The Council of Ministers has today approved the measures in the so-called 3%-R&D Action Plan. This means that the Netherlands will invest 3% of its economy (gross domestic product, GDP) in research and development (R&D) by 2030. Two-thirds of this funding comes from private investors and companies within this European target, while one-third is public from government, education, and knowledge institutions.
Currently, the Netherlands invests 2.2% of GDP in R&D. This is significantly less than leading countries like the US, South Korea, and neighboring countries like Belgium and Germany. Without measures, the percentage in the Netherlands will fall back to 2%. To reach 3%, €14.9 billion in private and public investments is needed.
The nine actions
1. Explore the establishment of a National Agency for Disruptive Innovation (NADI)
With a new public organization, the government will purchase groundbreaking innovations as the first customer. Breakthroughs such as the internet, GPS, and mRNA technology have been scaled up this way abroad.
2. Establish an R&D launch platform
Targeted at attracting knowledge-intensive companies to the Netherlands or allowing them to expand here by removing barriers to access talent, space, innovation schemes, etc.
3. Mobilize €3 billion in institutional capital for R&D-intensive scale-ups
Startups do not grow into scale-ups due to a lack of funding. The cabinet will further mobilize institutional investors, such as pension funds, for this.
4. Increase experimental space for technological start-ups and scale-ups
Focus on affordable access to high-quality experimental space for various key technologies such as the AI factory. Growth companies can thus develop and scale faster.
5. Stimulate knowledge valorization
A strong push to let good ideas from science grow into successful companies or applications more often. Through entrepreneurship, spin-offs, and policies such as standard deal terms at knowledge institutions.
6. Increase available technical talent and labor-saving technologies
Focus on sectoral and regional programs such as the Strengthening Microchip Talent plan and Tech Quadrant to structurally reduce the shortage of technical talent.
7. Establish an EU co-financing facility
A structural facility with which the government co-finances innovation and technology nationally. Currently, we miss interesting EU funding without a budget for the Netherlands.
8. Further develop innovation instruments
Optimize existing regulations, such as the WBSO and PPS allowance, so that companies are stimulated to invest in R&D more quickly, easily, and effectively.
9. National Investment Institution
Public investment institution focusing on innovation, technology, and earning capacity that enables financing for companies that currently fall between the cracks.
Minister Karremans (Economic Affairs): “We must first earn our money before we can spend it. In the Netherlands, smart minds and skilled hands are at work, but we are not getting enough out of innovation. Therefore, we must get to work to bring our specialized knowledge to market more often and better, increase public and private investments, and grow the number of knowledge-intensive companies in the Netherlands.”
The Netherlands EU innovation leader, but not a top innovation investor
The Netherlands is ranked 3rd in the EU as an Innovation Leader. This is mainly due to our strong science, good education, digitization, and public-private collaboration. If we do not invest more now, we will lose that position in the future. In terms of investments in innovation, we are only ranked 9th. We lag far behind countries like Germany (3.1%), Austria (3.3%), Belgium (3.3%), and Sweden (3.6%). The Netherlands, together with France (2.2%), Slovenia (2.1%), and the Czech Republic (1.8%), has been stuck below the 3% norm for years, despite previous ambitions to catch up.