More than nine in ten Australian medical researchers who applied for government-funded innovation grants last year faced rejection, despite the nation’s Medical Research Future Fund (MRFF) holding nearly $25 billion in unspent resources. This figure is $5 billion more than the fund was originally designed to maintain.
Approximately half of the applicants with outstanding submissions for the National Health and Medical Research Council’s (NHMRC) annual “ideas grants”—those scoring six out of seven points—were denied funding. This situation highlights a troubling trend where meritorious projects are overlooked as more researchers vie for a relatively unchanged pool of funding.
The Funding Dilemma
The NHMRC allocates around $250 million annually to support innovative health and medical research. However, data from 2025 reveals a stark 91.9% rejection rate for ideas grants, with only 190 projects funded out of 2,347 applications. This represents a decline from a 10.1% success rate in 2024 and 11.1% in 2023.
This diminishing success rate is prompting crossbenchers, scientific bodies, and medical associations to urge the Albanese government to release additional funds from the MRFF to support domestic projects. The call for increased funding is especially pressing as the Trump administration’s cuts to scientific and medical organizations disrupt global research funding.
Unrealized Potential of the MRFF
The MRFF, established by the former Coalition government, was intended to disburse approximately $1 billion annually once it matured at $20 billion. However, the government currently releases only $650 million each year.
Parliamentary Budget Office costings, commissioned by independent MP Monique Ryan, indicate the fund could increase its annual disbursements to as much as $1.4 billion without reducing its base level of $24.5 billion over the next decade. The fund has since grown to $24.8 billion.
“Australia’s leading researchers are missing out on government support for world-class proposals, leaving exceptional talent uncertain about their future,” Ryan stated. “The government cannot claim medical research is a priority while failing to treat it as one.”
Voices from the Field
Professor Steve Wesselingh, chief executive of the NHMRC, attributes the high rejection rate to increased demand for grants and larger funding requests. “The amount we give out has essentially stayed static over time apart from some minor indexation,” he explained to Senate estimates.
Wesselingh noted that while some rejected “outstanding” applications might secure funding through other channels, the sector is eager for more financial support. “We are developing a medical health and research strategy with the department, chaired by Rosemary Huxtable,” he said. “More resources for health and medical research could boost innovation and health productivity in the country.”
Political and Global Context
Independent senator David Pocock emphasized the importance of retaining world-class researchers who can focus on life-changing studies rather than bureaucratic processes. He, along with MPs like Ryan, Helen Haines, Kate Chaney, Sophie Scamps, Allegra Spender, and Zali Steggall, is advocating for increased disbursements from the MRFF.
This push comes amid the Trump administration’s reductions in US research and medical institutions, including the Centers for Disease Control, the Food and Drug Administration, and the National Institutes of Health, the largest public funder of biomedical research globally.
Looking Ahead
The current situation in Australian medical research underscores a critical need for strategic financial management and prioritization of funding to ensure that innovative and potentially life-saving projects are not left unfunded. As the MRFF continues to grow, the government faces mounting pressure to align its disbursement strategies with the needs of the research community.
The coming months will be crucial as policymakers, researchers, and advocacy groups work together to address these challenges and secure a sustainable future for Australian medical research.
