Financial Secretary Paul Chan proposed in his 2026-27 Budget today to refine the associated tax regime and institutional framework, nurture talent and leverage the city’s strengths in professional services, with a view to boosting economic development through driving intellectual property (IP) trading and financing.

Delivering his speech this morning, Mr Chan said reducing costs will facilitate more relevant trading activities, which would be conducive to the development of knowledge-intensive industries and could reinforce Hong Kong’s position as a regional IP trading centre.

He noted that the Government is consulting the trade on tax deduction arrangements for capital expenditure incurred for purchasing IP or the rights to use IP and plans to introduce an amendment bill this year.

In addition, the Government has earmarked $28 million to support the Hong Kong Technology & Innovation Support Centre in providing innovation and technology (I&T) enterprises with patent evaluation based on Guobiao, and implementing the two-year Pilot Patent Valuation Support Scheme to assist I&T enterprises for conducting valuation of their patent assets.

The Intellectual Property Department, together with the Vocational Training Council, will roll out a two-year pilot programme and establish the Intellectual Property Academy to provide on-the-job training linked to the Qualifications Framework. The Government has earmarked $52 million for the project, which is targeted to commence at the end of this year.

Highlighting another industry with a competitive edge, Mr Chan noted that the Department of Justice (DoJ) is preparing for the development of the Hong Kong International Legal Service Building as a new international legal hub landmark, which will be home to the headquarters of the Hong Kong International Legal Talents Training Academy and international legal and dispute resolution services institutions, etc. The preparatory works will commence this year.

The International Institute for the Unification of Private Law will establish its Asia‑Pacific Liaison Office in Hong Kong this year. Mr Chan pointed out that the DoJ will continue attracting international legal and dispute resolution services institutions to establish offices in Hong Kong. 

To strengthen the promotion of mediation and arbitration services, the Government will strengthen the regulatory framework for accreditation and disciplinary matters of the mediation profession in Hong Kong and take forward the legislative exercise this year.