2025-26 pre-budget submission
A well-supported, strategic approach to research and development is a key driver of economic growth.
Submitted to Treasury as part of the 2025-26 pre-budget submission process.
Activating R&D as the engine of the economy
To enhance Australia’s global competitiveness and position research and development (R&D) as a key driver of economic growth, ATSE proposes a comprehensive strategy to achieve an investment target of 3% of GDP expenditure on R&D by 2030, in line with the Government’s policy platform.
The in-progress Strategic Review of R&D will provide a pathway, but the nation cannot afford to continue neglecting R&D in the meantime. This Budget presents opportunities to support foundational research, incentivise industry investment, scale successful innovation programs, leverage government procurement policies, and enhance R&D collaboration across sectors. These actions are key to reversing the decline in Australia’s R&D intensity – now just 1.68% of GDP, of which 53% is funded by industry – well below the expenditure of peer nations.
