Key Facts at a Glance
- The innovation balance drops to minus 7 points in 2026. 25 percent of companies aim to increase their innovation activities, while 32 percent plan to reduce them.
- For small and medium-sized enterprises with up to 249 employees, the innovation balance stands at minus 10 points.
- Companies rate the framework conditions for research and development at the federal level on average with a grade of 3.5. In 2023, this figure was at 3.4.
- The effort required for norms, standards, and certifications constitutes an innovation hurdle for 84 percent of companies. 75 percent cite bureaucratic requirements, and 71 percent point to the lack of tax benefits for equity.
- Four out of five companies have financed their innovations over the past two years with equity capital. Only 12 percent of all companies and 10 percent of small and medium-sized enterprises have utilised the tax research allowance.
- Planned activities are increasingly focusing on the further development of existing products, services, and business models. At the same time, the willingness to qualify employees or cooperate with other companies, customers, and suppliers is declining.
Innovation Dynamics Decline
The survey paints a concerning picture: Only 25 percent of the more than 2,300 companies surveyed intend to increase their innovation activities, while 32 percent plan reductions. This results in a net balance of minus 7 points, a stark drop from the plus 23 points recorded in the 2023 survey.
Activities Becoming More Conservative
Innovation activities are becoming more selective and conservative; companies will focus primarily on enhancing existing products, services, and business models in the next 12 months. While 89 percent plan such measures (up from 80 percent previously), planned activities to improve innovation and competitiveness in all other areas—if surveyed in 2023—have declined. This includes cooperative projects, employee qualification, international expert recruitment, or acquiring licenses.
Decline Across Enterprises of All Sizes
Small businesses are particularly pressured: Companies with up to 50 employees show an innovation activity balance of minus 12 points, while those with over 500 employees reach 10 points. The average for small and medium enterprises (up to 250 employees) is minus 10 points.
Weakened economic conditions and ongoing innovation barriers further restrict companies' operational capacities. The most cited hurdles are high compliance costs for norms, standards, and certifications (84 percent), bureaucratic requirements within the innovation process (75 percent), and lack of fiscal support for equity (71 percent). Consequently, conditions for research and development are rated slightly worse at 3.5 (2023: 3.4).
Funding Program Complexity
Another key finding: Equity remains the primary funding source. Eighty percent of surveyed businesses use their own resources, 48 percent utilize ongoing cash flow. The 2020-introduced research tax allowance has had some effect but remains limited to 12 percent of businesses, indicating insufficient reach among SMEs.
State funding programs are utilized by 18 percent, federal programs by 11 percent, and EU programs by 4 percent. Most businesses stay away due to a lack of awareness, high complexity, or long application procedures. However, companies using funding programs report positive experiences—especially with federal (87 percent) and state programs (84 percent). EU offerings see improvement (75 percent, up from 65 percent in the previous survey).
Recommended Actions
Based on findings, the DIHK suggests:
- Create reliable, practical frameworks for corporate research and development at national, state, and EU levels.
- Reduce compliance costs for norms, standards, and certifications. Procedures and documentation obligations should not disproportionately drain innovation capacities.
- Simplify, expedite, and make funding programs more transparent. Ensure businesses can locate offerings easily and avoid unexpected restrictions (e.g., application freezes).
- Enhance practical access to and usability of tax incentives for SMEs.
- Provide equal tax treatment for equity and debt capital without restricting interest deductions.
- Offer clearer advice and effective support for building, utilizing, and protecting patent portfolios.
Download
- Publication
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DIHK-Innovationsreport 2026
- Summary
- Der DIHK-Innovationsreport 2026 "Innovationsschub auslösen – Fesseln lösen" beruht auf einer Umfrage, an der sich vom 13. Juli bis zum 4. September 2026 insgesamt 2.320 Unternehmen beteiligt haben. Die 79 IHKs unterstützten die Erhebung, die seit 2008 im Drei-Jahres-Rhythmus durchgeführt wird.
- Information
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File format: PDF (accessible)
File size: 1 MB
Status of: November 2026
Page count: 22 pages
(only available in German)
- Relevant in topic:
- Innovation and Digitalisation
- Key areas:
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- Financing
It has been translated with the assistance of AI.
No guarantee is made as to the accuracy or completeness of the translation.
Released 09.11.2026
Contact
Lukas Ostertag
Director Innovation Policy