While SEAR’s primary aim is to enhance governance and accountability within regulated financial service providers, its extension to INEDs from July 2025 has introduced a new layer of complexity to board appointments. The regime now requires INEDs to hold formal Statements of Responsibility and be included in Management Responsibility Maps, effectively placing them within the scope of personal regulatory accountability.
This shift has had a twofold impact on INED recruitment:
1. A Shrinking Pool of Willing Candidates.
The increased regulatory burden and personal liability have made some seasoned professionals reconsider their appetite for INED roles. Where previously the role was seen as a prestigious and strategic contribution to governance, it now carries a weight of compliance that not all are prepared to shoulder, especially those with multiple board commitments or nearing retirement.
2. Higher Bar for Suitability and Readiness
Firms are now more cautious in their selection process, seeking INEDs with not only deep sectoral expertise but also a strong grasp of regulatory frameworks and risk oversight. This has led to longer search cycles and more rigorous vetting, particularly in banking, insurance, and investment sectors.
From a search perspective, we’re advising clients to:
While SEAR is undoubtedly a positive step toward stronger governance, it is reshaping the INED landscape in Ireland. The role is evolving from one of advisory oversight to direct accountability, and this evolution is influencing both the supply and expectations of board talent.