June 2026: 1.61% (B+ grade)

Utah inventionINDEX June 2026: 1.61% (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).

Historical Utah inventionINDEX Scores

The Utah inventionINDEX score for the past 12 months is shown in the table below.

The Utah inventionINDEX score for June 2026 stands at 1.61 percent, earning a solid B+ rating. This latest figure represents a notable recovery and upward trajectory compared to the immediately preceding months of April and May 2026, which posted lower scores of 1.16 percent and 1.31 percent respectively. Over the broader historical context spanning the last 60 months, the June 2026 performance positions itself comfortably above the historical mean of approximately 1.47 percent. This indicates a robust resurgence in innovative output and commercial sentiment as the region moves into the mid-2026 period, outpacing the flatter performance observed during the winter and early spring seasons of the same year.

Examining the broader historical narrative reveals a dynamic landscape characterized by notable peaks and valleys over the multi-year timeline. The absolute pinnacle of the index occurred in November 2023, when the score surged to an impressive 2.89 percent, achieving an A+ rating. Conversely, the most significant contraction took place in August 2024, when the index bottomed out at 0.99 percent with a C- rating. Despite these dramatic shifts, the index has frequently demonstrated a resilient capacity to rebound from its lowest depths, as seen after the August 2024 dip when it climbed back to 1.73 percent by October 2024, showing that the regional innovation ecosystem possesses strong underlying fundamentals.

Achieving a higher score and an elevated grade yields numerous positive outcomes for the local innovation ecosystem. A strong inventionINDEX score signifies heightened entrepreneurial activity, increased patent applications, and accelerated commercialization of new technologies. This upward momentum boosts investor confidence, making the region a prime target for venture capital and strategic corporate partnerships. Furthermore, elevated ratings foster a culture of competitive progress, attracting top-tier talent and reinforcing the area’s reputation as a leading hub for technological and industrial development.

On the other hand, the negative implications of a lower score and a depressed grade can be quite significant for the economy. A declining index suggests potential stagnation, which may stem from reduced research and development spending, regulatory hurdles, or broader economic headwinds. When the index falls into the C range, it can deter prospective investors who might perceive the market as sluggish or high-risk, ultimately slowing down job creation and capital deployment. These downturns highlight the critical importance of maintaining continuous institutional support and robust incentives for innovators to prevent temporary dips from hardening into long-term systemic declines.

Discussion:

In June, the Utah inventionINDEX scored a positive sentiment which was higher than the previous year’s average and outperformed 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 Utah office provides R&D tax credit consulting and advisory services to Salt Lake City, West Valley City, Provo, West Jordan, Orem, Sandy, Ogden, St George, Layton and Taylorsville

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:

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.

Swanson Reed hosts daily free webinars and provides free IRS CE and CPE credits for CPAs. For more information please visit us at www.swansonreed.com/free-webinars or contact your usual Swanson Reed representative.