diff --git a/packages/grafana-toolkit/src/config/tsconfig.plugin.local.json b/packages/grafana-toolkit/src/config/tsconfig.plugin.local.json
index 7453b650656..52ac9088fa1 100644
--- a/packages/grafana-toolkit/src/config/tsconfig.plugin.local.json
+++ b/packages/grafana-toolkit/src/config/tsconfig.plugin.local.json
@@ -2,7 +2,8 @@
   "compilerOptions": {
     "rootDir": "./src",
     "baseUrl": "./src",
-    "typeRoots": ["./node_modules/@types"]
+    "typeRoots": ["./node_modules/@types"],
+    "jsx": "react"
   },
   "extends": "@grafana/toolkit/src/config/tsconfig.plugin.json",
   "include": ["src", "types"]