€2 Billion less for military innovation
The Netherlands is allocating less funding to military innovation than the coalition agreement suggested.
Published on October 20, 2026
© Matthew Hintz - Pexels
Military innovation was expected to receive nearly €2.9 billion, but the figure has since shrunk to about €950 million. In the coalition agreement published in February, D66, VVD and CDA agreed to allocate 10% of the defence budget to innovation in the longer term. However, the Defence White Paper 2026 shows that this percentage applies only to the smaller budget for defence investment, resulting in a significantly lower amount.
The Ministry of Defence confirms this calculation but doesn’t explain why the wording in the coalition agreement differs from its implementation in the Defence White Paper.
Among other measures, the government plans to establish a defence innovation agency. Modeled on the US research agency DARPA, it is intended to help develop innovative military technologies.
Balancing innovation and equipment
Some observers find the lower figure understandable. The Dutch defence industry also faces immediate needs for additional personnel and equipment.
According to Hans Huigen, director of the Netherlands Industries for Defence and Security (NIDV), allocating 10%of the entire defence budget to innovation represents a substantial amount, particularly when there are also significant and urgent needs in other areas. The challenge is to meet the armed forces’ immediate needs while continuing to invest in future military technology.