Despite delivering an ambitious federal budget that includes structural reform of the tax system, Labor managed to include key measures aimed at enlisting science and research in the ongoing task to lift Australia’s economic productivity.
There was extra funding for CSIRO, Australian Centre for Disease Preparedness (ACDP), National Measurement Institute (NMI), National Health and Medical Research Council (NHMRC), Australian Space Agency (ASA), Australian Nuclear Science and Technology Organisation (ANSTO) and the Square Kilometre Array (SKA) radio astronomy facility.
The first step in responding to the Strategic Examination of Research and Development (SERD) report will be taken with the establishment of a National Resilience and Science Council and the federal government has also set aside funds to progress Australia’s move to join Horizon Europe.
The Government has also proposed reforms to the Research and Development Tax Incentive and venture capital tax reform, to incentivise business investment in research.
Despite the list of measures, the response from science industry peak bodies was subdued, in main part from cuts to fund the new spending, which hit the Economic Accelerator program hardest.
Science and Technology Australia (STA) said while the budget took “welcome steps towards reform of the research and development system in Australia but lacks ambition and creates greater uncertainty… this budget gives with one hand but takes with the other,” Chief Executive Ryan Winn warned.
That sentiment was echoed by Australian Academy of Science President Professor Chennupati Jagadish.
“Some elements of the Budget are disappointing, including the repurposing of Australia’s Economic Accelerator Program to fund many of these measures.”
“Overall, the absence of a material increase in the government’s investment in science means these initial reforms are only a welcome first step and more is needed,” Dr Jagadish said.