2021-22 Pre-Budget Submission

This submission to the Treasurer ahead of the 2021–22 Federal Budget maintains that health and medical research and innovation should be central to Australia’s economic recovery from COVID-19. Research Australia notes that gross expenditure on research and development (R&D) fell from 2.25% to 1.79% of GDP between 2008–09 and 2017–18, that Australian Government R&D spending has dropped below 0.5% of GDP, and that Australia ranks 87th of 133 countries for economic complexity. It recommends government R&D spending of at least 0.75% of GDP and a goal of becoming a net exporter of pharmaceuticals by 2035, supported by further Modern Manufacturing Initiative investment, a feasibility study into manufacturing facilities for clinical trial materials, an Australian equivalent of the US Biomedical Advanced Research and Development Authority (BARDA), and a feasibility study into mRNA manufacturing. Citing its survey showing most researchers on short contracts and at least $75 million in COVID-19 research disruption costs, it seeks a further $1 billion for the Research Support Program in 2022 and a $100 million bridging fund for disrupted grants. It also recommends real increases to NHMRC and Australian Research Council funding, reversal of research block grant cuts, indirect cost funding for Medical Research Future Fund grants and a Chief Scientist-led review of indirect costs, an expanded $1.9 billion research infrastructure envelope, funding for the 10 Year National Prevention Strategy and the CSIRO artificial intelligence roadmap, data sharing infrastructure, and resourcing for the AIHW to release My Health Record data.