Author: Amanda Stonestreet

Research Australia has cautiously welcomed key reforms announced in the Federal Budget, including increased investment through the Medical Research Future Fund and reforms to Research and Development (R&D).

The Federal Budget arrives at a critical juncture for Australia, navigating a complex fiscal environment defined by a persistent cost-of-living crisis and heightened global instability.

It is why the announcement on the MRFF is welcome news, however, more still needs to be done to support Australia’s health and medical research and innovation sector.

The Government has confirmed it will increase disbursements from the MRFF by $508.5 million over the next four years from 2026–27 and lift annual investment from $650 million to $1 billion from 2030–31.

“This is crucial for a sector under significant strain, providing much-needed certainty and momentum at a time when rising costs, workforce pressures and global competition are placing increasing pressure on Australia’s health and medical research and innovation system,” Research Australia Chair, Professor Dawn Freshwater FRCN said.

While increasing allocations through the MRFF is important, it is disappointing that the NHMRC (MREA) is still tracking below forecast inflation and does little to address years of real decline.

Research Australia CEO, Nadia Levin, reconfirmed the crucial role that research, development and innovation play to both the health of Australian’s and our nation’s economic future through boosting economic resilience, sovereign capability and productivity.

“Investing in health and medical research is not only about better care – it’s about building a more productive, resilient and sustainable Australia – tonight’s Budget is a small step towards this,” said Nadia Levin, CEO of Research Australia. “Every dollar invested delivers around four dollars in economic returns. We cannot afford to leave this potential untapped.”

Research Australia also welcomed measures to improve coordination across the research, development and innovation system, including the establishment of the National Resilience and Science Council to provide coordinated advice on more than $15 billion in RD&I investment.

“Better alignment of public and private investment is critical to lifting productivity, strengthening economic resilience, and ensuring Australia captures the full value of its research capability,” Ms Levin said. If we are serious about innovation, we need smart, sustained investment and partnerships that reflect the role of both public and private investment.” While tonight’s announcements are that small first step, high rewards need courageous investment.

Research Australia notes other measures announced in tonight’s Budget to support the research pipeline and translation, including:

• $15.8 million to continue development of the National One Stop Shop to streamline approvals for clinical trials and human research
• Additional support for Health Technology Assessment system sustainability and improvements to R&D Tax Incentive and Venture Capital settings
• Funding committed over the forward estimates following the establishment of the Australian Centre for Disease Control
• $40.1 million to establish the Neale Daniher MND Clinical Network to accelerate research and improve outcomes for people living with motor neurone disease
• •$387.4 million over four years (and ongoing funding) to support the long-term sustainability of the CSIRO, including upgrades to the Australian Centre for Disease Preparedness

Research Australia noted that while the Government has not allocated specific funding for implementation of the forthcoming National Health and Medical Research Strategy, this reflects the scale and complexity of the reform but is eager to see further detail for this crucial piece.

Research Australia looks forward to more announcements on the this and will continue to work constructively with Government and our members to support its implementation.

Research Australia has welcomed tonight’s announcement in the Federal Budget that from 2030-31, the Medical Research Future Fund will distribute $1 billion of direct investment in medical research, reaffirming the MRFF’s original purpose and providing a significant boost to the sector.

CEO of Research Australia, Nadia Levin, said the decision reflects the importance of maintaining a clear focus on research funding to deliver better health and economic outcomes for all Australia.

“The intent of the MRFF has always been to make $1 billion available each year for investment in medical research, and Australia needs to build to that level as a priority and tonight’s news from the Budget is welcome,” Ms Levin said.

I want to thank all the Research Australia members who have contributed to the ongoing campaign to release the additional funds in the MRFF. You’re stories, case studies and experiences have kept the pressure on.”

This result is welcome news to a sector under significant strain, providing much-needed certainty and momentum at a time when rising costs, workforce pressures and global competition are placing increasing pressure on Australia’s health and medical research and innovation system,” Ms Levin said.

After first identifying the funds in 2023, Research Australia has led advocacy on this issue, calling for targeted MRFF investment in priority areas including early and mid-career researchers and a new research-active healthcare mission to better support translation.

Ms Levin said directing the additional funds directly to research will strengthen Australia’s capacity to translate discovery into real-world outcomes and support industry collaboration.

“The MRFF is not only a research fund – it is a critical translation fund that enables collaboration between researchers, clinicians and industry to turn discoveries into new therapies, technologies and companies,” Ms Levin said.

This announcement is about strengthening Australian health and medical research and innovation to deliver a healthier population and a wealthier economy.

Research Australia acknowledges the sector-wide advocacy with its members and others that led to this achievement and will continue to work with Government to ensure the MRFF delivers on its full potential, in line with its original intent, as a dedicated and enduring investment in Australia’s health and medical research and innovation future.

Research Australia, the national peak body for health and medical research and innovation, is pleased to be joining researchers, innovators and sector leaders today in Canberra to support the ongoing campaign led in Parliament by Dr Monique Ryan MP, Member for Kooyong, to release the full funds that have been made available for the Medical Research Future Fund.

Since Research Australia originally discovered the additional funds after strong MRFF investment returns, we have been working with the Minister and the Department on solutions to how these funds could be used to strengthen health and medical research and innovation. This includes opportunities for funds to support career pathways and opportunities for early- and mid-career researchers and clinician researchers; supporting greater collaboration and circular mobility between industry and academia; and making available the funds to support the translation and implementation of health and medical research and innovation, in line with original intent of the fund.

“The MRFF plays a crucial role in supporting Australia’s world-leading health and medical research and innovation sector. The Government needs to invest the additional funds available strategically to drive bold outcomes in our sector”, said Nadia Levin, CEO & Managing Director.

“Every preventable hospital admission we avoid, every faster diagnosis we enable, and every home-grown medical product we export is a boost to your health and growth in our economy. Realising the full potential of the MRFF makes this all possible.

This is about ensuring long-term sustainability and smarter investment across our sector to strengthen Australian health and medical research and innovation and ensure a healthier population and wealthier economy”.

Research Australia will continue to work in partnership with our membership, which represents the entire health and medical research and innovation sector, to develop further solutions and opportunities to realise the full potential of the Medical Research Future Fund.

The national peak body for health and medical research and innovation, Research Australia, is calling for the Federal Government to prioritise health and medical research, development and innovation within its productivity agenda, driving economic diversification, resilience, growth and budget sustainability.

In its submission to the Productivity Commission’s 5 pillar productivity inquiries, Research Australia has set out key reforms needed to elevate health and medical research as a driver of productivity and position Australia as a leader in improving health outcomes and global innovation, enhance economic diversification, and respond to demographic and healthcare system pressures.

“Lifting Australia’s productivity isn’t just an economic challenge—it’s a health and medical research opportunity. When we invest in discovery, health services research and commercialisation, we cut waste, lift workforce participation, and create new industries,” said Nadia Levin, CEO & Managing Director of Research Australia.

“Every preventable hospital admission we avoid, every faster diagnosis we enable, and every home-grown medical product we export is productivity in action. Elevating health and medical research and innovation makes that possible.”

Key recommendations, developed in consultation with Research Australia’s members across the whole pipeline of health and medical research and innovation, include:
• Establish a measurable path to at least 5% of health expenditure to preventive health measures by 2030 and implement ‘Prevention Responsive Budgeting’ to ensure government budgets account for, prioritise, and evaluate investments in disease prevention, equity and health promotion.
• Utilise MRFF underspent funds to strategically invest in health and medical research and innovation, with a focus on strengthening the infrastructure that supports research translation and innovation.
• Define a pathway to fund the full cost of research, in a rational and sustainable way, including infrastructure.
• A bipartisan national health data framework to guide long-term investment and coordination in Australia’s health and medical data infrastructure.
• Work across government portfolios to prioritise and expedite the development of a National

Health and Medical Research and Innovation Workforce Plan to bolster Australia’s skilled and globally competitive workforce, that includes support for early- and mid-career researchers, clinician researchers and lived experience researchers.

“Economies that back research outperform. A national commitment to 3% of GDP for R&D will anchor the next decade of Australian productivity, with health and medical research leading the way,” said Ms Levin.

“For every dollar invested in Australian health and medical research and innovation yields close to $4 to the Australian economy,” Ms Levin said. “Investment in our sector is not just budget neutral; it allows further reinvestment back into the broader health sector.

Read Research Australia’s full submission to the 5 pillars productivity inquiries here.

Research Australia, the national peak body for the health and medical research sector, welcomes today’s announcement by the Hon Mark Butler MP, Minister for Health and Ageing, of the draft National Health and Medical Research Strategy.

The draft Strategy, which will enter a consultation period to help shape the final strategy due to the Federal Government by the end of 2025, outlines a 10-year plan for the health and medical research and innovation sector.

Research Australia has led the call for the development of this strategy emphasising the need to elevate the awareness, contribution and opportunity the sector makes to both a healthy nation and a healthy economy. The Strategy must facilitate coordinated, sustainable investment in research; strengthen the connection between research and healthcare; and support emerging innovative health industries.

Research Australia has been working closely with Rosemary Huxtable AO PSM and her Secretariat team as well as Minister Butler and his office throughout the year and it is positive to see recommendations developed in partnership with our members picked up in the draft Strategy, including:

• Embedding collaboration systemically across the health and medical research and innovation ecosystem.
• Smarter investment in funding for health and medical research and innovation.
• Developing a Health and Medical Research and Innovation Workforce Plan.
• Streamlining regulatory pathways for medical technologies and therapeutics and reduce the time it takes to bring innovations to the Australian market.
• A focus on equity, including rural, regional and remote.

“From the very beginning of this process, Research Australia has been actively calling for a Strategy that doesn’t just sit on a shelf. So we are very pleased to see the focus on governance structures, implementation and evaluation frameworks included in the draft Strategy released today”, said Nadia Levin, CEO of Research Australia.

Developing the National Health and Medical Research Strategy provides an opportunity to bring a whole of pipeline and whole of governments approach to health and medical research. Research Australia reiterates the call that the Strategy must be developed in partnership with other national reform processes such as the Strategic Examination of R&D, National Research Infrastructure Roadmap, Clinical Trials Reform Agenda, and the HTA Review.

“If we continue to only tinker at the edges of reform, we consign ourselves to being consumers of global innovation rather than producers — dependent, reactive and increasingly uncompetitive”, Ms Levin said.

Research Australia is looking forward to working with the Department and Minister’s office in the next phase, including as part of the Technical Reference Group.

Research Australia, the national peak body for health and medical research and innovation, joins the growing chorus of organisations urging the Australian Government to formally sign up to Horizon Europe to unlock new opportunities for Australia’s researchers and innovators and secure our nation’s position as a global leader in science and innovation.

Horizon Europe is the European Unions multi-billion Euro research program that supports international collaboration across a number of key areas, including health, climate change and digital transformation. Around 18 non-EU countries, including New Zealand, the United Kingdom and Canada, have already signed agreements, allowing their researchers to compete for funding and lead multi-national consortia.

“Australia risks being left behind if we do not act swiftly,” said Ms Nadia Levin, CEO & Managing Director of Research Australia. “Joining Horizon Europe would open the door to world-leading collaborations, accelerate innovation, and enhance the global impact of Australian health and medical research and innovation.

“As we seek to grow Australia’s innovation economy and deliver solutions to complex health, environmental and technological challenges, full participation in Horizon Europe would provide a strategic platform for impact,” said Ms Levin. “The government has been calling for solutions through the Strategic Examination of R&D and National Health and Medical Research Strategy. We have already been putting forward a call to join Horizon Europe as one of the solutions.”

Australia’s health and medical research and innovation sector already collaborates extensively with European partners, but current arrangements limit access to major funding streams and leadership roles in consortia. Association would strengthen these partnerships and bolster Australia’s ability to respond to shared global challenges.

Research Australia urges the Australian Government to prioritise negotiations and deliver a clear signal to the global research community that Australia is committed to international scientific collaboration at scale. The risk of not doing so impacts on Australia now and for our future.

Research Australia, the national peak body for health and medical research and innovation, warmly welcomes the announcement of Prime Minister Anthony Albanese’s new Federal Ministry and congratulates all returning and newly appointed Ministers on their portfolios.

The health and medical research and innovation sector is a fundamental pillar of a strong Australia, now and for our future – our sector sits across multiple Federal Government portfolios and directly contributes to productivity, better health outcomes, reduces costs across the health care system, and creates new industries, including through commercialisation, clinical trials, precision medicine, and digital health.

As the national peak body representing the entire health and medical research pipeline, Research Australia looks forward to working closely with the Cabinet, Outer Ministry and Assistant Ministry to advance Australia’s research capacity, health innovation, and system sustainability.

“We congratulate the Prime Minister on the formation of the new Cabinet and commend the Government’s continued commitment to health and medical research and innovation as a national priority. We also acknowledge the enormous contribution of former Ministers and Assistant Ministers across portfolios to our sector,” said Research Australia CEO, Nadia Levin.

“We particularly welcome the reappointment of the Hon Mark Butler MP as Minister for Health and Ageing, who has been an ally of Australia’s health and medical research & innovation sector, particularly in his support for the development of the National Health and Medical Research Strategy. We also welcome the re-appointment of the Hon Jason Clare MP as Minister for Education and will work with him as the Government progresses the University Accord recommendations.

“We welcome Senator the Hon Tim Ayres as Minister for Industry, Innovation and Science. With Minister Ayres’ portfolio look forward to working closely with the new Minister in highlighting the critical importance of life sciences to Australia’s science, industry and research priorities, especially as the Strategic Examination of R&D progresses.”

Research Australia also acknowledges the vital intersection of health and medical research with portfolios including Education, Treasury, Finance, Defence, Social Services and Climate Change, and welcomes the opportunity to work in partnership with the Government across all relevant areas.

“The 48th Parliament presents a generational opportunity to reform Australia’s R&D system and health and medical research and innovation sector to ensure it is more responsive, sustainable and future-focused. There is a lot of work for the incoming Ministry to progress, and Research Australia looks forward to continuing to partner with government and champion the work of our members across the pipeline with them,” Ms Levin said.