The Trump administration is slashing $4 billion in medical research funding by capping the amount institutions receive for indirect costs, including buildings, equipment, and support staff.
The National Institutes of Health (NIH) announced that grants will now cover only 15% of these expenses, significantly reducing previous allowances.
“The United States should have the best medical research in the world,” the NIH stated. “It is accordingly vital to ensure that as many funds as possible go towards direct scientific research costs rather than administrative overhead.”
In 2023, $9 billion of NIH’s $35 billion in grants funded overhead expenses. The agency argues that the new limit aligns with private foundation standards.
Trump allies praised the cuts. The “department of government efficiency,” led by billionaire Elon Musk, applauded the move, calling it an “amazing job” by the NIH.
However, researchers warn of dire consequences.
“This is a surefire way to cripple lifesaving research and innovation,” said Matt Owens of the Council on Government Relations. “America’s competitors will relish this self-inflicted wound.”
Democrats fiercely opposed the decision. Senator Patty Murray condemned the cuts as “catastrophic.” She warned: “Sick kids may not get the treatment they need. Clinical trials may be shut down abruptly with dangerous consequences. Just because Elon Musk doesn’t understand indirect costs doesn’t mean Americans should have to pay the price with their lives.”
The cuts follow a broader research grant freeze, further escalating tensions between scientists and the Trump administration.
