Basel Incentives Programm: New Incentive Instruments for Companies

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With the Basel Location Package, the Canton of Basel‑Stadt strengthens its attractiveness as a business location through targeted funding contributions for companies. Particularly, activities in the fields of innovation, environment and climate protection are supported. In addition, the Canton financially supports voluntary parental leave. Companies subject to taxation in Basel‑Stadt may apply for financial funding contributions for the 2025 financial year. The application deadline is 30 June 2026.

• Basel‑Stadt supports companies in the fields of innovation, environment/climate protection, and voluntary parental leave.
• Focus on innovation, in particular R&D staff, investments, and clinical studies.
• Application deadline for 2025: 30 June 2026.

In the Canton of Basel‑Stadt, under the funding program Basel Location Package, companies can apply for funding contributions in the fields of innovation, the environment and voluntary parental leave. Through these measures, the Canton of Basel‑Stadt strengthens its attractiveness as a high‑performing and future‑oriented business location.

The funding instruments are aimed at companies of different sizes and orientations with a tax presence in Basel‑Stadt. In particular, employees with a contractual and factual main place of work in the Canton of Basel‑Stadt are eligible for funding, while employees in selected districts of Northwestern Switzerland are considered to a lesser extent.

The Basel Location Package comprises several funding areas, with the majority of the funds allocated to innovation.

1. Funding Area: Innovation

Scope of Funding

In the area of innovation, the Basel Location Package especially supports the following expenditures (financial year 2025):

• Staff expenditure in research and development (R&D)
  (including researchers, developers, technical R&D staff, auxiliary staff, as well as regulatory experts)
• Depreciation of tangible assets used for R&D or high‑tech production
• Clinical studies conducted in Switzerland, including the manufacture of the active substances required for these studies in Switzerland

Eligible activities include those carried out in Basel‑Stadt and Northwestern Switzerland; clinical studies and the manufacture of the active substances required for them are also eligible if carried out elsewhere in Switzerland.

Calculation of Funding Contributions

Staff expenditure (Basel‑Stadt):

• 25% on the first CHF 5 million
• 20% on amounts between CHF 5 million and CHF 50 million
• 5% on amounts exceeding CHF 50 million
• Additional funding of +3% if patents or comparable protective rights are in place

(Note: For staff in the rest of Northwestern Switzerland, the assessment base amounts to 10%)

Depreciation on assets (Basel‑Stadt):

• 25% up to CHF 1 million
• 20% between CHF 1 million and CHF 5 million
• 5% above CHF 5 million
• +3% additional funding if patents are in place

Clinical studies in Switzerland:

• 10% of eligible material expenditure

If the requested funding contributions exceed the available funds, they will be reduced proportionally.

Eligible companies

Applications in the innovation field can be submitted by legal entities that meet the following criteria:

• unlimited tax liability in Basel‑Stadt, or
• limited tax liability in Basel‑Stadt and a qualifying asset in the canton (at least CHF 100,000 in annual depreciation).

In addition, a company must disclose specific information to demonstrate that its focus is on innovation e.g.:

• R&D expenditure ≥ 5% of total expenditure (average of the last 3 years), or
• Active in a development‑oriented industry (chemical, pharmaceutical, ICT, high-tech, R&D, etc.).

2. Additional Funding Areas

Parental Leave

Funding for voluntary parental leave that exceeds statutory limits:

• Up to 3 additional weeks
• 80% of employee’s income, maximum of CHF 220 per day

Environment: Measure‑based Funding

Funding is provided for:

• up to 40% of the innovation costs for implemented measures in the Canton of Basel‑Stadt, and
• up to 20% of the innovation costs for implemented measures in the rest of Switzerland.

The submitted measures are assessed within the categories greenhouse gas emissions and energy efficiency based on their cost efficiency. The decisive factor is the impact achieved per invested Swiss franc. On this basis, the measures are compared with one another and divided into three groups: measures in the top group receive a surcharge of 25%, while measures in the lowest group are considered with a deduction of 25%.

Environment: Climate‑reporting‑based Funding

An amount of CHF 30 is paid per tonne of CO₂-equivalents saved (maximum CHF 5 million per legal entity per year).

Funding is granted for a reduction in direct greenhouse gas emissions (Scope 1) that can be demonstrably achieved in the 2025 financial year compared to the previous year. The decisive factor is the reduction in emission intensity according to climate reporting.

Assessment and Support by EY

The Basel Location Promotion Package opens up significant funding potential, particularly for innovation‑oriented companies. Due to the detailed review by the authorities, companies are advised to carefully document all performed activities as a structured preparation of the applications is essential. The submission deadline for funding applications for the 2025 financial year is 30 June 2026..

EY experts are happy to support you with:

• The assessment of available funding opportunities,
• The review of eligibility of R&D, investment and study expenditure
• The preparation of the required documentation, and
• To advice you throughout the application process.