Netherlands Plans Bold 3% GDP Investment Target for Research and Development by 2030
The Hague, Tuesday, 10 February 2026.
The Dutch coalition government has set an ambitious goal to boost national R&D investment to at least 3% of GDP by 2030, primarily through expanding the WBSO tax incentive program. This represents a significant policy shift aimed at strengthening the Netherlands’ competitive position in European innovation markets, particularly in artificial intelligence and advanced technologies.
Coalition Agreement Details and Timeline
The coalition agreement between D66, VVD, and CDA, presented on January 30, 2026, establishes the 3% GDP target for research and development investment by 2030, marking the end of the current cabinet’s term [1][3]. This strategic commitment forms part of a broader innovation agenda that positions the Netherlands as a leader in digital innovation and key technologies, moving beyond its traditional role as a testing ground for new concepts [2]. The government’s approach combines infrastructure development with practical application across multiple technology sectors, creating a comprehensive framework for sustained economic growth through innovation [2].
WBSO Expansion as Core Policy Instrument
The WBSO subsidy program serves as the primary vehicle for achieving the ambitious R&D targets, with the coalition specifically planning to expand the program for artificial intelligence and technology development [3]. The budget for WBSO subsidies has already increased to €1.817 billion for 2026, representing a substantial increase of more than €200 million compared to the previous year [1]. Additionally, the upper limit of the first tier of the scheme has been raised recently, providing additional fiscal advantages for companies investing in innovation [1]. These financial commitments demonstrate the government’s serious intent to create tangible incentives for private sector research and development activities.
Technology Focus Areas and Strategic Priorities
The Dutch government has identified four key technological domains for concentrated investment: digitalization and artificial intelligence, security and resilience, energy and climate technology, and life sciences and biotechnology [3]. The coalition agreement emphasizes responsible AI deployment as a prerequisite for expanding AI applications, with particular attention to developing AI skills in both education and business sectors [2]. The investment agenda specifically targets semiconductors, quantum technology, and cybersecurity, combining infrastructure development with practical applications to build competitive technological niches [2][3]. This focused approach reflects a strategic shift from broad-based innovation support to targeted investment in high-impact technology sectors.
Industry Response and Implementation Challenges
NLdigital, the digital sector trade association, expressed satisfaction on February 4, 2026, with the attention given to digitalization in the coalition agreement, particularly noting the dedicated chapter on digitalization and the commitment to expanding WBSO for AI development [2]. However, concerns remain about the implementation details, particularly regarding the Dutch Digitalization Strategy (NDS), which requires a clear investment agenda despite not being explicitly mentioned in the coalition agreement [2]. The government plans to establish a Dutch Digital Service to support digitalization efforts and set quality standards for responsible data and AI use [2][3]. The success of these initiatives will depend on effective coordination between public and private sectors, with the majority of the 3% GDP investment target expected to come from private sources incentivized by public investment [3].