AmCham White Paper Calls for Removal of Barriers to EU Innovation Funding

17.12.2025
General

Reducing barriers to EU research funding would reinforce Ireland and the EU’s attractiveness as locations for high-value innovation and long-term investment. 

That is a central message of AmCham’s latest white paper, 'Driving Innovation: The Potential of Horizon Europe', which warns that growing restrictions on access to Horizon Europe risk weakening Europe’s ability to collaborate, compete and scale innovation at a critical moment. The paper comes as the European Union prepares its tenth Framework Programme for research and innovation (FP10) under Horizon Europe, which will provide €175bn in research, development and innovation funding from 2028 to 2034. 

Ensuring this funding remains accessible to foreign direct investment (FDI) companies operating in Ireland and across Europe is critical to sustaining leadership in advanced research domains such as artificial intelligence, life sciences and digital manufacturing. In a recent AmCham FDI Insights survey, more than half of members reported that they are currently undertaking one or more research projects in Ireland, representing significant high-value investment. In a separate survey, enhancing R&D tax incentives was ranked among the top challenges impacting continued investment and expansion, underscoring the importance of a strong and supportive research ecosystem. 

This highlights the role that Horizon Europe plays in supporting research collaboration between industry and academia and in driving broader economic growth. Decisions taken now on access and eligibility will shape how effectively Ireland and the EU can continue to attract global research investment as FP10 takes shape. 

A key concern for AmCham members is the growing use of restrictions under Article 22.5 of the Horizon Europe regulation, which allows the European Commission to limit participation in specific research calls on strategic or security grounds. While the provision can apply across the programme, its impact has been most pronounced in calls under Cluster 3 (Civil Security for Society) and Cluster 4 (Digital, Industry and Space). These clusters cover areas such as digital technologies, and cybersecurity, sectors where Ireland has developed a strong innovation base and where tighter eligibility rules have already limited participation by multinational companies, including those headquartered in the United States. 

Beyond Article 22.5, AmCham members point to a range of additional barriers that continue to limit participation in Horizon Europe. These include heavy administrative overheads, complex guarantee mechanisms, unclear intellectual property and public–private collaboration rules, gaps in domestic processes at government agency level, and onerous application procedures. Taken together, these challenges reduce the attractiveness of Horizon Europe for companies weighing where to locate and scale research activity. 

In response, AmCham is calling for a reduction in administrative burden and the simplification of eligibility rules that limit access to EU research funding. The organisation also recommends that future calls under Horizon Europe and FP10 remain open to collaboration with trusted international partners, including companies headquartered in like-minded countries such as the United States. 

Capturing and fully utilising Horizon Europe funding would support long-term job creation and the development of deeper technology clusters aligned with EU priorities, reinforcing Ireland’s position as a leading destination for innovation and investment. 

You can read AmCham’s full white paper, Driving Innovation: The Potential of Horizon Europe, here