June 2025: 1.30% (B- grade)

New Hampshire inventionINDEX June 2025: 1.30% (B- grade)

The inventionINDEX measures innovation output by comparing GDP growth with patent production growth. 

Anything over C grade is positive sentiment; anything under C is negative outlook/sentiment. Using that sentiment, it is possible to observe trends over time, and also compare states/countries. In doing so, we can predict which states have the best chance to recover economically from the pandemic (or any other economic incident that may occur).

In June 2025, New Hampshire posted an inventionINDEX score of 1.30%, a slight improvement from May’s 1.27%. While this month’s score reflects only a modest rise, it signals a return to the state’s average innovation activity over the past year. Looking at the 12-month trend, New Hampshire has consistently maintained scores in the 1.0% to 2.0% range, with occasional peaks, such as 2.09% in April 2025 and 1.89% in July 2024. These fluctuations suggest a relatively stable, though somewhat subdued, pace of patent activity in the state.

The June 2025 score aligns closely with the state’s long-term average, which has hovered near 1.4%. This indicates that New Hampshire is sustaining its innovation output, even though it has not reached the upper-tier performance of some larger or more tech-centric states. A score like June’s still represents ongoing R&D efforts, intellectual property development, and the presence of active inventors contributing to the state’s economy. It also reflects a healthy environment for incremental innovation, which is essential for industries relying on continuous improvement rather than disruptive breakthroughs.

However, compared to the state’s April high of 2.09%, the recent score may be seen as a tapering off in innovation intensity. Sustained lower scores over time could signal fewer patent applications, a slowdown in startup activity, or diminished funding for research. If this trend were to continue unchecked, it might impact New Hampshire’s ability to attract investment, talent, and federal grants tied to innovation output.

Conversely, maintaining or improving the current level can help preserve the state’s competitive standing in the regional innovation ecosystem. A stable or rising inventionINDEX score supports economic diversification, encourages high-value job creation, and enhances the state’s profile among investors and policymakers. For New Hampshire to capitalize on this, continued support for research institutions, patent assistance programs, and innovation-friendly policy will be essential in driving future gains.

Discussion:

In June, the New Hampshire inventionINDEX scored a positive sentiment which was lower than the previous year’s average and underperformed the upward trend for the year. This is in contrast to the prior 12 months, which experienced a slight downward trend. 

As the economy continues to stabilize in the post-pandemic era, it remains uncertain whether any backlog of applications still exists or if the department has returned to normal processing timelines. The inventionINDEX could also be affected by lingering consequences from the pandemic, such as company closures, reduced workforces, and limited R&D capabilities, which may still be impacting current operations.

Learn More:

Are you thinking of patenting any of your bright ideas? Did you know your research work could be eligible for the R&D Tax Credit and you can receive up to 14% back on your expenses? To find out more, please check out our free online eligibility test.

Swanson Reed’s New Hampshire office provides R&D tax credit consulting and advisory services to Manchester, Nashua, Concord, Derry, and Dover.

Feel free to book a quick teleconference with one of R&D tax specialists if you would like to learn more about R&D tax credit opportunities.

Who We Are:

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