and Cost of Living Trap Irish Emigrants Abroad as Return Intentions Stall

Housing Crisis and Cost of Living Trap Irish Emigrants Abroad as Return Intentions Stall

A global survey of the Irish diaspora has found that while one-third of Irish people living abroad intend to return home, the housing crisis and the high cost of living are cited as the primary obstacles preventing them from doing so β€” a finding that underscores the paradox at the heart of Ireland's relationship with its diaspora: a country that wants its emigrants back but has not yet created the conditions that make return possible.

Background

Ireland's relationship with emigration is one of the most complex and emotionally charged aspects of the country's national identity. For generations, emigration was experienced as a form of exile β€” a painful necessity driven by poverty, lack of opportunity, and the failure of the state to provide for its citizens. The trauma of emigration, and the grief of communities depleted by the departure of their young people, is woven into Irish literature, music, and cultural memory in ways that continue to resonate today.

The nature of emigration has changed dramatically since the dark days of the 1980s, when tens of thousands of young Irish people left each year with little prospect of return. Modern Irish emigrants are more likely to be highly educated, to maintain close connections with Ireland through technology and frequent travel, and to view their time abroad as a phase of their career rather than a permanent departure. The concept of "circular migration" β€” moving between Ireland and other countries over the course of a career β€” has become increasingly common.

However, the housing crisis has introduced a new and painful dimension to the emigration story. Young Irish people who have built careers and lives abroad are finding that the prospect of returning home is increasingly remote, not because of a lack of desire but because of the practical impossibility of affording a home in the country they grew up in. This is a new form of involuntary emigration β€” not driven by poverty or lack of opportunity, but by the failure of the housing market to provide affordable homes for working people.

Key Developments

The global survey, conducted as part of the consultation process for the government's new Diaspora Strategy 2026-2030, found that one-third of Irish people living abroad intend to return to Ireland within the next five years. However, the survey also found that the housing crisis and the high cost of living are the primary obstacles preventing those who want to return from doing so. These findings are consistent with previous surveys of the Irish diaspora, which have consistently identified housing affordability as the single biggest barrier to return migration.

The survey also found that the experience of isolation is a significant challenge for new Irish emigrants, even in an era of hyper-connectivity. Minister of State Neale Richmond acknowledged this finding at the launch of the diaspora strategy, noting that "even in a world where you can video call home every day, new emigrants can become isolated quite quickly." The strategy includes commitments to enhance the support available to new emigrants through Irish community organisations abroad.

The survey's findings on the geography of Irish emigration confirm the shift that has been observed in recent years. Australia has overtaken the United States as the top destination for Irish emigrants, reflecting the strong demand for skilled workers in the Australian economy and the relatively straightforward visa arrangements available to Irish citizens. The United Kingdom remains a significant destination, despite the complications introduced by Brexit, and continental Europe β€” particularly Germany, the Netherlands, and France β€” has become increasingly important.

Historian Diarmaid Ferriter, commenting on the survey findings, argued that the government's diaspora strategy cannot be effective without fundamental changes to the domestic policy environment. "You cannot tell people to come home while the housing crisis continues to make it impossible for them to afford a home," he said. "The diaspora strategy is welcome, but it needs to be accompanied by a serious commitment to solving the housing crisis β€” not just managing it."

Why It Matters

The finding that one-third of Irish emigrants intend to return home is significant, because it suggests that the potential for return migration is substantial. If the barriers to return β€” primarily housing affordability and the cost of living β€” can be reduced, Ireland could benefit from a significant influx of skilled, experienced workers who have built careers abroad and who bring with them international experience, networks, and perspectives that would enrich the country's economy and society.

The housing dimension of the problem is particularly acute because it is self-reinforcing. The housing crisis drives emigration β€” young people who cannot afford to buy or rent in Ireland leave for countries where housing is more affordable. But the departure of these young people reduces the political pressure for housing reform, because those most affected by the crisis are no longer present to vote and to advocate for change. Breaking this cycle requires political will and sustained investment in housing supply.

The isolation finding is also significant. The mental health challenges associated with emigration β€” loneliness, disconnection from family and community, the stress of adapting to a new culture and environment β€” are well-documented but often underacknowledged. The government's commitment to enhancing support for new emigrants through Irish community organisations is a recognition of these challenges, but the scale of the investment needed to make a meaningful difference is substantial.

Local Impact

The impact of the housing crisis on return migration is felt most acutely in the communities that have the strongest tradition of emigration. In counties like Mayo, Roscommon, and Donegal, where emigration has been a constant feature of community life for generations, the inability of emigrants to return home is experienced as a continuation of a long and painful story. Local authorities in these counties have been working to develop affordable housing schemes specifically targeted at returning emigrants, but the scale of the challenge is beyond what local government can address alone.

In Dublin, the housing crisis is most acute in terms of its impact on young professionals who are trying to establish themselves in the city. The average rent for a one-bedroom apartment in Dublin city centre has reached levels that make it impossible for many workers on average salaries to live close to their place of employment, and the prospect of saving for a deposit while paying high rents is increasingly remote. This is the reality that Irish emigrants abroad are weighing when they consider whether to return home.

What's Next

The government has committed to publishing a specific action plan for addressing the housing barriers to return migration as part of the implementation of the Diaspora Strategy 2026-2030. The plan is expected to include measures to improve access to mortgage finance for returning emigrants, to develop affordable housing schemes in areas with high demand from returning emigrants, and to provide enhanced information and support services for those planning to return. The Department of Housing has been tasked with developing specific proposals, with a report expected before the end of the year.

Conor Brennan

Senior Editor

Conor Brennan is a Belfast-based journalist with over a decade of experience covering politics, business, and current affairs across the UK and Ireland. He specialises in making complex stories accessible and relevant to everyday readers.

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Irish DiasporaHousing CrisisEmigrationReturn MigrationIrish Abroad

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