CONNECTICUT INVENTIONINDEX | JANUARY 2026
January 2026: 0.84% (D- grade)
Connecticut inventionINDEX January 2026: 0.84% (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).
Connecticut inventionINDEX Scores – Last 12 months
| Month | inventionINDEX Score |
| January 2026 | 0.84% |
| Dec 25 | 0.99% |
| Nov 25 | 0.88% |
| Oct 25 | 0.87% |
| Sep 25 | 0.95% |
| Aug 25 | 0.92% |
| Jul 25 | 1.09% |
| Jun 25 | 0.86% |
| May 25 | 0.99% |
| Apr 25 | 0.88% |
| Mar 25 | 0.87% |
| Feb 25 | 0.92% |
| Jan 25 | 0.90% |
The January 2026 Connecticut inventionINDEX score of 0.84% reflects a significant contraction compared to historical benchmarks. This figure represents a decline from the previous month and sits 14 basis points below the 60-month average of 0.98%. While the index has experienced periodic volatility, the current D- rating places the state in a challenging position as it enters the new year. This score is among the lowest recorded in the five-year period, nearly matching the historical floor of 0.82% established in November 2024.
A retrospective look at the data highlights a clear shift in innovation momentum over the last five years. In early 2021, the index peaked with an A- rating and a score of 1.24%, signaling a period of robust intellectual property growth and entrepreneurial energy. Since those highs, the trajectory has generally trended downward, characterized by more frequent D and C ratings. Although there were brief resurgences in August 2023 and July 2025, the overall consistency of higher-tier scores has diminished, suggesting that the regional innovation ecosystem is currently navigating a prolonged cooling phase.
Achieving a higher grade on the inventionINDEX, such as the B and A ratings observed in 2021 and mid-2023, produces substantial positive outcomes for the economy. High scores typically correlate with increased patent filings, greater venture capital inflow, and a more vibrant ecosystem for startups. These periods of growth foster high-skill job creation and attract top-tier talent to the state. A strong index rating serves as a leading indicator of future industrial competitiveness, ensuring that the region remains at the forefront of technological advancement and manufacturing excellence.
Conversely, the implications of maintaining a lower score like the current 0.84% are concerning for long-term economic health. Ratings in the D and F categories often point toward stagnation in research and development or a lack of supportive infrastructure for new inventors. If these low scores persist, there is a risk of losing a competitive edge to more innovative regions, potentially leading to a decline in corporate investment and a migration of intellectual talent. Addressing the factors behind these diminished ratings is essential to prevent a protracted slowdown in creative and economic output.
Discussion:
In January, the Connecticut inventionINDEX scored a negative 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 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 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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