CONNECTICUT INVENTIONINDEX | APRIL 2025
April 2025: 0.88% (D grade)
Connecticut inventionINDEX April 2025: 0.88% (D 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).
inventionINDEX Score – Last 6 Months
| Month | inventionINDEX Score |
|---|---|
| April 2025 | 0.88% |
| March 2025 | 0.87% |
| February 2025 | 0.92% |
| January 2025 | 0.90% |
| December 2024 | 1.00% |
| November 2024 | 0.82% |
Over the past six months, Connecticut’s inventionINDEX Score has fluctuated modestly, ranging from a low of 0.82% in November 2024 to a high of 1.00% in December 2024. The most recent figure for April 2025 stands at 0.88%, showing a slight improvement over March’s 0.87%, but still trailing behind the winter high. This data indicates a moderate but relatively stable trend, suggesting consistent invention activity with minor seasonal or economic variations.
A higher inventionINDEX Score typically reflects a healthier innovation ecosystem. For example, the 1.00% mark in December 2024 may correspond to increased patent filings, R&D activity, or startup launches during the fourth quarter. This likely boosts local economic growth, attracts venture capital, and enhances Connecticut’s reputation as an innovation hub. Higher scores can also create ripple effects—such as improved employment in tech sectors and stronger university-industry collaboration.
Conversely, a declining or lower score—like the dip to 0.82% in November—can signal reduced inventive activity. This could stem from factors like funding constraints, regulatory challenges, or a cooling entrepreneurial climate. Prolonged low scores may deter investment, stifle emerging technologies, and reduce competitiveness at both the state and national levels.
Overall, Connecticut’s inventionINDEX Score suggests resilience in its innovation output, though not without fluctuations. Maintaining or improving the score over the next two quarters will be essential for signaling momentum to investors, policymakers, and research institutions alike.
Discussion:
In April, the Connecticut inventionINDEX scored a negative sentiment which was lower than the previous year’s average and underperformed the downward trend for the year. This is in contrast to the prior 12 months, which experienced an upward 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 Connecticut office provides R&D tax credit consulting and advisory services to Bridgeport, New Haven, Stamford, Hartford, Waterbury, Norwalk, Danbury, New Britain, Bristol and Meriden.
Feel free to book a quick teleconference with one of R&D tax specialists at a time that is convenient for you, if you would like to learn more about R&D tax credit opportunities.
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Swanson Reed is the largest Specialist R&D tax credit advisory firm in the United States. With offices nationwide, we are one of the only firms globally to exclusively provide R&D tax credit consulting services to our clients. We have been exclusively providing R&D tax credit claim preparation and audit compliance solutions for over 30 years.
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What is the R&D Tax Credit?
The Research & Experimentation Tax Credit (or R&D Tax Credit), is a general business tax credit under Internal Revenue Code section 41 for companies that incur research and development (R&D) costs in the United States. The credits are a tax incentive for performing qualified research in the United States, resulting in a credit to a tax return. For the first three years of R&D claims, 6% of the total qualified research expenses (QRE) form the gross credit. In the 4th year of claims and beyond, a base amount is calculated, and an adjusted expense line is multiplied times 14%. Click here to learn more.
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