He had a fine season last term, collecting 17 wickets in the Bob Willis Trophy which included a career best against Surrey 0f 6-60.
The 30-year-old has often opened the batting in the past couple of seasons to highlight just how important his versatility is to the team.
He has featured in 31 first class matches across his career, taking 57 wickets to date and scoring just shy of 1000 runs with 986 at an average of 23.47.
Holland and his Hampshire teammates begin their season with a trip to Grace Road to face Leicestershire in less than three weeks time.
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