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Medical and Science

New medical research strategy builds on MRFF Budget boost

Health Industry Hub | May 25, 2026 |

The launch of Australia’s 10-year National Health and Medical Research Strategy (NHMRS) arrives two months after the release of the Ambitious Australia report, which set out a blueprint for reforming the nation’s broader research, development and innovation (RD&I) system and its long-term direction.

The 2026–2036 NHMRS has been welcomed across the sector, including by Research Australia, Science & Technology Australia (STA), and the Association of Australian Medical Research Institutes (AAMRI), all of which have described it as a significant step forward for national coordination and capability.

“This is absolutely a strategy that’s been developed by the sector, for the sector,” said Federal Health Minister Mark Butler. “I can say our government is in lockstep with the sector on a strategy vision and its goals to optimise the impact of existing funding for health and medical research, as well as breaking down the silos that do continue to exist and constrain progress across so many parts of the research ecosystem.”

Since 2020, Research Australia has advocated for a unified approach that brings together the full ecosystem of key stakeholders to establish a coordinated national vision capable of improving health outcomes, strengthening economic performance, lifting productivity, and enhancing national resilience.

Nadia Levin, CEO and Managing Director of Research Australia, said “The launch of the Strategy is a pivotal moment for Australia’s health and medical research sector, and for the patients and communities who ultimately benefit from research and innovation.”

Attention to health and medical research funding has been sharpened by the recent Federal Budget measures that will see investment in the Medical Research Future Fund (MRFF) lift grant funding from $650 million to $1 billion annually by 2030–2031. Yet, the Budget papers show funding reaching around $745 million by 2029-30, meaning a substantial increase would still be required in the following year to meet the government’s stated $1 billion target.

“The disbursement of additional funding from the MRFF, while not new money, has been much needed to ensure the life-saving work of our researchers can continue,” said STA CEO Ryan Winn.

From the MRFF package, $128 million has been earmarked specifically to support the indirect costs of conducting research, addressing a long-standing concern raised by the sector.

“The introduction of dedicated support for indirect costs through the MRFF for independent medical research institutes represents a significant milestone and reflects a priority AAMRI has consistently advocated for. It recognises that excellent research depends on the people and capability within institutes that underpin every discovery, trial and breakthrough,” said AAMRI CEO Dr Saraid Billiards.

With the NHMRS now formally released, stakeholders are increasingly focusing on the next phase of implementation and execution.

“The release of the Strategy is an important milestone. The opportunity now is to move quickly into implementation so these reforms translate into stronger capability, greater sustainability and better outcomes for Australians,” added Dr Billiards.

A key structural feature of the NHMRS is the proposed National Strategy Advisory Council (NSAC), reflecting a central recommendation of the Ambitious Australia report.

The Council is intended to bring together broad representation across the health and medical research sector, state and territory governments, industry, philanthropy, First Nations peoples, regional, rural and remote (RRR) advocates, as well as consumer voices. The NHMRS recommends that establishing the Council, along with defining its terms of reference, should be prioritised as an “early implementation step”, developed in close consultation with the sector.

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