The Victorian Coalition will pledge $100 million in extra support over four years for the state's foundering medical research institutes if it wins the November election, an announcement Michelle Marven, executive officer of AAMRI's Victorian branch, welcomed as “a step in the right direction”.
Opposition Leader Jess Wilson will announce the pledge on Thursday. It follows an investigation by The Sydney Morning Herald into financial pressure across Victoria's 14 independent medical research institutes, which have been squeezed by years of flat federal funding for science and sharp increases in the cost of doing research.
In September, the Hudson Institute of Medical Research announced plans to merge with Monash University, and insiders have described the Florey Institute of Neuroscience and Mental Health's business plan as "doomed". The Australian Association of Medical Research Institutes (AAMRI) estimates that 10 of the 14 centres will be forced to close by 2030 if their finances do not improve, and has been campaigning to lift state government funding from $48 million a year to $95 million.
Wilson said Victoria must remain the medical research capital of Australia. "But after 12 years of Labor, the industry is at risk of losing its brightest minds, highly skilled jobs, and the investment that should be coming to Victoria," she said. Opposition health spokeswoman Georgie Crozier said: "Labor's failure to provide long-term funding certainty is putting this industry and the jobs of the future at risk."
The extra money would bring total state government support for the institutes to about $60 million a year, said Michelle Marven, executive officer of AAMRI's Victorian branch. "It's not the full amount we had been asking for, but it's a step in the right direction," she said. "It will really help to address the financial pressures facing our institutes."
Burnet Institute director Brendan Crabb said in September the sector was “a high-priority, highly valued sector” and had an “underfunded, short-term, fragmented funding system”. Australia's spending on research as a share of GDP is in long-term decline, even as other advanced economies invest more heavily in science.
Victorian Minister for Medical Research Anthony Carbines said in September the state government had increased funding by $24.6 million over two years to support the state's research institutes. He said the program would provide more than $47.7 million in funding support in 2025-26, the largest amount for research indirect costs provided by any Australian state or territory in absolute terms. He said the government would continue to support the sector and advocate for a fairer share of medical research funding from the Commonwealth.
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Annual state government funding for Victoria's medical research institutes (A$ millions)
A$ million
Coalition pledge of $100m over four years is estimated to bring total annual state support to $60m. Source: Australian Association of Medical Research Institutes (AAMRI)
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Analysis
Why This Matters
Victoria's 14 independent medical research institutes are under serious financial pressure, and the sector estimates 10 of 14 could close by 2030 without help.
The pledge is a pre-election commitment that would lift annual state support to about $60 million, still short of the $95 million AAMRI has sought.
The future of institutes such as the Florey and Hudson affects highly skilled jobs and Victoria's standing as a medical research centre.
Background
Victoria's independent medical research institutes rely on state funding on top of taxpayer-funded federal research grants, and are dealing with flat federal science funding and rising costs. The sector's instability surfaced in September when the Hudson Institute announced a merger with Monash University, and insiders described the Florey's business plan as doomed. The announcement comes during the Victorian election campaign.
Key Perspectives
Jess Wilson, Victorian Opposition Leader: Victoria must remain the medical research capital of Australia; after 12 years of Labor the industry risks losing its brightest minds, skilled jobs and investment.
Georgie Crozier, opposition health spokeswoman: Labor's failure to provide long-term funding certainty is putting the industry and future jobs at risk.
Michelle Marven, AAMRI Victorian executive officer: The $100 million pledge is welcome and a step in the right direction, though not the full amount the sector asked for.
Brendan Crabb, Burnet Institute director: The sector is high priority but has an underfunded, short-term, fragmented funding system.
Anthony Carbines, Victorian Minister for Medical Research: The government has increased funding to its highest level of any state and will keep advocating for a fairer Commonwealth share.
What to Watch
The November election result, which will decide whether the Coalition's pledge becomes policy.
Whether further institutes follow Hudson into merger or closure announcements before the election.
Whether annual state funding moves toward the $95 million AAMRI has been seeking.
12 claims in this story checked against 1 source: 12 supported.
Show each claim
SupportedThe Coalition is offering $100 million in extra support over four years if it wins the November election.Sydney Morning Herald - Latest News: “State Opposition Leader Jess Wilson will announce on Thursday plans for a major cash injection into the sector if she wins government: $100 million in extra support, to be paid over four years.”
SupportedAAMRI estimates 10 of the 14 centres will be forced to close by 2030 if their finances do not improve.Sydney Morning Herald - Latest News: “In total, 10 of 14 centres will be forced to close by 2030 if their finances do not improve, the Australian Association of Medical Research Institutes (AAMRI) has estimated.”
SupportedMichelle Marven welcomed the announcement as “a step in the right direction”.Sydney Morning Herald - Latest News: “It’s not the full amount we had been asking for, but it’s a step in the right direction,” she said.”
SupportedWilson said: “But after 12 years of Labor, the industry is at risk of losing its brightest minds, highly skilled jobs, and the investment that should be coming to Victoria”.Sydney Morning Herald - Latest News: ““Victoria must continue to be the medical research capital of Australia. But after 12 years of Labor, the industry is at risk of losing its brightest minds, highly skilled jobs, and the investment that should be coming to Victoria,” Wilson said.”
SupportedGeorgie Crozier said: “Labor's failure to provide long-term funding certainty is putting this industry and the jobs of the future at risk.”Sydney Morning Herald - Latest News: “Opposition health spokeswoman Georgie Crozier said: “Labor’s failure to provide long-term funding certainty is putting this industry and the jobs of the future at risk.””
SupportedMarven said the extra money was not the full amount requested but was “a step in the right direction”.Sydney Morning Herald - Latest News: ““It’s not the full amount we had been asking for, but it’s a step in the right direction,” she said.”
SupportedMarven said the extra money would help address financial pressures facing the institutes.Sydney Morning Herald - Latest News: ““It will really help to address the financial pressures facing our institutes, and will provide really incredible additional support for the sector.””
SupportedCrabb described the sector as “a high-priority, highly valued sector” and its funding system as “underfunded, short-term, fragmented”.Sydney Morning Herald - Latest News: ““It is a high-priority, highly valued sector,” Burnet Institute director Brendan Crabb said in September. “What we have is an underfunded, short-term, fragmented funding system that does not match that attitude.””
SupportedOpposition Leader Jess Wilson will announce the pledge on Thursday.Sydney Morning Herald - Latest News: “State Opposition Leader Jess Wilson will announce on Thursday plans for a major cash injection into the sector if she wins government”
SupportedAAMRI has campaigned to raise state government funding for the sector from $48 million a year to $95 million.Sydney Morning Herald - Latest News: “the association has been campaigning for a lift in state government funding for the sector – from $48 million a year to $95 million.”
SupportedThe extra money would bring total state government support for the institutes to about $60 million a year, Marven said.Sydney Morning Herald - Latest News: “The extra money would bring total state government support for the research institutes to about $60 million a year, said Michelle Marven, executive officer of AAMRI’s Victorian branch.”
SupportedThe state program will provide more than $47.7 million in 2025–26, the largest amount for research indirect costs provided by any Australian state or territory in absolute terms.Sydney Morning Herald - Latest News: ““As a result, the program will provide more than $47.7 million in funding support in 2025-26, the largest amount of funding for research indirect costs provided by any Australian state or territory, in absolute terms,” he said.”